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HR4116FEDERALUNKNOWN
High Impact

New Reporting Requirements for Failed Banks

Original title: Systemic Risk Authority Transparency Act

July 30, 2024

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The Frame

What this does

This legislation increases public and congressional oversight of how federal agencies handle bank failures, specifically requiring an analysis of whether executive compensation or regulatory failures contributed to a bank's collapse.

Who is mentioned in the record

Potentially affected actors named in the source documents. Mention is not a position.

Insured depository institutions

These institutions are subject to increased reporting and disclosure requirements regarding their management, compensation, and regulatory history if they fail and trigger systemic risk authority.

Federal banking regulators

These agencies are required to produce detailed reports and disclose previously confidential supervisory information following a bank failure.

What changed

Last recorded activity July 30, 2024.

What's next

Introduced.

Summary

This bill requires federal regulators and the Government Accountability Office (GAO) to submit detailed reports to Congress whenever the government uses '' to manage a failed bank. These reports must investigate the causes of the bank's failure, including executive mismanagement and regulatory oversight gaps.

Key Facts

You don't have to trust us. Each fact below is taken straight from the official document - click any one to see the exact passage, highlighted in the original.

Why It Matters

This legislation increases public and congressional oversight of how federal agencies handle bank failures, specifically requiring an analysis of whether executive compensation or regulatory failures contributed to a bank's collapse.

Frequently Asked Questions

What is 'systemic risk authority'?
It is a legal provision that allows federal regulators to take extraordinary actions to wind up a failed bank if they determine that the bank's failure poses a serious risk to the broader financial system.
Who has to write these reports?
The (head of the GAO) and the primary federal regulator of the specific bank that failed.

News Coverage

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Sponsors

Discoveries

Patterns POLISCOPE noticed across the record. These are observations to investigate, not conclusions.

policy shift90% confidence

Increased Regulatory Accountability

The bill shifts the burden of proof onto regulators to explain their own potential shortcomings and regulatory failures following a bank collapse.

Connected Entities

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otherMrs. BeattymentionedMap →
otherU.S. GovernmentmentionedMap →
otherMr. ShermanmentionedMap →

Analysis Score

0–100
  • Significance75
    How much this matters to a regular citizen
  • Controversy40
    Intensity of disagreement among stakeholders
  • Entertainment10
    Compellingness for a non-policy-wonk reader
  • Buzz25
    Current news / social attention level

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