# 119-hr-9490: Bank Failure Accountability Act

119-hr-9490, Bank Failure Accountability Act, is a 119th Congress bill sponsored by Rep. Tlaib, Rashida [D-MI-12] (D-MI); status introduced; PRIA reads it as touching household money (as of 2026-11-01).

- Canonical: https://policyrisk.com/legislation/119-hr-9490
- As of: 2026-11-01
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: 119-hr-9490
- Congress: 119
- Title: Bank Failure Accountability Act
- Status: introduced
- Introduced: 2026-06-25
- Sponsor: Rep. Tlaib, Rashida [D-MI-12] (D-MI)
- Cosponsors: 3
- Policy area: Finance and Financial Sector
- Touches household money: yes
- Last recorded action: 2026-11-01

## Summary

**Creates mandatory long-term pay deferments for senior staff at big financial firms to hold executives financially accountable and to build funds that can pay fines or protect depositors.** - Covered institutions must create a deferment fund and place deferred pay there. Any financial institution with more than $1 billion in consolidated assets is covered and the fund must be the first source to pay civil or criminal fines. - Senior employees face yearly deferrals equal to at least 50 percent of the part of their pay that exceeds seven times the firm’s median worker pay. The rule targets employees paid over $1 million and uses top-percent and authority-to-expose tests at very large firms. - Deferment periods rise with size: regulators set the period for firms under $10 billion, two years for $10–$50 billion, six years for $50–$250 billion, and eight years for $250 billion or more. If a depository or credit union fails, the fund must be used to prevent depositor losses before tapping the Deposit Insurance Fund or the National Credit Union Share Insurance Fund. Institutions must cancel deferred pay that cannot be repaid and regulators including the Federal Reserve, OCC, FDIC, FHFA, NCUA, and SEC will write implementing rules.

## Cosponsors (3)

- Rep. Lynch, Stephen F. [D-MA-8] (D-MA), 2026-06-25T00:00:00.000Z
- Rep. Lee, Summer L. [D-PA-12] (D-PA), 2026-06-25T00:00:00.000Z
- Rep. Green, Al [D-TX-9] (D-TX), 2026-06-25T00:00:00.000Z

## Provisions PRIA read

- Required pay deferral for senior employees: cost, high. If enacted, covered financial institutions would each year defer at least 50% of the amount a senior employee is paid above seven times the firm's median pay. The deferred amount would go into a special deferment fund. "Senior employee" would include those paid over $1,000,000 and other size-based…
- Special fund to hold deferred pay: mixed, medium. If enacted, each covered firm would be required to place all deferred compensation into a dedicated deferment fund that can hold only deferred pay. The fund must pay civil or criminal fines first. If a depository or credit union fails, the fund must be used to prevent depositor losses before tappin…

## Related bills

- 119-hr-6644: 21st Century ROAD to Housing Act
- 119-hr-7977: Energy Bills Relief Act
- 119-hr-7973: Momnibus Act
- 119-hr-5658: Child Care for Every Community Act
- 119-hr-3971: Domestic Workers Bill of Rights Act
- 119-hr-5356: National Infrastructure Bank Act of 2025

## Sources
- [119-hr-9490 on Congress.gov](https://www.congress.gov/bill/119th-congress/house-bill/9490)

## Related
- [119-hr-6644: 21st Century ROAD to Housing Act](https://policyrisk.com/legislation/119-hr-6644)
- [119-hr-7977: Energy Bills Relief Act](https://policyrisk.com/legislation/119-hr-7977)
- [119-hr-7973: Momnibus Act](https://policyrisk.com/legislation/119-hr-7973)
- [119-hr-5658: Child Care for Every Community Act](https://policyrisk.com/legislation/119-hr-5658)
- [119-hr-3971: Domestic Workers Bill of Rights Act](https://policyrisk.com/legislation/119-hr-3971)
- [119-hr-5356: National Infrastructure Bank Act of 2025](https://policyrisk.com/legislation/119-hr-5356)
- [All bills in Congress](https://policyrisk.com/legislation)

Source: PRIA, https://policyrisk.com/legislation/119-hr-9490 (as of 2026-11-01).