sec. 342 Dodd-Frank - OMWI

H. R. 4173—166
(1) continue to operate any branch or agency that the
savings association operated immediately before the savings
association became a bank; and
(2) establish, acquire, and operate additional branches and
agencies at any location within any State in which the savings
association operated a branch immediately before the savings
association became a bank, if the law of the State in which
the branch is located, or is to be located, would permit establishment of the branch if the bank were a State bank chartered
by such State.
SEC. 342. OFFICE OF MINORITY AND WOMEN INCLUSION.

(a) OFFICE OF MINORITY AND WOMEN INCLUSION.—
(1) ESTABLISHMENT.—
(A) IN GENERAL.—Except as provided in subparagraph
(B), not later than 6 months after the date of enactment
of this Act, each agency shall establish an Office of Minority
and Women Inclusion that shall be responsible for all matters of the agency relating to diversity in management,
employment, and business activities.
(B) BUREAU.—The Bureau shall establish an Office
of Minority and Women Inclusion not later than 6 months
after the designated transfer date established under section
1062.
(2) TRANSFER OF RESPONSIBILITIES.—Each agency that, on
the day before the date of enactment of this Act, assigned
the responsibilities described in paragraph (1) (or comparable
responsibilities) to another office of the agency shall ensure
that such responsibilities are transferred to the Office.
(3) DUTIES WITH RESPECT TO CIVIL RIGHTS LAWS.—The
responsibilities described in paragraph (1) do not include
enforcement of statutes, regulations, or executive orders pertaining to civil rights, except each Director shall coordinate
with the agency administrator, or the designee of the agency
administrator, regarding the design and implementation of any
remedies resulting from violations of such statutes, regulations,
or executive orders.
(b) DIRECTOR.—
(1) IN GENERAL.—The Director of each Office shall be
appointed by, and shall report to, the agency administrator.
The position of Director shall be a career reserved position
in the Senior Executive Service, as that position is defined
in section 3132 of title 5, United States Code, or an equivalent
designation.
(2) DUTIES.—Each Director shall develop standards for—
(A) equal employment opportunity and the racial,
ethnic, and gender diversity of the workforce and senior
management of the agency;
(B) increased participation of minority-owned and
women-owned businesses in the programs and contracts
of the agency, including standards for coordinating technical assistance to such businesses; and
(C) assessing the diversity policies and practices of
entities regulated by the agency.
(3) OTHER DUTIES.—Each Director shall advise the agency
administrator on the impact of the policies and regulations
of the agency on minority-owned and women-owned businesses.

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(4) RULE OF CONSTRUCTION.—Nothing in paragraph (2)(C)
may be construed to mandate any requirement on or otherwise
affect the lending policies and practices of any regulated entity,
or to require any specific action based on the findings of the
assessment.
(c) INCLUSION IN ALL LEVELS OF BUSINESS ACTIVITIES.—
(1) IN GENERAL.—The Director of each Office shall develop
and implement standards and procedures to ensure, to the
maximum extent possible, the fair inclusion and utilization
of minorities, women, and minority-owned and women-owned
businesses in all business and activities of the agency at all
levels, including in procurement, insurance, and all types of
contracts.
(2) CONTRACTS.—The procedures established by each
agency for review and evaluation of contract proposals and
for hiring service providers shall include, to the extent consistent with applicable law, a component that gives consideration to the diversity of the applicant. Such procedure shall
include a written statement, in a form and with such content
as the Director shall prescribe, that a contractor shall ensure,
to the maximum extent possible, the fair inclusion of women
and minorities in the workforce of the contractor and, as
applicable, subcontractors.
(3) TERMINATION.—
(A) DETERMINATION.—The standards and procedures
developed and implemented under this subsection shall
include a procedure for the Director to make a determination whether an agency contractor, and, as applicable, a
subcontractor has failed to make a good faith effort to
include minorities and women in their workforce.
(B) EFFECT OF DETERMINATION.—
(i) RECOMMENDATION TO AGENCY ADMINISTRATOR.—Upon a determination described in subparagraph (A), the Director shall make a recommendation
to the agency administrator that the contract be terminated.
(ii) ACTION BY AGENCY ADMINISTRATOR.—Upon
receipt of a recommendation under clause (i), the
agency administrator may—
(I) terminate the contract;
(II) make a referral to the Office of Federal
Contract Compliance Programs of the Department
of Labor; or
(III) take other appropriate action.
(d) APPLICABILITY.—This section shall apply to all contracts
of an agency for services of any kind, including the services of
financial institutions, investment banking firms, mortgage banking
firms, asset management firms, brokers, dealers, financial services
entities, underwriters, accountants, investment consultants, and
providers of legal services. The contracts referred to in this subsection include all contracts for all business and activities of an
agency, at all levels, including contracts for the issuance or guarantee of any debt, equity, or security, the sale of assets, the management of the assets of the agency, the making of equity investments
by the agency, and the implementation by the agency of programs
to address economic recovery.

H. R. 4173—168
(e) REPORTS.—Each Office shall submit to Congress an annual
report regarding the actions taken by the agency and the Office
pursuant to this section, which shall include—
(1) a statement of the total amounts paid by the agency
to contractors since the previous report;
(2) the percentage of the amounts described in paragraph
(1) that were paid to contractors described in subsection (c)(1);
(3) the successes achieved and challenges faced by the
agency in operating minority and women outreach programs;
(4) the challenges the agency may face in hiring qualified
minority and women employees and contracting with qualified
minority-owned and women-owned businesses; and
(5) any other information, findings, conclusions, and recommendations for legislative or agency action, as the Director
determines appropriate.
(f) DIVERSITY IN AGENCY WORKFORCE.—Each agency shall take
affirmative steps to seek diversity in the workforce of the agency
at all levels of the agency in a manner consistent with applicable
law. Such steps shall include—
(1) recruiting at historically black colleges and universities,
Hispanic-serving institutions, women’s colleges, and colleges
that typically serve majority minority populations;
(2) sponsoring and recruiting at job fairs in urban communities;
(3) placing employment advertisements in newspapers and
magazines oriented toward minorities and women;
(4) partnering with organizations that are focused on developing opportunities for minorities and women to place talented
young minorities and women in industry internships, summer
employment, and full-time positions;
(5) where feasible, partnering with inner-city high schools,
girls’ high schools, and high schools with majority minority
populations to establish or enhance financial literacy programs
and provide mentoring; and
(6) any other mass media communications that the Office
determines necessary.
(g) DEFINITIONS.—For purposes of this section, the following
definitions shall apply:
(1) AGENCY.—The term ‘‘agency’’ means—
(A) the Departmental Offices of the Department of
the Treasury;
(B) the Corporation;
(C) the Federal Housing Finance Agency;
(D) each of the Federal reserve banks;
(E) the Board;
(F) the National Credit Union Administration;
(G) the Office of the Comptroller of the Currency;
(H) the Commission; and
(I) the Bureau.
(2) AGENCY ADMINISTRATOR.—The term ‘‘agency administrator’’ means the head of an agency.
(3) MINORITY.—The term ‘‘minority’’ has the same meaning
as in section 1204(c) of the Financial Institutions Reform,
Recovery, and Enforcement Act of 1989 (12 U.S.C. 1811 note).
(4) MINORITY-OWNED BUSINESS.—The term ‘‘minority-owned
business’’ has the same meaning as in section 21A(r)(4)(A)

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of the Federal Home Loan Bank Act (12 U.S.C. 1441a(r)(4)(A)),
as in effect on the day before the transfer date.
(5) OFFICE.—The term ‘‘Office’’ means the Office of Minority
and Women Inclusion established by an agency under subsection (a).
(6) WOMEN-OWNED BUSINESS.—The term ‘‘women-owned
business’’ has the meaning given the term ‘‘women’s business’’
in section 21A(r)(4)(B) of the Federal Home Loan Bank Act
(12 U.S.C. 1441a(r)(4)(B)), as in effect on the day before the
transfer date.
SEC. 343. INSURANCE OF TRANSACTION ACCOUNTS.

(a) BANKS AND SAVINGS ASSOCIATIONS.—
(1) AMENDMENTS.—Section 11(a)(1) of the Federal Deposit
Insurance Act (12 U.S.C. 1821(a)(1)) is amended—
(A) in subparagraph (B)—
(i) by striking ‘‘The net amount’’ and inserting
the following:
‘‘(i) IN GENERAL.—Subject to clause (ii), the net
amount’’; and
(ii) by adding at the end the following new clauses:
‘‘(ii) INSURANCE FOR NONINTEREST-BEARING TRANSACTION ACCOUNTS.—Notwithstanding clause (i), the
Corporation shall fully insure the net amount that
any depositor at an insured depository institution
maintains in a noninterest-bearing transaction
account. Such amount shall not be taken into account
when computing the net amount due to such depositor
under clause (i).
‘‘(iii) NONINTEREST-BEARING TRANSACTION ACCOUNT
DEFINED.—For purposes of this subparagraph, the term
‘noninterest-bearing transaction account’ means a
deposit or account maintained at an insured depository
institution—
‘‘(I) with respect to which interest is neither
accrued nor paid;
‘‘(II) on which the depositor or account holder
is permitted to make withdrawals by negotiable
or transferable instrument, payment orders of
withdrawal, telephone or other electronic media
transfers, or other similar items for the purpose
of making payments or transfers to third parties
or others; and
‘‘(III) on which the insured depository institution does not reserve the right to require advance
notice of an intended withdrawal.’’; and
(B) in subparagraph (C), by striking ‘‘subparagraph
(B)’’ and inserting ‘‘subparagraph (B)(i)’’.
(2) EFFECTIVE DATE.—The amendments made by paragraph
(1) shall take effect on December 31, 2010.
(3) PROSPECTIVE REPEAL.—Effective January 1, 2013, section 11(a)(1) of the Federal Deposit Insurance Act (12 U.S.C.
1821(a)(1)), as amended by paragraph (1), is amended—
(A) in subparagraph (B)—
(i) by striking ‘‘DEPOSIT.—’’ and all that follows
through ‘‘clause (ii), the net amount’’ and insert
‘‘DEPOSIT.—The net amount’’; and