§4713 Incentives for Depository Institution Participation

Summary

The Administrator of the Fund must use the money and run this program. The Administrator must work with the Federal banking agencies, the National Credit Union Administration, two officials named in another law, and any other appropriate representatives of insured banks. The Administrator gets many of the same powers and duties given to the Community Enterprise Assessment Credit Board under section 233 of the Bank Enterprise Act of 1991. That means the Administrator can decide which distressed communities qualify, set the amount of assessment credits, give out those credits, and issue rules and guidelines. Some specific parts of the Bank Enterprise Act and the Federal Deposit Insurance Act do not apply to the Administrator. New lifeline accounts provided by banks count as qualifying activity. The rules set how to calculate credit amounts: for certain activities a bank that is not a community development financial institution (CDFI) gets a 5% credit and a CDFI gets a 15% credit, and for other listed activities the credit is 15%. The Administrator can give credits yearly instead of every six months and must widely share information about the program. A few wording changes in the Bank Enterprise Act are applied here for these calculations and designations.