Summary of activities, 94th Congress

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Summary of activities, 94th Congress
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United States -- Congress. -- Senate. -- Committee on Banking, Housing, and Urban Affairs
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Table of Contents
    Front Cover
        Page i
    Front Matter
        Page ii
        Page iii
        Page iv
    Statement of the chairman
        Page v
        Page vi
    Table of Contents
        Page vii
        Page viii
        Page ix
        Page x
    Jurisdiction, procedures, and powers of the committee
        Page 1
        Page 2
        Page 3
        Page 4
    Rules of the committee
        Page 5
        Page 6
        Page 7
        Page 8
        Page 9
        Page 10
    Action on bills and resolutions
        Page 11
        Page 12
    Nominations
        Page 13
        Page 14
        Page 15
        Page 16
    Legislation originating in committee
        Page 17
        Page 18
        Page 19
        Page 20
        Page 21
        Page 22
        Page 23
        Page 24
        Page 25
        Page 26
        Page 27
        Page 28
        Page 29
        Page 30
        Page 31
        Page 32
        Page 33
        Page 34
        Page 35
        Page 36
        Page 37
        Page 38
        Page 39
        Page 40
        Page 41
        Page 42
    Subcommittee on housing and urban affairs
        Page 43
        Page 44
        Page 45
        Page 46
        Page 47
    Subcommittee on financial institutions
        Page 48
        Page 49
        Page 50
        Page 51
        Page 52
        Page 53
        Page 54
    Subcommittee on securities
        Page 55
        Page 56
        Page 57
        Page 58
    Subcommittee on international finance
        Page 59
        Page 60
        Page 61
        Page 62
    Subcommittee on consumer affairs
        Page 63
        Page 64
        Page 65
    Subcommittee on small business
        Page 66
        Page 67
        Page 68
        Page 69
        Page 70
        Page 71
        Page 72
    Oversight activities
        Page 73
        Page 74
        Page 75
        Page 76
        Page 77
        Page 78
        Page 79
        Page 80
        Page 81
        Page 82
        Page 83
        Page 84
        Page 85
        Page 86
        Page 87
        Page 88
        Page 89
        Page 90
        Page 91
        Page 92
        Page 93
        Page 94
        Page 95
        Page 96
    Back Cover
        Page 97
        Page 98
Full Text


94th Congress COMMITTEE PRINT
2d Session I


SUMMARY


94TH


RE


OF ACTIVITIES,,,.

CONGRES$, .-


FEB 1977

PORT ""
N14 t
0 R
.. .... I N I


OF THE


COMMITTEE ON BANKING, HOUSING AND


URBAN


AFFAIRS


UNITED STATES SENATE


DECEMBER 1976


Printed for the use of the Committee on Banking, Housing and
Urban Affairs

U.S. GOVERNMENT PRINTING OFFICE


WASHINGTON : 1976


x-~--\ I -~

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I


80-607















COMMITTEE ON BANKING, HOUSING AND URBAN AFFAIRS
WILLIAM PR OXMI RE, Wisconsin, Chairman


JOHN SPARKMAN, Alabama
HARRISON A. WILLIAMS, JR., New Jersey
THOMAS J. McINTYRE, New Hampshire
ALAN CRANSTON, California
ADLAI E. STEVENSON, Illinois
JOSEPH R. BIDEN, JR., Delaware
ROBERT MORGAN, North Carolina


JOHN TOWER, Texas
EDWARD W. BROOKE, Massachusetts
BOB PACKWOOD, Oregon
JESSE HELMS, North Carolina
JAKE GARN, Utah


SUBCOMMITTEES


HOUSING AND URBAN AFFAIRS
SPARKMAN, Chairman


INTERNATIONAL FINANCE
STEVENSON, Chairman


PROXMIRE
WILLIAMS
McINTYRE
CRANSTON
BIDEN


BROOKE
TOWER
PACKWOOD
GARN


PROXMIRE
WILLIAMS
McINTYRE
CRANSTON
BIDEN


PACKWOOD
TOWER
HELMS
GARN


FINANCIAL INSTITUTIONS
McINTYRE, Chairman


PRODUCTION AND STABILIZATION
CRANSTON, Chairman


P ROXMIRE
SPARKMAN
WILLIAMS
STEVENSON


TOWER
BROOKE
HELMS


STEVENSON
BIDEN


HELMS
PACKWOOD


CONSUMER AFFAIRS


SECURITIES
WILLIAMS, Chairman


McINTYRE
C RANSTON
STEVENSON
MORGAN


PROXM1RE
MORGAN


BROOKE
TOWER
HELMS


SPARKMAN
McINTYRE


BIDEN, Chairman
GARN
BROOKE


SMALL BUSINESS
MORGAN, Chairman


GARN
PACKWOOD


(I)
















STAFF, COMMITTEE ON BANKING, HOUSING AND URBAN AFFAIRS
KENNETH A. MCLEAN, Staff Director
ANTHONY T. CLUFF, Minority Staff Director
MARY FRANCES DE LA PAVA, Chief Clerk
KATHLEEN M. GASEOR, Assistant Chief Clerk


JOHN PATTEN ABSHIRE
ELINOR B. BACHRACH
FLORENCE BARR
ADRIAN GILMORE BRAY
THOMAS A. BROOKS
EDWARD C. DICKS
MARIA A. DELLISANTI
GINGER J. DONO
ROSE MARIE FRIED
LAURIE E. GREENE
JOHN B. HENDERSON


CAROLYN JORDAN
ROBERT L. KUTTNER
ROBERT R. LOCKLIN
STANLEY J. MARCUSS*
CHARLES L. MARINACCIO
MARION R. MAYER
ANNE B. MILLER
STEPHEN J. PARADISE
BERNARD W. QUEEN
RALPH J. ROHNER
LAMAR SMITH
TERRI M. SWANN
WILLIAM R. WEBER


SUBCOMMITTEE ON HOUSING AND URBAN AFFAIRS


JOYCE E. ANDREWS
JOANN S. BAREFOOT
LEANN R. HENSCHE


CARL A. S. COAN, Staff Director
JEREMIAH S. BUCKLEY, Minority Counsel
ROBERT E. MALAKOFF
JAMES H. SCHUYLER
DORIS I. THOMAS.



SUBCOMMITTEE ON SECURITIES


CLIFFORD ALEXANDER
JOHN C. JENNISON
LULA JOYCE

*Pursuant to S. Res. 60.


MARYANNE KOWALESKI
HOWARD A. 'MENELL
MONICA M. WALTERS


(III)













STATEMENT OF THE CHAIRMAN


During the 94th Congress, the Senate Committee on Banking,
Housing and Urban Affairs continued its legislative and oversight
activities. These activities seem to increase in volume and intensity
as each session of the Congress progresses.
This Summary of Activities has been prepared for Members of
the Senate and House of Representatives and for the public, to be
used as a research tool and historic reference outlining the activities
of the committee and its subcommittees during 1975 and 1976.
The full committee held 59 days of legislative hearings, 52 days of
oversight hearings and 33 days of markup sessions. The subcom-
mittees altogether held 52 days of legislative hearings, 38 days of
oversight hearings, and 11 days of markup sessions. In addition, the
committee held 27 nomination hearings (luring the 94th Congress,
all but two of which were acted on favorably.
A total of 262 bills and resolutions were referred to the committee;
the committee reported to the Senate 49 times; and 21 measures
considered by the Members of the Committee were enacted into law.
The committee published 18 special reports concerned primarily
with its oversight responsibilities, staff studies, and a consumers
guide.
I am pleased with the record made by the committee in the 94th
Congress. I believe the committee acted upon a wide variety of
meaningful legislation and timely oversight, all of which is documented
in this publication.
WILLIAM PROXMIRE.



















Digitized by the Internet Archive
in 2013













http://archive.org/details/actiurba00unit










CONTENTS

Page
Statement of the chairman- v
Jurisdiction, procedures, and powers of the committee-..........-1
Rules of the Committee ---------------------------------------------5
Action on bills and resolutions ---------------------------------------11
Nominations ------------------------------------------------------ 13
LEGISLATION ORIGINATING IN COMMITTEE
Bills enacted into law:
Extend Defense Production Act and Authorization of Appropriations
for National Commission on Productivity and Work Quality
(Public Law 94-42)-17
Emergency Homeowner's Relief Act (Public Law 94-50) 17
Authority for Federal Savings and Loans to Act as Custodian of
Individual Retirement Accounts (Public Law 94-60)------------- 18
Council on Wage and Price Stability (Public Law 94-78) ------------18
International Economic Policy Act (Public Law 94-87)-19
Defense Production Act Amendments of 1975 (Public Law 94-152)-- 19
Yeager Medal (Public Law 94-179)-20
Exemption for Existing Dwellings from Flood Insurance Sanctions
(Public Law 94-198)-21
Home Mortgage Disclosure Act (Public Law 94-200)____- 21
Real Estate Settlement Procedures Act Amendments (Public Law
94-205)- -22
Extension of State Taxation of Depositories Act (Public Law 94-222) 23
Charles Carroll Medal (Public Law 94-257)-24
Congressional Resolution passed:
Conduct of Monetary Policy (H. Con. Res. 133) ------------------- 25
Bills that passed both Senate and House:
Emergency Housing Act of 1975 (H.R. 4485) 26
Ethnic Heritage Bicentennial Commemorative Medals Act (S. 371)-- 26
Building energy conservation standards (H.R. 8650) ---------------- 27
Increased loan amounts for mobile homes (H.R. 9852) 28
Bills that passed the Senate:
Securities Act amendments (S. 2136)-29
National Neighborhood Policy Act (S. 3554)-29
Corrupt overseas payments by U.S. business enterprises (S. 3664)-- 30
Variable rate mortgages (S. Con. Res. 45)___ 30
Disapproving budget deferral re: homeownership assistance under
section 235 (S. Res. 61)-31
Bills reported to the Senate:
Emergency Homeowners Relief Act (S. 1457) ----------------------32
Emergency Housing Act of 1975 (S. 1483) 32
Financial Institutions Supervisory Act Amendments of 1975 (S. 2304) 33
Voluntary Municipal Reorganization Act of 1975 (S. 2615) 33
Public deposit legislation (H.R. 3035) -----------------------------34
Federal Reserve reform (H.R. 12934) 34
Bills on which hearings were held:
Federal Bank Commission Act (S. 2298) ---------------------------36
Full Employment and Balanced Growth Act of 1976 (S. 50) -------- 36
Condominium Consumer Protection Act of 1975 (S. 2273) -------------37
Electronic funds transfer moratorium (S. 245) ----------------38
Financial Support Fund Act (S. 1097) -----------------------------38
Regulation of standby letters of credit (S. 2347) ------------------- 39
Energy Independence Authority Act of 1975 (S. 2532) -------------- 39
Competition in Banking Act of 1976 (S. 2721) -----------------------40
Energy Conservation Act of 1976 (S. 2932) -------------------------40
Construction of Denver Mint (H.R. 5620) --------------------------41
Investment Policy Act of 1976 (S. 3693) ----------------------------41
(VM)






VnI


SUBCOMMITTEE ON HOUSING AND URBAN AFFAIRS
Bills enacted into law: Page
Increased loan amounts for mobile homes (Public Law 94-173) -------- 43
Housing Act Amendments of 1976 (Public Law 94-375) ---------------43
Bill that passed the Senate:
Urban mass transit amendments (S. 622) --------------------------45
Bills on which hearings were held:
Supplemental Community Development Employment Assistance
Act of 1976 (S. 2986) ---------------------------------------- 46
Abandonment Disaster Demonstration Relief Act of 1975 (S. 1988)--_ 4
SUBCOMMITTEE ON FINANCIAL INSTITUTIONS
Bills that passed the Senate:
Financial Institutions Act (S. 1267) -------------------------------48
Emergency Bank Holding Company Acquisition Act (S. 2209) --------- 4
Bills reported to the Senate:
Reorganization of the National Credit Union Administration (S. 3312) 50
Moratorium on conversions of savings and loan associations and
mutual savings banks (S. 3802) -------------------------- 50
Bills on which hearings were held:
Foreign Bank Act of 1975 (S. 958)--------------------------- 52
Right to Financial Privacy Act (S. 1343) -------------------------- 52
National Consumer Cooperative Bank Act (S. 2631) -----------------53
Foreign bank legislation (H.R. 13876) ---------------------------- 53
SUBCOMMITTEE ON SECURITIES
Bill enacted into law:
Securities acts amendments (Public Law 94-29) -------------------- 55
Bill reported to the Senate:
Investment Advisers Act Amendments of 1975 (S. 2849) --------------57
Bills on which hearings were held:
Foreign Investment Act of 1975 (S. 425) --------------------58
Municipal Securities Full Disclosure Act of 1976 (S. 2969) -------------58
SUBCOMMITTEE ON INTERNATIONAL FINANCE
Bill enacted into law:
Amendment of Bretton Woods Agreements Act (Public Law 94-564).. 59
Bill passed by Senate and House:
Extension of the Export Administration Act (S. 3084)- ------------0
Resolution passed by the Senate:
Extending appropriations for the Council on International Economic
Policy (S.J. Res. 97) ------------------ ---------61
Bill reported to the Senate:
Forein Boycotts and Domestic and Foreign Investment Improved
Disclosure Acts of 1975 (S. 953) ----------------------------- 62
SUBCOMMITTEE ON CONSUmER AFFAIRS
Bills enacted into law:
Equal Credit Opportunity Act amendxents (Public Law 94-239) -- 63
Consumer Leasing Act (Public Law 94-240) ------------------- 63
Bill on which hearings were held:
Qui Tam and Federal Reserve Board procedures (S. 3008) ----------- 65
SUBCOMMITTEE ON SMALL BUSINESS
Bill enacted into law:
Small Business Development Act (Public Law 94-305) -. ------ ---- 66
Bills that passed the Senate:
Amending the Small Business Act (S. 1839) -----------------------68
Small Business Investment Act Amendments (S. 2613) ---------- --68
Amending the Small Business Act (S. 3369) -----------------------69
Amending the Small Business Investment Act of 1958 (S. 3370) 70








Bills on which hearings were held: Page
New sources of financing for minority enterprises (S. 1124) -----------71
Small Business Act amendments (S. 1547) -------------------------71
Amending the Small Business Act (H.R. 4888) ---------------------72
OVERSIGHT ACTIVITIES
Full committee:
Bank holding company credit insurance subsidiaries ----------------73
Community development block grant program ---------------------73
Conduct of monetary policy -------------------------------------74
Consumers guide to banking -------------------------------------74
Consumer protection activities of Federal banking agencies ---------- 75
Corporate takeovers --------------------------------------------76
Council on Wage and Price Stability ------------------------------76
Equal opportunity in lending ------------------------------------77
Financial disclosure by banks and bank holding companies ---------- 77
GNMA emergency tandem plan ----------------------------------78
Home Mortgage Disclosure Act and Equal Credit Opportunity Act-- 78
Housing management, foreclosures and abandonments ---------------79
Lockheed loan guarantee ------------------------------------- 79
Multinational banking ------------------------------------------79
National housing goals ------------------------------------------79
New York City loan program ------------------------------------80
Problem banks ------------------------------------------------ 80
Real Estate Settlement Procedures Act of 1974 ------------------- 80
Secondary mortgage market -------------------------------------81
Treasury Department's contract compliance program for financial
institutions ------------------------------------------------- 81
Variable rate mortgages -----------------------------------------82
Housing Subcommittee:
Financial condition of local housing authorities ---------------------83
Federal flood insurance program ----------------------------------83
Housing goals and mortgage credit: 1975-80 ---------------------- 83
Rural housing programs ---------------------------------------- 84
Development of new types of mortgage market instruments -----------84
Financial Institutions Subcommittee:
NOW Accounts ----------------------------------------------- 85
State and local "doing business" taxes on out-of-state financial in-
stitutions ------ --------------------------------------------- 85
Conversions of savings and loans and mutual savings banks ----------- 86
Bank branching ----------------------------------------------- 86
Securities Subcommittee:
Securities activities of commercial banks -------------------------- 87
International Finance Subcommittee:
?i- United States-Soviet grain agreement, S. 2492 and other matters ----- 88
Production and Stabilization Subcommittee:
Cost Accounting Standard 409 -----------------------------------89
Consumer Affairs Subcommittee:
Fair Credit Billing Act two-tier pricing and procedures for Federal
Reserve Board regulation writing ------------------------------90
Small Business Subcommittee:
The problems of small business -----------------------------------91
The role of the small businessman --------------------------------91
SBA set-aside, lease guaranty and surety bond programs -------------92
Committee publications ---------------------------------------------93












JURISDICTION, PROCEDURES, AND POWERS


[Extract from Rule XXV of the Standing Rules of the U.S. Senate]
STANDING COMMITTEES
1. The following standing committees shall be appointed at the
commencement of each Congress, with leave to report by bill or
otherwise:
$* *

(e) Committee on Banking, Itousing and Urban Affairs, to which
committee shall be referred all proposed legislation, messages, peti-
tions, memorials, and other matters relating to the following subjects.
1. Banking and currency generally.
2. Financial aid to commerce and industry, other than matters
relating to such aid which are specifically assigned to other com-
mittees under this rule.
3. Deposit insurance.
4. Public and private housing.
5. Federal Reserve System.
6. Gold and silver, including the coinage thereof.
7. Issuance of notes and redemption thereof.
8. Valuation and revaluation of the dollar.
9. Control of prices of commodities, rents, or services.
10. Urban affairs generally.


4. The said committee shall continue and have the power to act until
their successors are appointed.
5. (a) Except as provided in paragraph (b) of this subsection, each
standing committee, and each subcommittee of any such committee,
is authorized to fix the number of its members (but not less than one-
third of its entire membership) who shall constitute a quorum thereof
for the transaction of such business as may be considered by said com-
mittee, subject to the provisions of section 133(d) of the Legislative
Reorganization Act of 1946.
(b) Each standing committee, and each subcommittee of any such
committee, is authorized to fix a lesser number than one-third of its
entire membership who shall constitute a quorum thereof for the pur-
pose of taking sworn testimony.
7. No standing committee shall sit without special leave while there
Senate is in session after (1) the conclusion of the morning hour, or
(2) the Senate has proceeded to the consideration of unfinished busi-
ness, pending business, or any other business except private bills and
the routine morning business, whichever is earlier.
(1)







[Extracts from Rulemaking Provisions of the Legislative Reorganization Act
of 1946 as amended through December 6, 1970]
COMMITTEE PROCEDURE
SEC. 133. (a) Each standing committee of the Senate shall fix regu-
lar weekly, biweekly, or monthly meetings days for the transaction of
business before the committee and additional meetings may be called
by the chairman as he may deem necessary. If at least three members
of any such committee desire that a special meeting of the committee
be called by the chairman, those members may file in the offices of the
committee their written request to the chairman for that special meet-
ing. Immediately upon the filing of the request, the clerk of the com-
mittee shall notify the chairman of the filing of the request, If, within
three calendar days after the filing of the request, the chairman does
not call the requested special meeting, to be held within seven calendar
days after the filing. of the request, a majority of the members of the
committee may file in the offices of the committee their written notice
that a special meeting of the committee will be held, specifying the
date and hour of that special meeting. The committee shall meet on
that date and hour. Immediately upon the filing of the notice, the
clerk of the committee shall notify all members of the committee that
such special meeting will be held and inform them of its date and hour
If the chairman of any such committee is not present at any regular,
additional, or special meeting of the committee, the ranking member
of the majority party on the committee who is present shall preside at
that meeting.
(b) Meetings for the transaction of business of each standing com-
mittee of the Senate, other than for the conduct of hearings, shall be
open to the public except during executive sessions for marking up bills
or for voting or when the committee by majority vote orders an execu-
tive session. Each such committee shall keep a complete record of all
committee action. Such record shall include a record of the votes on
any question on which a record vote is demanded. The results of roll-
call votes taken in any meeting of any such standing committee of the
Senate upon any measure, or any amendment thereto, shall be an-
nounced in the committee report on that measure unless previously
announced by the committee, and such announcement shall include a
tabulation of the votes cast in favor of and the votes cast in opposition
to each such measure and amendment by each member of the commit-
tee who was present at that meeting.
(c) It shall be the duty of the chairman of each standing committee
of the Senate to report or cause to be reported promptly to the Senate
any measure approved by his committee and to take or cause to be
taken necessary steps to bring the matter to a vote. In any event, the
report of any such committee upon a measure which has been approved
by the committee shall be filed within seven calendar days (exclusive
of days on which the Senate is not in session) after the day on which
there has been filed with the clerk of the committee a written and
signed request of a majority of the committee for the reporting of that
measure. Upon the filing of any such request, the clerk of the com-
mittee shall transmit immediately to the chairman of the committee
notice of the filing of that request.







(d) No measure or recommendation shall be reported from any
standing committee of the Senate (including the Committee on Ap-
propriations) unless a majority of the committee were actually
present. The vote of the committee to report a measure or matter shalt
require the concurrence of a majority of the members of the commit-
tee who are present. No vote of any member of any such committee
to report a measure or matter may be cast by proxy if rules adopted
by such committee forbid the casting of votes for that purpose by
proxy; however, proxies shall not be voted for such purpose except
when the absent committee member has been informed of the matter
on which he is being recorded and has affirmatively requested that he
be so recorded. Action by any such committee in reporting any meas-
ure or matter in accordance with the requirements of this subsection
shall constitute the ratification by the committee of all action thereto-
fore taken by the committee with respect to that measure or matter,
including votes taken upon the measure or matter or any amend-
ment thereto, and no point of order shall lie with respect to that
measure or matter on the ground that such previous action with
respect thereto by such committee was not taken in compliance with
such requirements. Whenever any such committee by rollcall vote re-
ports any measure or matter, the report of the committee upon such
measure or matter shall include a tabulation of the votes cast in favor
of and the votes cast in opposition to such measure or matter by each
member of the committee. Nothing contained in this subsection shall
abrogate the power of any committee of the Senate to adopt rules-
(1) providing for proxy voting on all matters other than the
reporting of a measure or matter, or
(2) providing in accordance with the rules of the Senate for a
lesser number as a quorum for any action other than the report-
ing of a measure or matter.
(e) If, at the time of approval of a measure or matter by any
standing committee of the Senate, any member of the committee
gives notice of intention to file supplemental, minority, or additional
views, that member shall be entitled to not less than three calendar
days in which to file such views, in writing, with the clerk of the com-
mittee. All such views so filed by one or more members of the com-
mittee shall be included within, and shall be a part of, the report filed
by the committee with respect to that measure or matter. The report
of the committee upon that measure or matter shall be printed in a
single volume which-
(1) shall include all supplemental, minority, or additional views
which have been submitted by the time of the filing of the report,
and
(2) shall bear upon its cover a recital that supplemental minor-
ity, or additional views are included as part of the report.
This subsection does not preclude-
(A) the immediate filing and printing of a committee report
unless timely request for the opportunity to file supplemental,
minority, or additional views has been ma-de as provided by the
subsection; or
(B) the filing by any such committee of any supplemental
report upon any measure or matter which may be required for
the correction of any technical error in a previous report made
by that committee upon that measure or matter.







(f) A measure or matter reported by any standing committee of
the Senate (including the Committee on Appropriations) shall not be
considered in the Senate unless the report of that committee upon that
measure or matter has been available to the Members of the Senate for
at least three calendar days (excluding Saturdays, Sundays, and legal
holidays) prior to the consideration of that measure or matter in the
Senate. If hearings have been held on any such measure or matter so
reported, the committee reporting the measure or matter shall make
every reasonable effort to have such hearings printed and available for
distribution to the Members of the Senate prior to the consideration
of such measure or matter in the Senate. This subsection-
(1) may be waived by joint agreement of the majority leader
and the minority leader of the Senate; and
(2) shall not apply to-
(A) any measure for the declaration of war, or the dec-
laration of a national emergency, by the Congress, and ...
(B) any executive decision, determination, or action which
would become, or continue to be, effective unless disapproved
or otherwise invalidated by one or both Houses of Congress.

LEGISLATIVE REVIEW BY SENATE STANDING COMMITTEES
SEc. 136. (a) In order to assist the Senate in-
(1) its analysis, appraisal, and evaluation of the application,
administration, and execution of the laws enacted by the Con-
gress, and
(2) its formulation, consideration, and enactment of such mod-
ifications of or changes in those laws, and of such additional legis-
lation, as may be necessary or appropriate.
each standing committee of the Senate shall review and study, on a
continuing basis, the application, administration, and execution of
those laws, or parts of laws, the subject matter of which is within the
jurisdiction of that committee.
(b) Each standing conimittee of the Senate shall submit, not later
than March 31 of each odd-numbered year beginning on and after
January 1, 1973, to the Senate a report on the activities of that commit-
tee under this section during the Congress ending at noon on January 3
of such year.
(c) The preceding provisions of this section do not apply to the
,Committee on Appropriations of the Senate.










Rules of Procedure for the Committee on Banking, Housing and
Urban Affairs
RULE 1.-REGULAR MEETING DATE FOR COMMITTEE
The regular meeting day for the Committee to transact its business
shall be the last Tuesday in each month; except that if the Committee
has met at any time during the month prior to the last Tuesday of the
month, the regular meeting of the committee may be canceled at the
discretion of the Chairman.
RULE 2.-COMMITTEE
(a) Investigations.-No investigation shall be initiated by the Com-
mittee unless the Senate or the full Committee has specifically author-
ized such investigation.
(b) Hearings.-No hearing of the Committee shall be scheduled out-
side the District of Columbia except by agreement between the Chair-
man of the Committee and the ranking minority member of the
Committee or by a majority vote of the Committee.
(c) Confidential testimony.-No confidential testimony taken or
confidential material presented at an executive session of the Commit-
tee or any report of the proceedings of such executive session shall be
made public either in whole or in part by way of summary, unless
specifically authorized by the Chairman of the Committee and the
ranking minority member of the Committee or by a majority vote of
the Committee.
(d) Interrogation of witnesses.-Committee interrogation of a wit-
iess shall be conducted only by members of the Committee or such pro-
fessional staff as is authorized by the Chairman or the ranking minor-
ity member of the Committee.
(e) Prior notice of mark-up sessions.-No session of the Com-
mittee or a subcommittee for marking up any measure shall be held
unless (1) each member of the Committee or the subcommittee, as the
case may be, has been notified in writing of the date, time, and place
of such session at least 48 hours prior to the commencement of such
session, or (2) the Chairman of the Committee or subcommittee deter-
mines that exigent circumstances exist requiring that the session be
held sooner.
(f) Prior notice of first degree amendments.-It shall not be in order
for the Committee or a subcommittee to consider any amendment in
the first degree proposed to, and measure under construction by the
committee or subcommittee unless a written copy of such amendment
has been delivered to each member of the Committee or subcommittee,
as the case may be, and to the office of the Committee at least 24 hours
before the meeting of the Committee or subcommittee at which the
amendment is to be proposed. This subsection may be waived by a
majority of the members of the Committee or subcommittee voting.
This subsection shall apply only when at least 48 hours written notice
of a session to mark up a measure is required to be given under sub-
section (e) of this rule.
(5)







(g) Cordon rule.-Whenever a bill or joint resolution repealing or
amending any statute or part thereof shall be before the Committee
or subcommittee, from initial consideration in hearings through final
consideration, the Clerk shall place before each member of the Com-
mittee or subcommittee a print of the statute or the part or section
thereof to be amended or repealed showing by stricken-through type,
the part or parts to be omitted, and in italics, the matter proposed to
be added. In addition, whenever a member of the Committee or sub-
committee offers an amendment to a bill or joint resolution under con-
sideration, those amendments shall be presented to the Committee or
subcommittee in a like form, showing by typographical devices the
effect of the proposed amendment on existing law. The requirements of
this subsection may be waived when, in the opinion of the Committee
or subcommittee chairman, it is necessary to expedite the business of
the Committee or subcommittee.
RULE 3.-SUBCOMMITTEES
(a) Authorization for.-A subcommittee of the Committee may be
authorized only by the action of a majority of the Committee.
(b) Membership.-Membership to subcommittees shall be by nom-
ination of the Chairman and the ranking minority member of the
Committee and shall be approved by the majority vote of the Com-
mittee.
(c) Investigations.-No investigation shall be initiated by a sub-
committee unless the Senate or the full Committee has specifically
authorized such investigation.
(d) Hearings.-No hearing of a subcommittee shall be scheduled
outside the District of Columbia without prior consultation with the
Chairman and then only by agreement between the Chairman of the
Subcommittee and the ranking minority member of the Subcommittee
or by a majority vote of the Committee.
(e) Confidential testimony.-No confidential testimony taken or
confidential material presented at an executive session of the Sub-
committee or any report of the proceedings of such executive session
shall be made public, either in whole or in part or by way of sum-
mary unless specifically authorized by the Chairman of the Subcom-
mittee and the ranking minority member of the Subcommittee or by
a majority vote of the Subcommittee.
(f) Interrogation of witness.-Subcommittee interrogation of a
witness shall be conducted only by members of the Subcommittee or
such professional staff as is authorized by the Chairman or the ranking
minority member of the Subcommittee.
.(g) Special meetings.-If at least three members of a subcom-
mittee desire that a special meeting of the Subcommittee be called by
the Chairman of the Subcommittee, those members may file in the
offices of the Committee their written request to the Chairman of the
Subcommittee for that special meeting. Immediately upon the filing of
the request, the Clerk of the Committee shall notify the Chairman of
the Subcommittee of the filing of the request. If, within 3 calendar
days after the filing of the request, the Chairman of the Subcommittee
does not call the requested special meeting, to be held within 7 calendar
days after the filing of the request, a majority of the members of the
Subcommittee may file in the offices of the Committee their written







notice that a special meeting of the Subcommittee will be held, specifv-
ing the date and hour of that special meeting. The Subconmittee shall
meet on that date and hour. Immediately upon the filing of the notice,
the Clerk of the Committee shall notify all member. of the Subcom-
mittee that such special meeting will be held and inform them of its
date and hour. If the Chairman of the Subcommittee is not present at
any regular, additional, or special meeting of the Subcommittee, the
ranking member of the majority party on the Subcommittee who is
present shall preside at that meeting.
(h) Voting.-No measure or matter shall be recommended from a
Subcommittee to the Conimittee unless a majority of the Subcon-
mittee are actually present. The vote of the Subconimittee to recon-
mend a measure or matter to the Committee shall require the concur-
rence of a majority of the members of the Subcommittee voting. On
Subcommittee matters other than a vote to recommend a measure or
matter to the Committee no record vote shall be taken unless a ma-
jority of the Subcommittee are actually present. Any absent member
of a Subcommittee may affirmatively request that his vote to recom-
mend a measure or matter to the Committee or his vote on ainv such
other matter on which a record vote is taken, be cast by proxy. The
proxy shall be in writing and shall be sufficiently clear to identify the
subject matter and to inform the Subcommittee as to how the member
wishes his vote to be recorded thereon. By written notice to the Chair-
man of the Subcommittee any time before the record vote on the
measure or matter concerned is taken, the member may withdraw a
proxy previously given. All proxies shall be kept in the files of the
Committee.
RULE 4.-WITNESSES
(a) Filing of statements.-Any witness appearing before the Com-
mittee or Subcommittee (including any witness representing a Gov-
ernment agency) must file with the Committee or Subcommittee
(before noon, 48 hours preceding his appearance) 75 copies of his
statement to the Committee or Subcommittee. In the event that the
witness fails to file a written statement in accordance with this rule, the
Chairman of the Committee or Subcommittee has the discretion to
deny the witness the privilege of testifying before the Committee or
Subcommittee until the witness has properly complied with the rule.
(b) Length of statements.-Written statements properly filed with
the Committee or Subcommittee may be as lengthy as the witness
desires and may contain such documents or other addenda as tle wit-
ness feels is necessary to present properly his views to the Committee
or Subcommittee. It shall be left to the discretion of the Chairman of
the Committee or Subcommittee as to what portion of the documents
presented to the Committee or Subcommittee shall be published in the
printed transcript of the hearings.
(c) Fifteen-minute duration.-Oral statements of witnesses shall
be based upon their filed statements but shall be limited to 15 minutes
duration. This period may be extended at the discretion of the Chair-
man presiding at the hearings.
(d) Subpoena of witnesses.-Witnesses may be subpoenaed by the
Chairman of the Committee or a subcommittee with the agreement
of the ranking minority member of the Committee or Subcommittee
or by a majority vote of the Committee or Subcommittee.


80-60-T7-2







(e) Counsel permitted.-Any witness subpoenaed by the Committee
or Subcommittee to a public or executive hearing may be accompanied
by counsel of his own choosing who shall be permitted, while the
witness is testifying, to advise him of his legal rights.
(f) Expenses of witnesses.-No witness shall be reimbursed for
his appearance at a public or executive hearing before the Committee
or Subcommittee unless such reimbursement is agreed to by the Chair-
man and ranking minority member of the Committee or by a majority
vote of the Committee.
(g) Limits of questions.-Questioning of a witness by members
shall be limited to 10 minutes duration, except that if a member is
unable to finish his questioning in the 10-minute period, he may be
permitted further questions of the witness after all members have
been given an opportunity to question the witness.
Additional opportunity to question a witness shall be limited to a
duration of 10 minutes until all members have been given the oppor-
tunity of questioning the witness for a second time. This 10-minute
time period per member will be continued until all members have
exhausted their questions of the witness.
RULE 5.-VOTING
(a) Vote to report a measure or matter.-No measure or matter
shall be reported from the Committee unless a majority of the Com-
mittee are actually present. The vote of the Committee to report a
measure or matter shall require the concurrence of a majority of the
members of the Committee who are present.
Any absent member may affirmatively request that his vote to re-
port a matter be cast by proxy. The proxy shall be sufficiently clear
to identify the subject matter, and to inform the Committee as to how
the member wishes his vote to be recorded thereon. By written notice
to the Chairman any time before the record vote on the measure or
matter concerned is taken, any member may withdraw a proxy pre-
viously given. All proxies.shall be kept in the files of the Committee,
along with the record of the roll vote of the members present and vot-
ing, as an official record of the vote on the measure or matter.
(b) Vote on matters other than a report on a measure or matter.-
On Committee matters other than a vote to report a measure or matter,
no record vote shall be taken unless a majority of the Committee are
actually present. On any such other matter, a member of the Com-
mittee may request that his vote may be cast by proxy. The proxy
shall be in writing and shall be sufficiently clear to identify the sub-
ject matter, and to inform the Committee as to how the member
wishes his vote to be recorded thereon. By written notice to the Chair-
man any time before the vote on such other matter is taken, the
member may withdraw a proxy previously given. All proxies relating
to such other matters shall be kept in the files of the Committee.






RULE 6.-QoRUM
No executive sessioni of a ( ommittee or a Siltommittee. Rll be
called to order unless a majority of 1ie (" mmini Qe or "i'bomr1i tee.
as the case may be, are actually present. Unle--s the ( ommttee other-
wise provides or is required by the Rules of the Senate, one member
shall constitute a quorum for the receipt of evidence, the sweariio of
witnesses, and the taking of testimony.

RULE 7.-STAFF PRESENT ON DAIS
Only members and the Clerk of the Committee shall be permitted
on the dais during public or executive hearings, except that a member
may have one staff person accompany him during such public or execu-
tive hearing on the dais. If a member desires a second staff person to
accompany him on the dais he must make a request to the Chairman
for that purpose.

RULE 8.-PUBLIC ATTENDANCE AT 'MEETINGS
Except in the case of the conduct of hearings (which are provided
for in section 112(a) of the Legislative Reorganization Act of 1970),
or in the case of any meeting (other than a hearing) to consider the
nomination of an individual submit ted by the President to the Senate
for its advice and consent, all meetings for the transaction of busi-
ness, including sessions for marking up bills and resolutions, of the
Committee and subcommittees thereof shall be open to the public un-
less the Committee or subcommittee (as the case may be) in open
session and with a quorum present, by majority vote conducted by
rollcall, determines that all or part of the remainder of the meeting
on that day shall be closed to the public. In the case of any such meet-
ing with respect to a nomination, the Committee or subcommittee in
executive session may, with a quorum present and by majoity vote
conducted by rollcall, determine that the meeting for that day shall be
open to the public.
















FINAL ACTION ON BILLS AND RESOLUTIONS BEFORE THE COMMITTEE ON BANKING, HOUSING AND URBAN
AFFAIRS, 94TH CONG., 1ST AND 2D SESS,

S. Rept.
Number Description No.- Final action


S. 245 .......- Electronic funds transfer moratorium ----------------
S. 249 -------- Securities Act amendments -------------- 94-75
S.371 -------- Eth lic medals bill ---------------------- 94-173
S. 409 -------- Council on Wage and Price Stability ---------94-84
S. 545 -------- Wounded Knee compensation ------------------------
S. 662 -------- Urban mass transit amendments --------- 94-365


Increased loan amounts for mobile h)mes..
Arab boycott/foreign investment-__
Financial Institutions Act ------------------


S. 1281 ------- Home M~rtgage Disclosure Act -------------


Temporary mortgage assistance to unem-
ployed.
Emergency homeowners relief--------.


S. 1537 ------- Defense Production Act extension---------
S. 1547- Small Business Act amendment --------
S. 1839-.--------..do -------...
S. 1899________.Electronic fund transfer moratorium --------
S. 2136 ------- Securities Act amendments-.......
S. 2209 -------Amend Bank Holding Company Act.......


Supervisory authority of bank regulating
agencies.
Real Estate Settlement Procedures Act
amendment.
National Committee on Small Business in
America.
Small Business Investment Act amend-
ments.
Voluntary Municipal Reorganization Act-----
State Taxation of Depositories Act__ -
Investment Advisers Act amendments -----
Extension of Export Administration Act-.-
Housing Act Amendments of 1976 ........
National Credit Union Administration re-
organization.
Amend Small Business Act...........


S. 3370 ------- Amend Small Business Investment Act -----


S. 3554 -------
S. 3664 .......

S. 3701 .......
S. 3766 --------
S. 382 ........
H.R. 3035 ....
H.R. 3427 ....
H.R. 4485_.....
H.R. 4888 ....
H.R. 5398 ------
H.R. 5541 ------
H.R.5884 ......
H.R.6516_....


National Commission on Neighborhood 94-1052
Preservation.
Corporate bribery -------------------94-1031

State Taxation of Depositories Act.
Prohibiting export of horses for slaughter ............
Moratorium on conversion of savings and 94-1229
loans.
Interest on public demand deposits ------- 94-1150
Medal for Chas. Carroll ------------------ 94-700
Emergency Homeowners Assistance Act..--- 94-161
Amend Small Business Act
Emergency Homeowners Relief Act
Small business/relief with fixed price........
contracts.
Extension of CIEP-------------------94-355
Equal credit opportunity...--------------- 94-589


H.R. 8151. _ Yeager medal bill -----------------------
H.R. 8650 ----- Building energy conservation standards.----


94-341
94-632
94-487
94-187
1 94-553


Tabled by committee.
Public Law 94-29.
Passed Senate June 6, 1975; passed House
Apr. 30, 1976, amended.
Public Law 94-78.
Discharged from Banking and referred to
Judiciary Committee-Oct. 1, 1975.
Passed Senate Sept. 15, 1975; referred to
House Public Works and Transportation
Committee.
Public Law 94-173.
Included as provision of S. 3084.
Passed Senate, Dec. 11, 1975; referred to House
Banking Committee.
Public Law 94-200.


94-78 Included in H.R. 4485,
June 24, 1975.
94-86 Included in H.R. 4485,
June 24. 1975.


94-353
94-460


Public Law 94-152.


vetoed by President
vetoed by President


-Tabled by committee.
94-167 Passed Senate, June 4, 1975; referred to House
Small Business Committee.
-------- Tabled by committee.
94-340 Passed Senate,July 30, 1975; referred to House
Interstate and Foreign Commerce.
94-338 Passed Senate, July 30, 1975; referred to
House Banking Committee.
94-843 Withdrawn from Senate Calendar, Sept. 20,
1976.
94-410 Public Law 94-205.
94-420 Public Law 94-305.
94-1177 Passed Senate, Sept. 27, 1976; referred to
House Small Business Committee.
94-443 Tabled by Senate, Dec. 8, 1975.
94-472 Public Law 94-222.
94-910 Reported to Senate, May 20, 1976.
94-917 Passed Senate, Aug. 27, 1976; passed House,
Sept. 22, 1976, amended.
94-749 Public Law 94-375.
94-751 Placed on table, May 6, 1976.


Passed Senate, July 22, 1976; referred to
House Small Business Committee.
Passed Senate, July 19, 1976; referred to
House Small Business Committee.
Passed Senate, Sept. 7, 1976; referred to
House Banking Committee.
Passed Senate, Sept. 15, 1976; referred to
House Interstate and Foreign Commerce
Committtee.
Added as amendment to H.R. 3035, H.R. 12934.
Included as amendment on floor to S. 3084.
Reported to Senate, Sept. 10, i976.
Tabled by Senate, Sept. 20, 1976.
Public Law 94-257.
Vetoed by President, June 24, 1975.
Tabled by committee.
Public Law 94-50.
Discharged from Banking, May 22, 1975, and
referred to Government Operations.
Public Law 94-87.
Public Law 94-239.
Public Law 94-179.
Included as title III, H.R. 12169 (FEA au-
thorizations).


(11)


848 ---------
953 ---------
1267 --------


S. 1457.
S. 1483 --------


S. 2304 --------
S.2327 --------
S. 2498 --------
S.2613 --------
S. 2615 --------
S. 2672
S. 2849 --------
S. 3084 --------
S. 3295 --------
S. 3312 --------
S. 3369 ........






12

FINAL ACTION ON BILLS AND RESOLUTIONS BEFORE THE COMMITTEE ON BANKING, HOUSING AND URBAN
AFFAIRS, 94TH CONG., 1ST AND 2D SESS.-Continued

S. Rept.
Number Description No.- Final action


H.R. 8835 ----- Truth in Lending--------------------94-590
94-686
H.R. 9852 ----- Increase loan amounts for mobile homes--- 94-520
H.R. 10481 2 ... New York City seasonal financing --------------------
H.R. 12934- Federal Reserve reform ---------------94-1151
H.R. 13955- Amendment of Bretton Woods Agreements 94-1295
Act.
S.J. Res 94- Extend defense production ....
S.J. Res 97 Extend CIEP
S.J. Res. 102.... Clarify authority of Federal Savings & Loan 94-266
Associations.
S.J. Res. 134... Authority for Federal Banks to directly pur- 94-405
chase U.S. obligations.
SJ. Res. 157..-.. Exemption from loans/re national flood in-
surance.
HJ. Res. 784... Extend Defense Production Act amend-
ments.
S. Res. 57 ----- Operating expenses for Banking Committee- 94-306
S. Res. 61 ----- Disapproving budget deferral re: Home- 94-30
ownership assistance under sec. 235.
S. Res. 369- Additional expenditures for Banking -------94-655
S. Res. 513_____.Waiving budget provisions with respect to 94-1128
S. 3554.
S. Con. Res. 45- Variable rate mortgages--------------- 94-170
H. Con. Res. 133 Conduct of monetary policy -------------- 94-30


Public Law 94-240.
Passed Senate, Jan. 23, 1976.
Public Law 94-143.
Tabled by Senate, Sept. 20, 1976,
Public Law 94-564.
Public Law 94-42.
Passed Senate, June 21, 1975.
Public Law 94-60.
Public Law 94-125.
Public Law 94-198.
Public Law 94-220.
Approved by Senate, July 26, 1975.
Approved by Senate, Mar. 13, 1975.
Approved by Senate, Mar. 4, 1976.

Passed Senate, June 16, 1975. Referred to
House Banking Committee.
Passed Senate, Mar. 20, 1975; passed House,
Mar. 24, 1975.


I Conference report.
2 Never referred to Banking Committee.











NOMINATIONS REFERRED TO COMMITTEE DURING 94TH CONGRESS
Confirmed
Namn and Office by Senate


Thomas G. Cody, of Maryland, to be an Assistant Secretary of
Housing and Urban Development.
William I. Greener, Jr., of Virginia, to be an Assistant Secretary
of Housing and Urban Development.
Otto George Stolz, of North Carolina, to be a member of the Board
of Directors of the New Community Development Corporation.
Carla Anderson Hills, of California, to be Secretary of Housing
and Urban Development.
Joseph F. Hinchey, of Pennsylvania, to be a member of the
National Credit Union Board for a term expiring December 31,
1980. (Reappointment.)
Paul Webster MacAvoy, of Massachusetts, to be a member of the
Council of Economic Advisers.
James H. Blair, of Michigan, to be an Assistant Secretary of
Housing and Urban Development.
Philip C. Jackson, Jr., of Alabama, to be a member of the Board
of Governors of the Federal Reserve System for the unexpired
term of 14 years from February 1, 1968.
Garth Marston, of Washington, to be a member of the Federal
Home Loan Bank Board for the term expiring June 30, 1979.
(Reappointment.)
Burton Gordon Malkiel, of New Jersey, to be a member of the
Council of Economic Advisers.
Irving M. Pollack, of Maryland, to be a member of the Securities
and Exchange Commission for the term expiring June 5, 1980.
(Reappointment.)
David S. Cook, of Ohio, to be an Assistant Secretary of Housing
and Urban Development.
Robert E. Patricelli, of Connecticut, to be Urban Mass Trans-
portation Administrator.
Charles J. Orlebeke, of Illinois, to be an Assistant Secretary of
Housing and Urban Development.
Michael H. Moskow, of New Jersey, to be Director of the Council
on Wage and Price Stability.
John B. Rhinelander, of Virginia, to be Under Secretary of Hous-
ing and Urban Development.
Roderick M. Hills, of California, to be a member of the Securities
and Exchange Commission, for the remainder of the term
expiring June 5, 1977.
Ben B. Blackburn, of Georgia, to be a member of the Federal
Home Loan Bank Board for the remainder of the term expiring
June 30, 1978.
William B. Widnall, of New Jersey, to be chairperson of the
National Commission on Electronic Fund Transfers.
J. Charles Partee, of Virginia, to be a Member of the Board of
Governors of the Federal Reserve Board for the unexpired term
of 14 years from Feb. 1, 1972.
Mitchell P. Kobelinski, of Illinois, to be Administrator of the
Small Business Administration.
Stephen M. DuBrul, Jr., of New York, to be President of the
Export-Import Bank of the U.S.
Stephen S. Gardner, of Pennsylvania, to be a member of the
Board of Governors of the Federal Reserve System for a term
of 14 years from Feb. 1, 1976.
(13)


Mar. 5, 1975


Mar. 5, 1975
Mar. 5, 1975
Apr. 21, 1975

June 6, 1975
June 6,1975
June 25, 1975

June 26, 1975

July 18, 1975
Aug. 1,1975

Aug. 1, 1975
Aug. 1, 1975
Aug. 1,1975
Sept. 10, 1975
Sept. 10, 1975
Oct. 9, 1975


Oct. 29, 1975
Dec. 19, 1975

Feb. 6, 1976
Dec. 19, 1975
Jan. 29, 1976






14

NOMINATIONS REFERRED TO COMMITTEE DURING
94TH CONGRESS-Continued


Name and Office


Constance B. Newman, of the District of Columbia, to be an
Assistant Secretary of Housing and Urban Development.
John Breen Benton, of California, to be Executive Director of
the National Commission on Electronic Fund Transfers.
J. Ralph Stone, of California, to be a member of the Federal Home
Loan Bank Board for the remainder of the term expiring June
30 1978.
James L. Young, of Washington, to be an Assistant Secretary of
Housing and Urban Development.
Robert E. Barnett, of Washington, D.C., to be a member of the
Board of Directors of the Federal Deposit Insurance Corpora-
tion for a term of 6 years.
David M. Lilly, of Minnesota, to be a member of the Board of
Governors of the Federal Reserve for the unexpired term of
14 years, from Feb. 1, 1974.
Following nominations to be members of the Board of Directors
of the National Institute of Building Sciences, for indicated
terms, commencing on the date of incorporation.
For a term of 1 year:
Robert J. Brungraber, of Pennsylvania
Leo J. Cantor, of Virginia
Jodie R. Johnson, of Mississippi
Joseph H. Newman, of New Jersey
Charles H. Pillard, of Maryland
Robert F. Schmitt, of Ohio
For a term of 2 years:
William F. Floyd III, of Georgia
Jasper S. Hawkins, of California
Warner Howe, of Tennessee
Charlene F. Sizemore, of West Virginia
S. Peter Volpe, of Massachusetts
Jeremiah T. Walsh, of New York
For a term of 3 years:
0. M. Mader, of Pennsylvania
Robert A. Georgine, of Maryland
Rudard A. Jones, of Illinois
David S. Miller, of Ohio
Glen S. Swenson, of Utah
Herbert H. Swinburne, of Pennsylvania
Wade Choate, of Texas, to be a member of the National Credit
Union Board for a term expiring Dec. 31, 1981.
George Henry Kuper, of the District of Columbia, to be Executive
Director of the National Center for Productivity and Quality of
Working Life.
Austin Montgomery, of Illinois, to be Administrator of the Na-
tional Credit Union Administration.
Following nominations to be members of the Board of Directors of
the National Center for Productivity and Quality of Working
Life for a term coterminous with the term of the President:
Donald C. Burnham, of Pennsylvania
R. Heath Larry, of Pennsylvania
Edward E. Carlson, of Illinois
I. W. Abel, of Pennsylvania
C. L. Dennis, of Illinois
Frank E. Fitzsimmons, of Maryland
James E. Holshouser, Jr., of North Carolina
Daniel J. Evans, of Washington
L. William Seidman, of Michigan
Andrew E. Gibson, of New Jersey


Feb. 26, 1976
Mar. 11, 1976


Mar. 11, 1976
Mar. 17, 1976

May 28, 1976

June 24, 1.976



















June 16, 1976
May 28, 1976

June 16, 1976
Sept. 30, 1976


Confirmed
by Senate








NOMINATIONS REFERRED TO COMMITTEE DURING
94TH CONGRESS-Continued


Name and Office


Delio E. Gianturco, of Virginia, to be First Vice President of the
Export-Import Bank of the United States.
Charles J. Urstadt, of New York, to be a member of the Board of
Directors of the National Corporation for Housing Partnerships
for the term expiring Oct. 27, 1978.
Stanley E. Shirk, of Connecticut, to be Comptroller of Currency
Patrick J. Delaney, of New York, to be a member of the Securities
and Exchange Commission for the term expiring June 5, 1981.
Margaret W. Kahliff, of Ohio, to be a member of the Board of
Directors of the Export-Import Bank of the United States.
Following to be members of the Board of Directors of the National
Center for Productivity and Quality of Working Life for a
term coterminous with the term of the president:
Bess Meyerson, of New York
Berkeley G. Burrell, of the District of Columbia
Wayne L. Horvitz, of the District of Columbia
Gaylord Freeman, of Illinois
Herbert S. Richey, of Ohio
Robert A. Georgine, of Maryland
J. Lane Kirkland, of the District of Columbia
John T. Dunlop, of Massachusetts
Following named persons to be directors of the Securities Investor
Protection Corporation for the terms indicated:
For a term expiring Dec. 31, 1977, F. Barton Harvey, Jr., of
Maryland.
For a term expiring Dec. 31, 1978, J. W. Van Gorkom, of
Illinois (reappointment).
David M. deWilde, of the District of Columbia, to be president,
Government National Mortgage Association.
Following named to be members of the Board of Directors of the
National Institute of Building Sciences for the terms indicated
commending on the date of incorporation:
For a term of 1 year: Jack C. Sanders, of Oklahoma
For a term of 2 years: Ernest Ambler, of Maryland
For a term of 3 years; Charles J. Orlebeke, of Maryland


July 29, 197G


Sept. 30, 1976
Sept. 30, 1976


Oct. 1, 1976


Confirmed
by Senate













Summary of Legislation, Bills and Resolutions Originating in
the Committee


BILLS ENACTED INTO LAW
EXTEND DEFENSE PRODUCTION ACT AND AUTHORIZA-
TION OF APPROPRIATIONS FOR NATIONAL COMMIS-
SION ON PRODUCTIVITY AND WORK QUALITY
[S.J. Res. 94]
[Public Law 94-42, Approved June 28, 1975]
To extend by ninety days the expiration date of the Defense Production Act of
1950 and to extend the funding of the National Commission on Productivity
and Work Quality for ninety days
HISTORY OF LEGISLATION
S.J. Res. 94 was introduced in the Senate on June 10, 1975; passed
the Senate on the same day; passed the House on June 17, 1975; and
became Public Law 94-42 on June 28, 1975.
DIGEST OF STATUTE
Public Law 94-42 extended the expiration date of the Defense
Production Act of 1950 and extended the authorization of appropria-
tions for the National Commission on Productivity and Work Quality
from June 30, 1975, to September 30, 1975.


EMERGENCY HOMEOWNER'S RELIEF ACT
[H.R. 5398]
[Public Law 94-50, Approved July 2, 1975]
To authorize temporary assistance to help defray mortgage payments on homes
owned by persons who are temporarily unemployed or underemployed as the
result of adverse economic conditions
HISTORY OF LEGISLATION
H.R. 5398 was introduced in the House of Representatives on
March 24, 1975, and was reported by the House Banking Committee
on April 7 (H. Rept. 94-124). On April 14, the bill passed the House
amended, and on June 26, the Senate suspended the rules and passed
H.R. 5398, with amendment. On the same day, the House accepted
the Senate amendment with an amendment. The Senate agreed to the
House changes on June 27, and the President signed the bill into law on
July 2, 1975 (Public Law 94-50).
(17)





18


DIGEST OF STATUTE
The law gives the Secretary of Housing and Urban Deve'opment
standby authority to implement an emergency relief program for
extending credit to homeowners who are unemployed or under-
employed as a result of adverse economic conditions prev.ing and
who are facing foreclosure on their homes.


AUTHORITY FOR FEDERAL SAVINGS AND LOANS TO
ACT AS CUSTODIAN OF INDIVIDUAL RETIREMENT
ACCOUNTS
[S.J. Res.. 102]
[Public Law 94-60, Approved July 25, 19751
An original joint resolution amending sec. 5(c) of the Home Owner's Loan Act
of 1933 to clarify the authority of Federal savings and loan associations to
act as custodians of individual retirement accounts
HISTORY OF LEGISLATION
S.J. Res. 102 was reported to the Senate (S. Rept. 94-266) on July
9, 1975. Without amendment, it passed the Senate on July 11, 1975
and the House on July 17, 1975, and became Public Law 94-60 on
July 25, 1975.
DIGEST OF STATUTE
The purpose of the measure was to allow savings and loan associ-
ations to act as trustees and custodians of individual retirement
accounts.

COUNCIL ON WAGE AND PRICE STABILITY
[S. 4091
[Public Law 94-78; Approved August 9, 1975]
To increase the authorization for the Council on Wage and Price Stability, and
to extend the duration of such Council
HISTORY OF LEGISLATION
S. 409 was introduced in the Senate on January 27, 1975. The
Banking Committee held hearings on February 5 and 6, and on
March 6 and 7, 1975. After Committee consideration the bill was
reported with amendments to the Senate (S. Rept. 94-84) on April
18, 1975.
On May 6, 1975, the Senate considered, amended, and passed the
measure and it was sent to the House where it was amended and passed
on July 31, 1975.
The Senate accepted the House amendment on August 1, 1975,
and the bill was signed by the President on August 9, 1975, becoming
Publo Law 94-78.







DIGEST OF STATUTE
Extends the life of the Council on Wage and Price Stability through
September 30, 1977; increases its budget by $700,000 each fiscal year;
and increases its authorities to require periodic reports and to issue
subpoenas.

INTERNATIONAL ECONOMIC POLICY ACT
[H.R. 5884]
[Public Law 94-87, Approved August 9, 1975]
To authorize appropriations for carrying out the provisions of the International
Economic Policy Act of 1972, as amended, and for other purposes
HISTORY OF LEGISLATION
H.R. 5884 was introduced in the House of Representatives on
April 10, 1975, and was reported by the Committee on International
Relations on May 15, 1975 (H. Rept. 94-219). On July 9, 1975, the bill
passed the House and on July 11, was referred to the Senate Banking
Committee. The Committee reported the bill (S. Rept. 94-355) on
July 31, and on the same day, the legislation was passed by the Senate.
On August 9, the President signed H.R. 5884 into law (Public Law
94-87).
DIGEST OF STATUTE
The law authorizes appropriations for the Council on International
Economic Policy for fiscal years 1976 and 1977; extends CIEP's
underlying authority to September 30, 1977 in conformity with the
new fiscal year arrangements prescribed by the Congressional Budget
Act of 1974; provides an exemption for CIEP from the provisions of
the United States Code regulating the employment and compensation
of persons in the Federal service; and allows compensation in excess
of the GS-15 level but not in excess of the GS-18 level for up to
eight CIEP employees.

DEFENSE PRODUCTION ACT AMENDMENTS OF 1975
[S. 1537]
[Public Law 94-152, Approved December 16, 1975]
To amend the Defense Production Act of 1950, as amended
HISTORY OF LEGISLATION
S. 1537 was introduced in the Senate on April 27, 1975, and referred
to the Senate Banking Committee which held hearings on July 7,
1975. On July 31, 1975, the committee reported the bill (S. Rept.
94-353) with an amendment which replaced the immunity provisions
in section 708(j) and section 708A(j) of the substitute provisions
adopted from the parallel section of S. 622, "The Standby Energy
Authorities Act," which passed the Senate on April 10, 1975.





20


The bill was considered, amended, and passed by the Senate on
September 15, 1975, referred to the House, and considered, amended,
and passed by the House on November 14, 1975.
The Senate requested a conference on November 17, 1975, and the
House agreed on the same day. The Conference Reports (S. Rept.
94-460 and H. Rept. 94-673) were agreed to by the Senate on Novem-
ber 18, 1975, and by the House on December 3, 1975.
The bill was signed by the President on December 16, 1975,
becoming Public Law 94-152.
DIGEST OF STATUTE
Public Law 94-152 extends the Defense Production Act of 1950
until September 30, 1977. The act authorizes programs that maintain
the national defense industrial production base, prepares mobilization
programs, provides uniform cost accounting standards for contractors,
and examines national policy with respect to materials shortages and
supplies.
The act revises and clarifies the existing authority for the granting
of antitrust immunity to participants in certain voluntary agreements
and extends the life of the Joint Committee on Defense Production
until September 30, 1977, with the understanding that Congress will
review the renewal of the committee at the same time it considers the
extension of the Defense Production Act.
Finally, the act authorizes $1.6 million for the National Commission
on Supplies and Shortages through March 31, 1977.


YEAGER MEDAL
[H.R. 8151]
[Public Law 94-179. Approved January 2, 1976]
To authorize the President of the United States to present in the name of Congress
a medal to Brigadier General Charles E. Yeager
HISTORY OF LEGISLATION
H.R. 8151 passed the House on October 20, 1975 and was referred
to the Senate Banking Committee which reported the bill to the
Senate on December 16, 1975 (S. Rept. 94-565).
The bill passed the Senate the same day and was approved and
signed by the President on January 2, 1976 becoming Public Law
94-179.
DIGEST OF STATUTE
The law authorizes the President to present in the Name of Congress,
a medal to Air Force Brigadier General Charles E. Yeager. The medal
shall be equivalent to a noncombat Medal of Honor, for contributing
to aerospace science by risking his life in piloting the SX-1 research
airplane faster than the speed of sound on October 14, 1947. For such
purpose the Secretary of the Treasury is authorized and directed to
cause to be struck a silver medal with suitable emblems, devices, and
inscriptions to be determined by the Secretary of the Air Force subject
to the approval of the Secretary of the Treasury. The bill authorized
the appropriation of the sum of $5,500 for this purpose.






EXEM PION FOR EXISTING DWELLIN GS
FRO:\I FLOOD INSURANCE SANCTIONS
[S. J. Res. 157]
[Public Law 94-198, Approved December 31, 1975]
To provide a 2-month extension of the exemption for loans made to finance the
acquisition of previously occupied residential dwellings from the prohibition
against financing by federally-related financial institutions for property located
in communities not participating in the national flood insurance program
HISTORY OF LEGISLATION
S. J. Res. 157 was introduced and passed by the Senate on July
19, 1975. It passed the House on the same day and was approved and
signed by the President on December 31, 1975 becoming Public Law
94-198.
DIGEST OF STATUTE
Public Law 94-198 provided a 2-month extension of the exemption
for loans made to finance the acquisition of previously occupied
residential dwellings from the prohibition against financing by
Federally-related financial institutions for property located in com-
munities not participating in the national flood insurance program.


HOME MORTGAGE DISCLOSURE ACT
[S. 1281]
[Public Law 94-200, Approved December 31, 1975]
To extend the authority for the flexible regulation of interest rates on deposits
and share accounts in depository institutions to extend the National Com-
mission on Electronic Fund Transfers, and to provide for home mortgage
disclosure.
HISTORY OF LEGISLATION
S. 1281 was introduced in the Senate on March 21, 1975 and re-
ferred to the Committee on Banking, Housing and Urban Affairs.
Hearings were held on May 5, 6, 7, and 8, 1975 and after consideration,
the bill was reported (S. Rept. 94-187) to the Senate on June 6, 1975.
On September 4, 1975, the measure passed the Senate with amend-
ments and was referred to the House Banking, Currency and Housing
Committee.
The House which had already passed I.R. 10024 (H. Rept. 94-
561), passed S. 1281 on October 31, 1975 with an amendinent, which
substituted the text of H.R. 10024 for that of S. 1281. The Senate
requested ,)- conference on November 12, 1975 an(1 the House agreed
to the conference the following (lay. After the Senate filed its con-
ference report (S. Reit. 94-5'1), December 12, 1075 and the filing
of the ilouse conference report (H. Rept. 94-726), December 15, 19,75
both house, agreed on the enrolled bill.
It was signed l)v the President on December 31, 1975, becoming
Public Law 94-206.




22


DIGEST OF SATUTE
Title I of the Act extends until March 1, 1977, the authority of
various Federal agencies to regulate interest rates paid on certain
deposits in financial institutions and continues the quarter percent-
age point differential available to thrift institutions.
Title II of the act, extends the authorization of the Natiomal
Commission on Electronic Fund Transfers for 2 years beyond the
confirmation date of its chairperson.
Title III of the act requires financial institutions having over $10
million in assets and operating in standard metropolitan statistical
areas to compile and make available for public inspection, informa-
tion on the total number and dollar amount of mortgage and home
improvement loans broken down by census tract or zip code. The law
will be enforced by the Federal Reserve Board, the Federal Home
Loan Bank Board, Comptroller of the Currency, Federal Deposit
Insurance Corporation and Federal Trade Commission, and will
supersede any inconsistent provisions of State laws. The Federal
Reserve will have the authority to exempt State chartered institu-
tions which are subject to similar State disclosure and enforcement
requirements.

REAL ESTATE SETTLEMENT PROCEDURES ACT
AMENDMENTS
[S. 2327]
[Public Law 94-205, Approved January 2, 1976]
To amend the Real Estate Settlement Procedures Act of 1974
HISTORY OF LEGISLATION
S. 2327 was introduced in the Senate on September 10, 1975 and
referred to the Senate Banking Committee. Hearings were held on
September 15, 16, and 17,1975.
The bill was reported with an amendment (S. Rept. 94-410), on
October 6, 1975; and passed the Senate, amended, on October 9,1975.
The House Banking Committee considered the measure, and re-
ported it to the House, with an amendment (H. Rept. 94-667), on
November 14, 1975. After consideration, S. 2327 was passed by the
House, amended, on November 17, 1975.
The Senate concurred in the House amendments, with amendments,
on December 8; then on December 19, 1975, both House and Senate
agreed to a conference report (H. Rept. 94-769).
The bill was approved and signed by the President on January 2,
1976, becoming Public Law 94-205.

DIGEST OF STATUTE
Public Law 94-205 amends several sections of the Real Estate
Settlement Procedures Act of 1974. The statute amends the definition
of Fedlerally relate(l mortgage loan to exclude construction loans and
second mortgages and requires that a non-institutional lender subject





23

to RESPA must intend to sell the mortgage to GNMIA, FN'MA, or
the FHILMC rather than require that the inortgage merely be eliribie
for l)urchase by those ona iza t ions. It also exclu(les any State from
the definition of creditor.
T1he statute modifies the uniform settlement statement to a(lapt to
area (Jifferences, allows the Secretary of the Department of I.oising
at Urban Development to exempt certain types of settlements from
t}he requirements, but does require that statements be made available
af or before settlement.
The special information booklet that lenders are required to dis-
tribute to persons applying for mortgage loans must include good faith
, -.~,maes of the settlement (o4s.
The statute repeals the requirement that closing costs be disclo,-o(
12 (davs before the settlement (late and refu-ire- only that the sette-
ment cost form may be inspected one business day imme(liately pre-
c0(ing the day of settlement. It also repeals the requirement that the
previous selling price of the house be disclosed upon the request of
t tie borrower.
"7S. 2327 also clarifies that cooperative brokerage and referral arrang'e-
of real estate agents are exem)t fi-oin the prohibition aai,_;t
kick-bcks and unearned fees, and provides that the lender may request
at settlement the deposit in an escrow account of 2 months taxes anI
insurance premiums instead of the original 1 inonth.
The act also repeals see. 121(c) of the Truth in Lending Act which
requires a full statement of closing costs when a lender makes a ccn-
sumer loan or a commitment for a home mortgage loan.


EXTENSION OF STATE TAXATION OF
DEPOSITORIES ACT
[S. 2672]
[Public Law 94-222, approved February 27, 1976]
To extend the State Taxation of Depositories Act
HISTORY OF LEGISLATION
S. 2672 was introduced in the Senate on November 14, 1975, am.!
after consideration was report( by the Conmittee on November 20,
1975 (S. Rept. 94-472). The measure was amended and passed the
Senate on December 8, 1975.
The bill was amended and passed the House on December 16, 1975.
The Senate concurred in the amendment of the House with ainel(1-
iLents on February 6, 1976; the House agreed to the Senate amend-
ments on February 9, 1976; and on February 27. 1976 the bill Nvas
approved and signed by the President, becolning Public Law 94-222.

DIGEST OF STATUTE
The act amended section 7(c) of the State Taxation of Depositorl's
Act by extending the moratorium on interstate taxation of depositorie.
to September 12, 1976.


80-607-773





24


The measure also amended Public Law 93-100 to the effect NOW
accounts will be in effect in three additional New England States-
Maine, Connecticut and Rhode Island.
Finally Public Law 94-222 amended the Truth in Lending Act to
permit card issuers of three-party credit cards to prohibit sellers from.
offering cash discounts in excess of five percent.


CHARLES CARROLL MEDAL
[H.R. 3427]
[Public Law 94-257, Approved April 1, 1976]
To provide for the striking of medals in commemoration of the two hundredth
anniversary of the signing of the Declaration of Independence by Charles Carroll
of Carrollton
HISTORY OF LEGISLATION
H.R. 3427 was introduced in the House of Representatives on
February 20, 1975, and was referred to the House Banking Committee.
On October 20, the rules were suspended, and the bill discharged from
Committee. The Bill passed the House on October 20, and was
referred to the Senate Banking Committee on October 21. A similar
Senate bill, S. 201, was introduced on January 17, 1975, and was
considered in Committee, along with H.R. 3427. H.R. 3427 was
reported by the Banking Committee on March 17, 1976 (S. Rept.
94-700), and passed the Senate on March 18. It was signed into law
on April 1, 1976 (Public Law 94-257).
DIGEST OF STATUTE
The law provides for the striking of medals commemorating the
two hundredth anniversary of the signing of the Declaration of
Independence by Charles Carroll of Carrollton, Md. The Secretary
of the Treasury shall strike and furnish to the Baltimore Museum of
Art, not more than 50,000 medals with emblems, designs and inscrip-
tions reproducing those struck by the Mint in honor of the 90th
birthday of Charles Carroll. Any variation shall be determined by the
Baltimore Museum of Art subject to the approval of the Secretary.












CONGRESSIONAL RESOLUTION PASSED


CONDUCT OF MONETARY POLICY
[H. Con. Res. 133]
To lower interest rates
HISTORY OF LEGISLATION
The resolution was reported to the Hou-e (I. Rept. 94-20) on
February 5, 1975; passed the House on Mlarch 4, 1975 and was
referred to the Senate Banking Committee.
Meanwhile the committee had been considering S. Con. Re-. 18,
having held hearings on February 25 and 26, 1975.
On March 12, 1975 the committee agreed to su b.tjtiite the language
of S. Con. Res. 18, as amended!, for the language of H. Con. Re:. 13:3,
and reported the resolution (S. Rept. 94-38) to the Senate.
The measure passed the Senate on \March 17, 1975, and after
conference by both houses, the conference report (H. Rept. 94-91)
was agreed to by the Senate on March 20, 1975 and by the House on
March 24, 1975.
The activities since the resolution was enacted follow:
"First meeting on the Conduct of \Ionetarv Policy", hearin(, held
on April 29 and 30; and MAlay 1, 1975. S. Rept. 94-256, filed ,June 25,
1975.
"Second Meeting on the Conduct of 'Monetarv Policy,' haris
held on November 4 and 6, 1975. S. Rept 94-591, filed January 21,
1975.
"Third Meeting on the Conduct of 'Monetary Policy," hearium:
held on May 3, 4 and 5, 1976. S. Rept. 94-931, filed June 4, 1976.
"Fourth Meeting on the Conduct of Nlonetarv Policy," hearings
held on November 11 and 15, 1976, Report contained in committee
print published on December 15, 1976, titled "Fourth Report on the
Conduct of Monetary Policy."

DIGEST OF RESOLUTION
H. Con. Res. 133, as amended, sets forth gui(elines for the con(Iuct
of monetary policy and establishes a procedure for systematic over-
sight by the Congress of Federal Reserve Board policies a- these
policies are manifested in the growth (or diminution) of monetziry
and credit aggregates.
(25)









BILLS THAT PASSED BOTH SENATE AND HOUSE


EMERGENCY HOUSING ACT OF 1975
[H.R. 4485]
To provide for greater homeownership opportunities for middle income families
and to encourage more efficient use of land and energy resources
HtISTORY OF LEGISLATION

H.R. 4485 was introduced on March 10, 1975, and referred to the
House Banking Committee. The bill was reported from committee
(H. Rept. 94-64) on March 14, 1975, and passed the House amended
on March 21, 1975. On March 24, the bill was referred to the Senate
Banking Committee. The language of a similar bill (S. 1483) was
substituted for the original language, and the bill was discharged
from Committee on April 24. On thile same day, the Senate passed
the bill and requested a Conference. Conferees met on several occasions
in early May, and on May 22, the conference reports were filed (H.
Rept. 94-246; S. Rept. 94-161). The House accepted the conference
report on June 5, and the Senate approved the measure on June 11.
The President vetoed the legislation on June 24, and an effort to
override the veto failed in the House on June 25. See action on related
bill, H.R. 5398 at p. 17.
DIGEST OF BILL
Title .I would have provided a one-year program to assist middle-
income homebuyers. "
Title II would have provided mortgage payments relief to out-of-
work homebuyers. Assistance would have been limited to $250 a
month for 24 months and repayable with interest of no more than 8
percent.
Title III would have extended certain existing housing programs.


ETHNIC HERITAGE BICENTENNIAL COMMEMORATIVE
MEDALS ACT
[S. 371]
To provide for the striking of medals commemorating the contributions by indi-
viduals of various ethnic backgrounds who contributed to the founding of the
United States of America
HISTORY OF LEGISLATION
S. 371 was introduced in the Senate on January 23, 1975, and re-
ferred to the Committee on Banking, Housing and Urban Affairs.
After consideration by the committee, the bill was reported (S. Rept.
94-173) on June 4, 1975. S. 371 was considered, amended, and passed
(26)







by the Senate on June 6, 1975, and sent to the House of Representa-
tives. The bill was considered, amended and passed the House on
April 30, 1976.
No further action was taken on the measure during the 94th
Congress.
DIGEST OF THE BILL
S. 371 would have authorized the American Revolution Bicentennial
Administration to utilize the facilities of the Bureau of the Mint, on a
fully reimbursable basis, to strike a series of medals commemorating
the founding of the United States of America.


BUILDING ENERGY CONSERVATION STANDARDS
[H.R. 8650]
To assist low-income persons in insulating their homes, to facilitate State and
local adoption of energy conservation standards for new buildings, and to
direct the Secretary of Housing and Urban Development to undertake research
and to develop energy conservation performance standards

HISTORY OF LEGISLATION
H.R. 8650 was reported by the House Committee on Banking,
Currency and Housing on July 22, 1975 (H. Rept. 94-377); passed
the House, amended, on September 8, 1975; and was referred to the
Senate Banking Committee.
The committee reported the bill to the Senate (S. Rept. 94-623) on
February 3, 1976 and the measure was amended and passed the
Senate on March 9, 1976.
For further action see Title III of H.R. 12169 which became Public
Law 94-385.
DIGEST OF BILL
Title I of the bill would have established a program to assist in in-
sulating homes occupied by low-income persons.
Title 11 would have esitablislhed energy conservation standards for
new residential and comnerci !trx2:tures.


27










INCREASED LOAN AMOUNTS FOR MOBILE HOMES
[H.R. 9852]
To amend section 2 of the National Housing Act to license the maximum loan
amounts for the purchase of mobile homes and for other purposes
HISTORY OF LEGISLATION
The Committee on Banking, Housing and Urban Affairs reported
t3 the Senate, on July 30, 1975, a bill, S. 848, which would authorize
higher ceilings for mobile home loans eligible for insurance under
Title I of the National Housing Act. This bill, as amended, was
passed in the Senate on September 10, 1975 and sent to the House of
Representatives. The House of Representatives set aside S. 848
and, on October 20, 1975, passed a corresponding bill, H.R. 9852,
which was sent to the Senate and referred to the Committee on Bank-
ing, Housing and Urban Affairs. The Committee amended the bill
further and reported it to the Senate on December 9, 1975.
The bill passed the Senate, amended on January 3, 1976.
For further action see legislative history of S. 848 which became
public law 94-173 at page 43.

DIGEST OF BILL
The bill contained several miscellaneous amendments to improve
or extend housing and community development programs, including
provisions to increase maximum loan limits for FHA's mobile home
insurance program and to extend the emergency flood insurance
program to December 31, 1976.
(28)









BILLS THAT PASSED THE SENATE


SECURITIES ACT AMENDMENTS
[S. 2136]
To amend the Securities and Exchange Act of 1934
HISTORY OF LEGISLATION
S. 2136 was introduced in the Senate on July 17, 1975, and refeTred
to the Committee on Banking, Housing and Urban Affairs. The bill
was considered and reported to the Senate (S. Rept. 94-340) without
amendment on July 29, 1975, passed the Senate without amendment
on July 30, 1975, and was referred to the House Committee on Inter-
state and Foreign Commerce.
There was no further action on the bill in the 94th Congress.

DIGEST OF BILL
S. 2136 is a technical amendment to recently enacted Public Law
94-29, the Securities Acts Amendments of 1975.
The bill would have prevented a state or political subdivision from
imposing stock transfer taxes on so-called "transfer agent deposi-
tories" -entities which transfer record ownership of securities by
bookkeeping entry without physical issuance of securities certificates.


NATIONAL NEIGHBORHOOD POLICY ACT
[S. 3554]
To establish a National Commission on Neighborhoods
HISTORY OF LEGISLATION
S. 3554 was introduced in the Senate on June 11, 1976. The Senate
Committee on Banking, Housing and Urban Affairs held a hearing on
June 14, 1976, and reported the bill to the Senate (S. Rept. 94-1052) on
July 28, 1976.
The bill was considered, amended and passed the Senate on Septem-
ber 7, 1976; and was referred to the House Committee on Banking,
Currency and Housing.
No further action was taken on the measure during the 94th
Congress.
DIGEST OF BILL
S. 3554 would have established a Presidential Commission to
recommend measures for preserving older urban neighborhoods. The
(29)





30


Commission would have a two-year life and its recommendations
would cover Federal, State and local measures for preserving
neighborhoods.

CORRUPT OVERSEAS PAYMENTS BY U.S. BUSINESS
ENTERPRISES
[S. 3664]
To amend the Securities Exchange Act of 1934 to require issuers of securities
registered pursuant to section 12 of such Act to maintain accurate records, to
prohibit certain bribes, and for other purposes
HISTORY OF LEGISLATION
The Senate Committee on Banking, Housing and Urban Affairs
held hearings on improper overseas payments April 5, 7, 8, and May
18, 1976, as well as earlier hearings on the Lockheed loan guarantee.
Several bills were considered: S. 3133, S. 3379 and S. 3418; in
addition an extensive report was received from the Securities and
Exchange Commission.
The Committee agreed to report a clean bill (S. 3664, S. Rept.
94-1031) on July 2, 1976, which was considered and passed the Senate
without amendment on September 15, 1976.
After the bill was referred to the House Committee on Interstate
and Foreign Commerce, no further action was taken during the 94th
Congress.
DIGEST OF BILL

S. 3664 would have prohibited the payment of bribes by U.S.
businesses to foreign officials to obtain business or influence legislation
and required that publicly held U.S. companies keep accurate accounts
of all financial transactions.

VARIABLE RATE MORTGAGES

[S. Con. Res. 45]
Expressing the sense of Congress that the Federal Home Loan Bank Board shall
refrain from authorizing variable rate mortgages unless and until authorized
by the Congress HISTORY OF LEGISLATION

On February 14, 1975, the Federal Home Loan Bank Board pub-
lished in the Federal Register a proposed regulation authorizing Fed-
eral savings and loan associations to make variable rate mortgage
loans on residential property.
Hearings on the Board's proposed regulations were held by the
Senate Committee on Banking, Housing and Urban Affairs on April
14, 15, 16, and 17, and by the House Subcommittee on Financial
Institutions Supervision, Regulation and Insurance on April 8, 9,
and 10.





31


On "May 8, the House of Representative; passedI H.R. 6209, a bill
to prohibit the Bank Board from implementing its variable rate mort-
2age proposal unless and until authorized bv Congress. A similar bill,
S. 1734, was introduced in the Senate on May 14.
The Senate Committee on Banking, Housing and Urban Affairs
met in open session on May 22 to consider H.R. 6209 and S. 1734. The
committee unanimously agreed to report a concurrent resolution,
S. Con. Res. 45, as an alternative to the bills before it.
The concurrent resolution was reporte( to the Senate on JuM -,
1975 (S. Rept. 94-170), was considered and passed without amendment
on June 16, 1975, and referred to the House Committee on Banki,,
Currency and Housing.
DIGEST OF RESOLUTION
The measure expresses the sense of the Congress that the Federal
Home Loan Bank Board refrain front authorizing variable rate mort-
gages unless and until authorized by the Congress.

DISAPPROVING BUDGET DEFERRAL RE: HOMEOWNER-
SHIP ASSISTANCE UNDER SECTION 235
[S. Res. 61]
Disapproving the proposed deferral of budget authority to carry out the home-
ownership assistance program under Sec. 235 of the National Housing Act
HISTORY OF LEGISLATION
The resolution was introduced in the Senate on February 5, 1975
and on February 19, 1975 the views of the Committee on'Banking.
Housing and Urban Affairs in favor of the measure were reported to
the Committee on Appropriations.
On March 13, 1975 the Senate con-id ered and agreed to S. Res. 61:
%e S. Rept. 94-40 filed by the Committee on Appropriations.

DIGEST OF RESOLUTION
The measure disapproved the proposed (eferral of budget authority
to carry out the comprehensive planning grants program under Section
2:35 of the National Housing Act.









BILLS REPORTED TO THE SENATE


EMERGENCY HOMEOWNER'S RELIEF ACT
[S. 1457]
To authorize temporary assistance to help defray mortgage payments on homes
owned by persons who are temporarily unemployed or underemployed as the
result of adverse economic conditions, and to amend title III of the National
Housing Act to authorize a temporary program to afford mortgagors additional
opportunities to cure home mortgage defaults
HISTORY OF LEGISLATION
On February 13 and on March 17, 18, 19, and 20, 1975, the Senate
Committee on Banking, Housing and Urban Affairs held hearings on
S. 577, S. 655 and S. 660. After considering these bills, the committee
reported a new bill, S. 1457 (S. Rept. 94-78) to the Senate on April 17,
1975. No further action was taken on the bill. See history of legisla-
tion on H. R. 4485 and H.R. 5398 at pages 26 and 17.
DIGEST OF BILL
S. 1457 would have authorized temporary assistance to help home-
owners who are temporarily unemployed or underemployed as the results
of adverse economic conditions to continue paying their mortgages.
The bill would have also amended title III of the National Housing
Act to authorize temporary relief to afford mortgagors additional
opportunities to cure home mortgage defaults.


EMERGENCY HOUSING ACT OF 1975
[S. 1483]
To provide for greater homeownership opportunities, to stimulate housing produc-
tion and employment in the housing industry, to provide for the promulga-
tion of building energy conservation standards, and for other purposes
HISTORY OF LEGISLATION
On February 13, and March 17, 18, 19, and 20, 1975, the Senate
Committee on Banking, Housing and Urban Affairs held hearings on
S. 587, S. 591, S. 594, S. 748, S. 751, S. 773, S, 849, S. 947, S. 948,
S. 1108, S. 1122, and S. 1198.
After consideration, a committee bill, S. 1483 (S. Rept. 94-86), was
reported to the Senate.
No further action was taken on the bill. See history of legislation on
I.R. 4485 and H.R. 5398 at pages 26 and 17.
(32)






33


DIGEST OF BILL
S. 1483 contained four titles to authorize emergency Federal
assistance to stimulate housing construction and to promote energy-
saving techniques in connection with the construction of residential
buildings.
FINANCIAL INSTITUTIONS SUPERVISORY ACT
AMENDMENTS OF 1976
[S. 2304]
To strengthen the supervisory authority of the Federal banking agencies over
financial institutions and their affiliates
HISTORY OF LEGISLATION
S. 2304 was introduced in the Senate on September 9, 1975, and
referred to the Committee on Banking, Housing and Urban Affairs.
On April 29, 1976, the committee met in open session to consider
the legislation. The bill was amended and reported (S. Rept. 94-843)
to the Senate on May 13, 1976. On September 20, 1976, it was with-
drawn from the Senate calendar.

DIGEST OF BILL
The bill would have increased the authority of financial regulatory
agencies to supervise problem Institutions; restricted the volume of
insider loans by banks; and subjected the administrative expenses of
the Comptroller of the Currency, the Federal Deposit Insurance
Corporation, and the National Credit Union Administration to a
ceiling established in an appropriations act.


VOLUNTARY MUNICIPAL REORGANIZATION ACT OF 1975
[S. 2615]
To provide for a voluntary reorganization of municipal debt under conditions of
fiscal reform, and for other purposes
HISTORY OF LEGISLATION
The Committee on Banking, Housing and Urban Affairs held
hearings on S. 1862, S. 2372, and S. 1833 on October 9, 10, and 18,
1975. After mark-up sessions on October 21 and 22, the committee
decided to hold an additional day of hearings on October 23. After
meeting in mark-up sessions again on October 24, 28, and 30, it was
agreed to report S. 2615 on November 4, 1975 (S. Rept. 94-443).
The bill was tabled by the Senate on December 8, 1975. See action
on H.R. 10481 which became Public Law 94-143.





34


DIGEST OF BILL
S. 2615 was designed to prevent a New York City default by a
Federal guarantee of its securities.


PUBLIC DEPOSIT LEGISLATION
[H.R. 3035]
To require the payment of interest on certain funds of the United States held
on deposit in commercial banks, to provide for reimbursement of commercial
banks for services performed for the United States, and for other purposes
HISTORY OF LEGISLATION
H.R. 3035 was introduced in the House of Representatives on
February 6, 1975, and was referred to the House Banking Committee.
It was discharged from Committee by a suspension of rules, and
passed the House, with amendments, on December 15, 1975. On
December 6, H.R. 3035 was referred to the Senate Banking Com-
mittee. Hearings were held before the full committee on July 20-21,
1976, and mark-up was held on July 30. The bill was reported with
amendments on August 20, 1976 (S. Rept. 94-1150). On September 20,
a motion to bring the bill up on the floor was defeated and on Septem-
ber 21, the bill was placed on the table.

DIGEST OF BILL
As reported by the Committee, the bill authorized banks to pay
interest on demand deposits held by the Federal Government and by
State and local governments. The measure also authorized national
banks and Federal savings and loan associations to offer NOW
accounts in New York" and New Jersey and to pay interest thereon
if state law authorized state chartered institutions to pay interest.


FEDERAL RESERVE REFORM
[H.R. 12934]
A bill to promote the independence and responsibility of the
Federal Reserve System
HISTORY OF LEGISLATION
H.R. 12934 was reported out of the House Banking Committee on
April 30, 1976; was passed by the House on May 10, 1976; and
referred to the Senate Banking Committee.
Meanwhile the Senate Banking Committee was considering S. 2285
(introduced on September 3, 1975) and S. 2509 (introduced October 9,
1975).
Hearings were held on the two bills on October 20, 21, and Novem-
ber 17, 1975.





35


The Committee subsequently met in mark-up session to consider
I.R. 12934, S. 2285, S. 2509, and an additional bill, S. 2540; and on
August 20, 1976 agreed to report H.R. 12934, as amended, to the
Senate (S. Rept. 94-1151).
On September 20, 1976 the bill was tabled by the Senate and no
further action was taken in the 94th Congress.
DIGEST OF BILL
HI.R. 12934 would require Senate confirmation of the designation of
the Federal Reserve Board chairman; increase public representation
on the Boards of Federal Reserve Banks; remove statutory criteria
giving a preference to Federal Reserve Board members with back-
grounds in finance, agriculture, industry and commerce; and codify the
monetary policy reporting procedures contained in H. Con. Res. 133.









BILLS ON WHICH HEARINGS WERE HELD


FEDERAL BANK COMMISSION ACT
[S. 2298]
To establish a Federal Bank Commission to administer all Federal laws relating
to the conduct of the banking business both foreign and domestic including an
such laws relating to the chartering of banking institutions and their branching
activities, bank holding companies and their activities, Edge Act corporations
and their activities, and the examination, supervision, and regulation of all
banking institutions under Federal law
HISTORY OF LEGISLATION
The bill was introduced in the Senate on September 5, 1975. Hear-
ings were held by the Senate Banking Committee on October 31 and
December 1 and 8, 1975; then again on February 3 and March 1,
1976.
No further action was taken during the 94th Congress.
DIGEST OF BILL
S. 2298 would have established a single bank regulatory agency
known as the Federal Bank Commission. Under the bill, the commis-
sion would have transferred to it all of the authority of the Comp-
troller of the Currency and that office would be abolished. All of the
authority of the Federal Deposit Insurance Corporation would be
transferred to the Commission but the FDIC would be retained as an
insuring subsidiary of -he Commission, and all of the supervisory
and regulatory power of the Federal Reserve would be transferred to
the commission, including the authority to regulate holding
companies.
The bill envisaged a Federal structure of the Federal Reserve con-
centrating on its primary role of conducting monetary policy of the
Nation; the FDIC, its insuring function; and the Federal Bank Com-
mission supervising all banks at the Federal level and the State regu-
latory authorities supervising banks at the State level.


FULL EMPLOYMENT AND BALANCED
GROWTH ACT OF 1976
[S. 50]
To establish a national policy and nationwide machinery for guaranteeing to all
adilt Americans able and willing to work the availability of equal opportunities
for useful and rewarding employment.
HISTORY OF LEGISLATION
S. 50 was introduced in the Senate on January 15, 1975. The bill
was referred to the Committee on Labor and Public Welfare. On
(36)






37


April 8, 1975, an agreement was made for referral to the Comnittee
on Banking, Housing and Urban Affairs for 20 days if and when
reported by the Committee on Labor and Public Welfare.
The Banking Committee held hearings on May 20, 21, and 25, 1976.
No further action was taken during the 94th Congress.

DIGEST OF BILL
The Full Employment and Balanced Growth Act of 1976 would
establish the right of all adult Americans able, willing and seeking to
work to opportunities for useful paid enploytnent at fair rates of
compensation. To support that right, the act would commit the U.S.
Government to fundamental reform in the management of the econ-
omy so that full employment an(d balanced economic rowth are
achieved and sustained. This includes the creation of a peri.Ianent
institutional framework within which the President, the Federal Re-
serve Board, and the Congress are systematically encouraged to
develop and establish the economic goals and policies necessary to
provide productive employment for all adult Americans, as well as
the mandating of specific employment programs to achieve the goal
of 3 percent unemployment as promptly as possible, but within not
more than 4 years after the date of the enactment of the legislation.


CONDOMINIUM CONSUMER PROTECTION ACT OF 1975
[S. 2273]
To provide minimum national standards for disclosure and consumer protection
in condominium sales and condominium conversions, "iid for other purses
HISTORY OF LEGISLATION
In 1974, in response to numerous complaints about condlominiunis
from around the country, the committee held hearing.- on collo-
minium consumer protection legislation. Many witnesses at the bear-
in(s stated that there was a real need for Federal legislation to clear
up problems in this area.
Since that time, the Departument of Housing ,tnl Urban Develop-
ment has ([one a study of problenis, difficlties, anid abuses in condo-
miniums and cooperatives, as mandated by section 821 of te i housing
and Community Development Act of 1974. j"he report of the study
was issued on August 22, 1975.
S. 2273 was introduced in the Senate on August 1, 1975. Hearings
were held on October 6, 7, and 8, 1975. No further action was taken
in the 94th Congress.
DIGEST OF BILL
The measure would have requiirel the Departnient, of IfolUsingr zind
Urban Development to set inniintun standard-s for consuiner pro-
tection and disclosure in condoininium sales and ( onver.Iion, 1tt
would leave enforcement of the law to the States or, alterna tivelv, to
individual action through the courts.





38


ELECTRONIC FUNDS TRANSFER MORATORIUM
[S. 245]
To impose a moratorium on the receipt of deposits or the making of loans by
financial institutions at places of business, other than those of financial institu-
tions through the means of electronic methods of funds transfers
HISTORY OF LEGISLATION
S. 245 was introduced in the Senate on January 17, 1975, and
hearings were held by the Senate Banking Committee on March 14,
1975. The Committee met in mark-up session to consider the bill and
also S. 1899, which was introduced June 6, 1975. After consideration,
both bills were tabled by the Committee on July 9, 1975.
DIGEST OF BILLS
The purpose of the moratorium would be to enable the National
Commission on Electronic Fund Transfers to study the implications
of electronic branching and to make appropriate recommendations to
the Congress and the President before allowing insured financial insti-
tutions to proceed with the establishment and operation of such
facilities without regard to Federal and State laws on branch banking.


FINANCIAL SUPPORT FUND ACT
[S. 1907]
To provide for the participation of the United States in the financial support fund
HISTORY OF LEGISLATION
S. 1907 was introduced"in the Senate on June 10, 1975 and referred
to the Committee on Foreign Relations. It was reported to the Senate
(S. Rept. 94-746) and then referred to the Committee on Banking,
Housing and Urban Affairs. Hearings were held on the bill on June 4,
1976. No further action was taken during the 94th Congress.

DIGEST OF BILL
The legislation would authorize U.S. participation in the OECD
Financial Support Fund. The fund is the outgrowth of a proposal
to help the industrialized countries meet financial and economic
burdens of oil-induced balance of payments deficits. It is a mutual
insurance mechanism, designed to provide a comprehensive framework
for cooperative action by the major industrial countries to deal with
the real and financial implications of the energy crisis.





39


REGULATION OF STANDBY LETTERS OF CiREDIT
[S. 2347]
To regulate standby letters of credit, guaranties, surety agreements, and certain
acceptances issued by commercial banks
HISTORY OF LEGISLATION
The bill was introduced in the Senate on September 16, 1975.
Hearings were held on June 18, 1976. No further action was taken
during the 94th Congress.
DIGEST OF BILL
Section 1 of S. 2347 would subject a bank's potential liabilities on
standby letters of credit, ineligible acceptances, guaranties and surety
agreements to the limitation on total liabilities of a national bank
imposed by 12 U.S.C. 82. The intent of the bill in this section is to
prevent a bank from exposing itself to unlimited liability on its
guaranties of corporate commercial paper or other obligations.
Section 2 of the bill would treat the obligation of a customer to a
national bank under a standby letter of credit or similar arrangement
as an obligation subject to the limits on lending of U.S.C. 84. Where
a dummy corporation is present as a financing vehicle for the ultimate
user of the personal property being purchased, the bank would be
required to look through the dummy corporation and treat the
ultimate user of the property as the actual borrower for purposes of
applying the lending limit. The section would also require full dis-
closure of these transactions on the bank's balance sheets and reports
of condition.
Section 3 of the bill would impose reserve requirements on the
obligation of a member bank to pay funds to the beneficiary of a
standby letter of credit or similar arrangement.


ENERGY INDEPENDENCE AUTHORITY ACT OF 1975
[S. 2532]
To establish the Energy Independence Authority, a Government corporation with
authority to provide financing and economic assistance for those sectors of the
national economy which are important to the development of domestic sources
and the conservation of energy and the attainment of energy indepc ndence for
the United States in a manner consistent with the protection of the environ-
ment; to improve Federal Government operations so as to assist in the expedit-
ing of regulatory procedures which affect energy development; and for other
purposes
HISTORY OF LEGISLATION
S. 2532 was introduced on October 20, 1975. On November 15, 1975
it was referred jointly to the Banking, Housing and Urban Affairs
Committee and Joint Committee on Atomic Energy. The Banking
Committee held hearings on April 12, 13, 14, 1976, and again on May
10, 1976.
No further action was taken in the 94th Coiioress.


60-607-77-4





40


DIGEST OF BILL
The legislation would create an independent government corpora-
tion authorized to invest $100 billion over the next 7 years in energy
projects to make the United States more or less independent of
energy imports by the middle 1980's.


COMPETITION IN BANKING ACT OF 1976
[S. 2721]
To amend the Bank Holding Company Act and the Bank Merger Act to restrict
the activities in which registered bank holding companies may engage and to
control the acquisition of banks by bank holding companies and other banks
HISTORY OF LEGISLATION
S. 2721 was introduced in the Senate on December 1, 1976. The
committee held hearings on March 4 and 5, 1976. Then again on May
27, 1976 hearings were held on real estate investment trusts and the
effect they have had and may be expected to have on the banking
system. No further action was taken on the bill in the 94th Congress.
DIGEST OF BILL
The bill has two important interrelated thrusts. First, the bill
would flatly prohibit any bank acquisition by an organization con-
trolling 20 percent or more of the banking assets in any State and
would empower the bank regulatory agencies to deny any anticom-
petitive merger or acquisiton whether or not the transaction would
violate the Clayton Antitrust Act. Second, the bill would amend the
Bank Holding Company Act by restricting the so-called nonbanking
activities of bank holding companies to those which are directly
related to banking and in which specific public benefits are shown.
The bill contains a number of important procedural safeguards to
insure due process protection to competitors of banking institutions
who may be adversely affected by bank holding company expansion.


ENERGY CONSERVATION ACT OF 1976
[S. 2932]
To minimize the use of energy in residential housing, commercial and public
b1 ildings, and industrial plants through Federally-supported State energy
co-i-ervation implementation programs
HISTORY OF LEGISLATION
S 2932 was introduced in the Senate on February 5, 1976. It was
referred jointly to the Banking, Housing and Urban Affairs Com-
mittee and the Interior and Insular Affairs Committee.
Tlie Banking Committee held hearings on May 19, 1976. No further
action was taken by the committee during the 94th Congress.







DIGEST OF BILL
The legislation is designed to minimize the use of energy in existing
residential, commercial, public, and industrial buildings. The bill.
would achieve this by authorizing expenditures of $1.16 billion over
5 years for State information and implementation programs, for home
insulation assistance to low-income families and for subsidized home
and small business energy conservation improvement loans. In
addition, the bill would authorize $10 billion in loan guarantees for
energy conservation improvements by private industry and public
bodies.
CONSTRUCTION OF DENVER MINT

[H.R. 5620]
To amend the Act of August 20, 1963, as amended, relating to the construction
of mint buildings
HISTORY OF LEGISLATION
This bill was introduced on March 26, 1975, and rel)orted to the
House of Representatives by the Comnittee on Public Works and
Transportation on June 11, 1975 (H. Rept. 94-279). The bill passed
the House amended on September 19, and was referred to the Senate
Banking Committee on September 22. The Committee considered
both H.R. 5620 and an identical Senate bill, S. 1339, during one
day of public hearings on February 27, 1976. No further action was
taken during the 94th Congress.

DIGEST OF BILLS
The bills considered at the hearing would have authorized funtl to
construct and equip a new coinage facility at Denver, Colorado. The
proposed legislation would authorize the funding of an additional $60
million.

INVESTMENT POLICY ACT OF 1976
[S. 3693]
To Ihcrare a national policy on investment in the private sectuor of the U.S.
economy
HISTORY OF LEGISLATION
The bill was introduced in the Senate on July 23, 1976, and on
November 19, 1976 a hearing on the measure was held by the full
committee. No further action was taken duriim the 94th Congress.





42


DIGEST OF BILL
The bill would declare that it is the policy and responsibility of
the Federal Government, in cooperation with State and local govern-
ments, to provide incentives to assure maximum investment in private
enterprise to increase production, provide services and employment,
and increase the opportunity for profits and the payment of taxes.
Section 302 of the bill would require the President to include informa-
tion, and recommendations for achieving this policy in his annual
Economic Report. Section 303 would require the Council of Economic
Advisers to the President to recommend to the President measures
designed to promote the generation and use of investment for the
Nation's competitive private enterprise system.










summaryy of Legislation Originating in tie Subcommittee on
Housing and Urban Affairs

BILLS ENACTED INTO LAW
INCREASED LOAN AMOUNTS FOR MOBILE HOIES
[S. 848]
[Public Law 94-173, Approved December 23, 1975]
To amend section 2 of the National Ifousing Act to increase its maximum loal
amounts for the purchase of mobile homes
HISTORY OF LEGISLATION
848 was introduced in the Senate on February 26, 1975 and was
,;iisequently referred to Subcommittee on Housing and Urban Affairs.
After committee consideration the bill was reported to the Senate
,S. Rept. 94-341) on July 30, 1975, and p's-;ed the Senate, amended,
on S eptember 10, 1975. The measure passed the House on December
16, 1975. and was approved and signed by the President on December
23, 1975,becoming Public Law 94-173. See also the legislative history
of H.R. 9852 at page 28.

DIGEST OF STATUTE
The act established new ceilings for mobile-home loans which the
Secretary of Housing and Urban Development is authorized to
insnre under title I of the National Housing Act.
The Act also authorized corrective measures involving existing
housing and community development prograins, and included extent,-
ing the emergency implementation provisions of the National Flood
limirance Program until December 31, 1976.


HOUSING ACT AMENDMENTS OF 1976
[S. 3295]
[Public Law 94-375, Approved August 3, 1976]
To( extend the authorization for annual contributions under the Uiiited Statei
IlotIusing Act of 1937, to extend certain low-inconme housing programs trlde
the National Housing Act, and for other purposes
HlISTORY OF LEGISLATION
The Subcommittee on HIousing and Urban Affairs held hearing on
numerous bills, which were to provide for the continuation of a
nvimbcr of housing programs, on March 24 and 25, 1976. After con-
(43)





44


sidering the bills the subcommittee reported its recommendations toa
the full committee, and on April 12, 1976, S. 3295, a committee bill,
was reported to the Senate (S. Rept. 94-749).
The measure passed the Senate, amended on April 27, 1976.
Meanwhile the House of Representatives had passed H.R. 12945.
Subsequently, this passage was vacated and S. 3295 was passed in
lieu after being amended to contain the language of the House bill.
On June 2, 1976 the Senate disagreed with the House amendments
and requested a conference on S. 3295. The House agreed on June 7,
1976; and after meetings of the conferees the conference report
(H. Rept. 94-1304) was accepted by the House on June 30, 1976;
and by the Senate on July 20, 1976.
The President approved and signed the bill on August 3, 1976 and
it became Public Law 94-375.
DIGEST OF STATUTE
The act authorized the continuation of a number of current housing
programs, either by extending the dates on which they were to expire
or by increasing their funding authorizations, usually through
September 30, 1977.
Programs extended included: the emergency flood insurance pro-
gram; the 312 rehabilitation loan program; the authority to insure
mortgages under sec. 236; the Emergency Homeowners Relief Act
and the Emergency Home Purchase Assistance Act of 1974; and the
new communities program.
Programs amended included: the 235 homeownership program; the
sec. 518(b) program of payments for defective FHA insured existing
homes; the FRA coinsurance program for state housing finance
agencies and certain depository institutions; and sec. 202 housing for
the elderly or handicapped loans.
Another program amendment included changes in the sec. 8 pro--
gram to make financing of sec. 8 projects more accessible.









BILL THAT PASSED THE SENATE


URBAN MASS TRANSIT AM[ENDMIENTS
[S. 6221
To amend the Urban Mass Transportation Act of 19634 to provide operating
assistance for projects located in areas other than urbanized areas, to provide
for mass transportation assistance to meet the needs of elderly and handicapped
persons, and for other purposes

HISTORY OF LEGISLATION
S. 662 was introduced in the Senate on February 11, 1975 and re-
ferred to the Senate Banking Conimittee. On June 17, 18, an(l 19, 1975
the Subcommittee on Housing and Urban AfFairs held hearing. on t
measure and it was reported (S. Rept. 94-96) on Sej)temlber 9. 1t75.
The bill passed the Senate on Sept:br15, 197.5 an(! ia reeri to
the House Committee on Public Works andl Transportation.
No further action was taken on the bill in the 94th Congre-.

DIGEST OF BILL
S. 662 would have extended nss trilns-t ot)eratiny a'i~tance to
rural and small urban areas, it would have reafh.rued and strength I
the federal commitment to provi(ie accessible public t ansj)or t itil for
elderly and handicapped persons, and would have increased the nu1-
ber of transit managerial training" fellowships available.
The bill would have expanded the definition of "construction" in tiP
capital grant programs to include preliminary engineering, amn wI;Ll I
have required the Secretary of Transportation to convert Out -iantufln
capital loans into grants. Also, the measure would have required th
Secretary to provide, by February 1, 1976, a detailed estimate of iuaior
capital grants to be made in fiscal year 1977-S1.
(45)









BILLS ON WHICH HEARINGS WERE HELD


SUPPLEMENTAL COMMUNITY DEVELOPMENT
EMPLOYMENT ASSISTANCE ACT OF 1976
[S. 2986]
To amend the Housing and Community Development Act of 1974 to provide
supplementary community development block grant assistance to communities
with high unemployment due to adverse national economic conditions, and for
other purposes
HISTORY OF LEGISLATION
The bill was introduced in the Senate on February 17, 1976. Hearings
were held on March 2 and 3, 1976, by the full committee; then on
March 24 and 25, 1976, the Subcommittee on Housing and Urban
Affairs considered the bill during its Housing Legislation of 1976
hearings.
No further action on S. 2986 was taken during the 94th Congress.

DIGEST OF BILL
The aim of the legislation was to stimulate employment, particularly
in the construction sector. This would be done by providing supple-
mental funding for the Community Development Block Grant Pro-
gram which was established by the Housing and Community Develop-
ment Act of 1974.
Under that program, communities have been assessing their devel-
opment needs and planning the use of block grant funds.
S. 2986 would have allowed the allocation of $750 million in addi-
tional funds to recipient communities which were experiencing high
unemployment, on the theory that they could use these funds to
create jobs on projects which were planned and really needed in each
locality.

ABANDONMENT DISASTER DEMONSTRATION RELIEF
ACT OF 1975
[S. 1988]
To provide, on a demonstration basis, emergency relief for the general welfare and
security of the United States by preventing the loss of existing housing units
through the phenomenon of housing abandonment, to protect the health and
living standards in communities and neighborhoods threatened by abandon-
ment, to protect the interests of the United States in connection with certain
mortgage transactions, to assist local public bodies in the development and
redevelopment of well-planned, integrated residential neighborhoods and in
the development and redevelopment of communities, and for other purposes
HISTORY OF LEGISLATION
The bill was introduced in the Senate on June 23, 1975. Hearings
were held by the Subcommittee on Housing and Urban Affairs in
(46)





47

Oakland, California on August 28, 1975 and in Los Angeles, California
on August 29, 1975. No further action was taken during the 94th
Congress.
DIGEST OF BILL

The purpose of the legislation was to test a new mechanism for
acquiring and disposing of abandoned property and to develop new
financial resources for localities afflicted by the disaster of large scale
housing abandonment.








Summary of Legislation Originating in the Subcommittee on
Financial Institutions


BILLS THAT PASSED THE SENATE
FINANCIAL INSTITUTIONS ACT
[S. 1267]
To expand competition, provide improved consumer services, strengthen the
ability of financial institutions to adjust to changing economic conditions, and
improve the flow of funds for mortgage credit
HISTORY OF LEGISLATION
S. 1267 was introduced in the Senate on March 20, 1975, and
referred to the Subcommittee on Financial Institutions. The subcom-
mittee held hearings on May 14-16 and June 11, 1975. Also considered
at that time were S. 1475, the Credit Union Financial Institutions
Act Amendments, and S. 1540, the Family Financial Centers Act.
After receiving the recommendations of the subcommittee, the full
Committee amended the bill and reported it to the Senate on Novem-
ber 20, 1975 (S. Rept. 94-847).
The measure was considered, amended and passed the Senate on
December 11, 1975; and was referred to the House Committee on
Banking, Currency and Housing.
No further action was taken on the bill during the 94th Congress.
DIGEST OF BILL
S. 1276 would have provided expanded investment powers, pri-
marily to savings and loan associations; allowed all financial institu-
tions to offer interest-bearing NOW and checking accounts; and
authorized Federal charters for mutual savings banks.
The bill would also have provided for a central discount facility
for credit unions, and authorized a mortgage tax credit to encourage
investment in mortgage loans.


EMERGENCY BANK HOLDING COMPANY ACQUISITION
ACT
[S. 2209]
To amend the Bank Holding Company Act of 1956, as amended, to provide special
procedures for the acquisition of failing banks or bank holding companies
and for the acquisition of banks or bank holding companies in emergencies
HISTORY OF LEGISLATION
S. 890 was introduced in the Senate on February 28, 1975. The
Subcommittee on Financial Institutions held hearings on July 22 and
(48)





49


28, 1975, to consider this legislation. On July 29, the full committee
agreed to report a new bill (S. 2209, S. Rept. 94-338), which passed
the Senate without amendment on July 30, 1975. The legislation was
then referred to the House Committee on Banking, Currency and
Housing.
No further action was taken on the bill during the 94th Congress.
DIGEST OF BILL
Section 1 of the bill would amend section 3 of the Bank I ohl inc
Company Act of 1956 (12 U.S.C. 1842) to allow the Federal Reserve
Board to shorten the time requirements for notice to the respective
primary bank supervisory authority from 20 to 10 (avs where the
Board finds that an emergency exists requiring expeditious action.
Under this legislation, where the Board finds that it must act
immediately to prevent a probable failure of a bank or bank hold ing
company, the Board would dispense with all notice requirement-s,
and the Board could act immediately with regard to any such merger,
acquisition, or consolidation application.
Section 2 would amend subsection (b) of section II of the Bank
Holding Company Act of 1956 (12 U.S.C. 1849) to shorten from 30
(lays to 5 days the Justice Department's period for comment on an
approved acquisition where an emergency exists requiring expeditious
action. In the case of a probable failure the Board could act immediate-
ly to effectuate an acquisition.








BILLS REPORTED TO THE SENATE


REORGANIZATION OF THE NATIONAL CREDIT UNION
ADMINISTRATION
[S. 3312]
To reorganize the National Credit Union Administration
HISTORY OF LEGISLATION
S. 1475, the Credit Union Financial Institutions Act Amendments
of 1975, was introduced in the Senate on April 18, 1975. The bill was
referred to the Subcommittee on Financial Institutions.
Title II of S. 1475 was entitled "Restructuring the National Credit
Union Administration."
With the exception of title II, S. 1475 was considered by the com-
mittee at the time it considered S. 1267, the Financial Institutions
Act of 1975. Many of the provisions of S. 1475 were incorporated in
S. 1267, as amended, which was reported by the committee on Novem-
ber 20, 1975 (S. Rept. 94-487) and which passed the Senate on Decem-
ber 11, 1975.
At the time S. 1475 was being considered, it was agreed that consid-
eration of title II would be deferred and taken up separately. Ac-
cordingly, the Subcommittee on Financial Institutions held a hearing
on National Credit Union Administration restructuring on March
10, 1976.
The full committee met and considered title II of S. 1475, and on
April 14, 1976 reported a clean bill, S. 3312 (S. Rept. 94-751) to the
Senate.
The bill was ordered placed on the table in the Senate on May 6,
1976 and no further action was taken on the measure in the 94th
Congress.
DIGEST OF BILL
The principal thrust of this legislation was to transfer management
of the National Credit Union Administration from a single Adminis-
trator who serves at the pleasure of the President to a three-member
board with fixed terms of office.


MORATORIUM ON CONVERSION OF SAVINGS AND LOAN
ASSOCIATIONS AND SAVINGS BANKS
[S. 3802]
To extend the moratorium cni convirsios of savings ,nd lo',11 ass ;ciatio,_i and
for other purposes
HISTORY OF LEGISLATION
On M[ay 13, 1976, the Subcommittee on Financial Institutions held
a hearing to consider the expiration of section 106 of Public Law
(50)





51

93-495 which imposed a moratorium until June 30, 1976, on the eon-
version of savings and loans and mutual savings banks from mutual
to stock form of organization.
After receiving the subcommittee's recommends ations, the fulli
Committee reported S. 3802, an original bill, to the Senate on Septem-
ber 10, 1976 (S. Rept. 94-1229).
No further action was taken on the ineasure during the 94th.
Congress.
DIGEST OF BILL
S. 3802 would have extended the moratorium until June 30, 1977.










BILLS ON WHICH HEARINGS WERE HELD


FOREIGN BANK ACT OF 1975
[S. 9581
To provide for Federal regulation of foreign banks establishing, acquiring,
operating, or controlling banks, branches, and agencies in the United States
and for other purposes
HISTORY OF LEGISLATION
S. 958 was introduced in the Senate on March 5, 1976 and referred
to the Subcommittee on Financial Institutions. The bill was the sub-
ject of hearings on January 28, 29 and 30, 1976.
The House of Representatives passed a bill, H.R. 13876, to regulate
foreign banks operating in the United States, on July 29, 1976. This
bill was referred to the Subcommittee on Financial Institutions and
a hearing was held on August 31, 1976.
No further action was taken on these bills in the 94th Congress.

DIGEST OF BILL
The legislation would attempt to remedy the unequal regulatory
treatment of foreign and domestic banks by defining "bank" under
the Bank Holding Company Act to include "branch," thus, subjecting
all domestic operations of foreign banks to Federal Reserve
j urisdiction.
It would also require Federal Reserve membership for all U.S.
branches, agencies and subsidiaries of foreign banks with assets of
more than $500 million and would require that the deposits of such
offices be insured by the Federal Deposit Insurance Corporation.


RIGHT TO FINANCIAL PRIVACY ACT
[S. 1343]
To govern the disclosure of certain financial information by financial institutions
to governmental agencies, to protect the constitutional rights of citizens of the
United States and to prevent unwarranted invasions of privacy by prescribing
procedures and standards governing disclosuree of such information, and for
other purposes
HISTORY OF LEGISLATION
S. 1343 was introdced in the Senate on March 26, 1975 and was
referred to the Subcommittee on Financial Institutions on April 8,
1975.
The subcommittee held hearings on the bill on June 16 and 17, 1976. -
No further action was taken during the 94th Congress.
(52)






53


DIGEST OF BILL
The legislation is intended to protect the confidentiality of i ci-
tomer's financial records held by financial institutions. Its I)rovi.40111)
are designed to assure that a customer will have the same righi to
protect records of his or her financial transastions, maintain by z
bank or savings and loan association, from certain disciosuires as if
the records were in the customer's personal possession.


NATIONAL CONSUMER COOPE NATIVE BANK A( 1
[S. 2631]
To provide for consumers a further means (f minimizing the impact of inrftltioln
and economic depression by narrowing the price sprea(id 1etweel to 01c
producer and the consumer of needed goods, services, facilities, and cotnlin(dities
through the development and finding of specilized credit sources for 1Ad
technical assistance to, self-help, not for profit cooperatives, and for other
purposes
HISTORY OF LEGISLATION
S. 2631 was introduced in the Senate on Noveii:)er 6, 1975. 1 Lar-
ingys were held by the Sut)eoinmittee on Ft'inn(til 01nti1tition on
March 16 and 18, 1976. No fuirthler action was taken during the } i Il
Congress.
DIGEST OF BILL

The legislation would esil,isl a iNatiomii Consumer (oop.i-aitiVe
Bank. The Bank would exten(d credit ,1(1 t ecl nic" si t flr to
consumer coops. It woulh b)e oVOgnlized sitar to tlie cre(lit failit "
e'4ablished for agricultural coops. The Bank wouil(I be st arted wi!t
$1 billion in Treas capital but over time it woul(l become ow,.(At
by its co-op borrowers.

FOREIGN BANK LEGISLATION
[H.R. 13876]
To provide for Federal regulation of participation by foreign banks in domestic
financial markets
HISTORY OF LEGISLATION
I.R. 13876 was reported by the House Committee on Bnking,
Housing and (urrency (1i. Rep)t. 94-119S) on MaiY 26, 1976; : I!
the House, amended, on July 29, 1976; and was referre( to the >enate
Banking Committee.
The bill was referred to the Subcommittee on Fiinauncial InstitiitilOU
which held hearings on the ul)lJect on August 31, 1976. No fu other
action was taken on the measure in the 94th congresss.





54

DIGEST OF BILL
The bill would provide for Federal Reserve Board regulation of
branches and agencies of foreign banks in addition to existing regula-
tion by State banking departments.
It would also authorize the Board to impose reserve requirements
on the obligations of foreign bank branches and agencies and extend
to foreign banks the privilege of obtaining national charters and pro-
vid e deposit insurance for domestic deposits.










summary of Legislation Originating in the Subcommittee on
Securities


BILL ENACTED INTO LAW

SECURITIES AT AMEN 1)IENTS
[S. 249]
[Public Law 94-29, Approved June 4, 1975] -
To amend the Securities Act of 19"34 to remove barriers to com)etition, to foster
the development of a national securities market system and a national clearance
and settlement system, to make uniform the Securities and Exchange Coin-
mission's authority over self-regulatory organizations, to provide for the regula-
tion of brokers, dealers and banks trading in municipal s, ",t
the collection and public disseminltin of information concerning the holdinola
of and transactions in securities by institutional investment managers, and for
other purposes
HISTORY OF LEGISLATION
S. 249 was introduced in the Senate on January 17, 1975 an(l wa.
subsequently referred to the Senate Banking Committee. On February
19, 20 and 21, 1975, the Subcommittee on Securities held hearings on
the bill and it was considere(d by the f tll committee on April 11, 1975.
The measure was reporte(l, with an amendment (S. Rept. 94-75), to
the Senate on April 14, 1975 and passed the Senate, amen(le(d, April
17, 1975.
Meanwhile, the House Committee on Interstate an( Foreign Com-
merce had reported H.R. 4111 (1I. Rept. 94-123) to the House of
Representatives on April 7, 1975. On April 24, 1975, I.R. 4111 was
laid on the table and S. 249 was amen(led and )asse(d by the Iouse
which asked for a conference. The conference report (I. Rept. 94-
229) was filed May 19, 1975 and after the Senate an(I 1ouse agree(l
on the bill it was approve(I anl signed by the President on June 4,
1975, becoming Public Law 94-29.
DIGEST OF STATUTE
The Act seeks to insure that market participants function witli the
highest (legree of efficiency an(l that the capital markets will them-
selves be orderly an(l accessible. The key to reaching this obje 'tiv(,
will be a new National Market System for ST Act c""rge>
the Securities and Exchange to work cooperat ively vwit
the in(lustry, but it is inten(e(l that the national ma uket system evolve
through the interplay of cori)etitive forces as iinnee sary reh(Vlat)or\
rest mt ions a re remove(i
The Ac-t encourages greater mise of available imlproveiment in el(c-
tronie ani( communications tecioloyxv i' the fo.)a~i5 a full\-
integ2ra Ine( tiading syst em. It also I irect 5 il(1e, 1)01 a'a Ii l! 'V1'0vi~of
(55)
SO 607-77-5





56

securities exchanges to examine rules which tend to limit the number
and variety of participants eligible for membership.
The Act imposes new restrictions on "self-dealing" to eliminate a
potential conflict of interest and deny institutions a special advantage
over individual investors and further requires periodic disclosure by
in-titutional investors of their portfolio holdings and transactions in
securities.









BILL REPORTED TOJ TLE SE-NATE


INVEST MENT ADVISERS A( OF AE NDMEN OF 19,1
L-. 2,S49]
T- ainend the Inve-tment Advis--ers Act of 1940 t- ,tuthioliz(, th( >e i ii r
1'ExchaniH Commiion t"D e stzmdzr(-. o'f q iiaiticatioIn zt dI~ Iijzli(. I
resi)onsibjility' for investment advis( -r-, and fo r (4thw' lpUri)(,ss

HISTORY oF' L EGI- NATION
S. 2849 was litPo o ced"'l n the > k-,a on 2l0litl 1976;. Af t
hearings before the Subeonnmi t tee on >eer,,itie's on, ebriL r- \I ) nd 4.
1976, the s tbcoi mittee reported the )ill, witl u Ii(i.. to ti
full committee on April 6, 1976.
TP}(- full committee f further amen(Icd the bill a d reportedly t.. Row
94-910) to the Senate on -ltx 20. 1976.
No further a-tiovl W- takn on 0111 da, ', n! ,,' 1, 94tlh
Congress.
DI)IET OF BILL
Ti ie bill would! have anie,d (l11 2" Inv(-sti-ent Atvises A('ct of 1940
to provide importtant addhitionai protectioIms to clients of invest iui'111
adisers, paUticilarly widi '-c- Pei't to svU1(1iaVV a, (flalH!CllaiS UI(P
finen( ial re-.ponsibilitv.
Ill ad(lition, S. 2s49 wouot e {i ) clforijied t"l(, Adv] -'S A( t ii
certain respects to sinilar lprovio1s (4 the securitiess ExclhaIIge Act
of 19.84, and would have resolv:,led certain rerulat)ry probleIlls which
h~ae risen in the course otf the rtion of tle Advisers A(t.
-57)






BILLS ON WHICH HEARINGS WERE HELD


FOREIGN INVESTMXIENT ACT OF 1975
[S. 425]
To amend the Securities Exchange Act of 1934 to require notification by foreign
investors of proposed acquisitions of equity securities of United States
companies, to authorize the President to prohibit any such acquisition as
appropriate for the national security, to further the foreign policy, or to protect
the domestic economy of the United States, to require issuers of registered
securities to maintain and file with the Securities and Exchange Commission a
list of the names and nationalities of the beneficial owners of their equity
s( urities and for other purposes
HISTORY or LEGISLATION
S. 425 was introduced in the Senate on January 27, 1975, and
referred to the Subcommittee on Securities. Hearings were held on
MJarch 4, 5, and 6, 1975, then on June 26, 1975, the bill was referred
to the Stbconmittee on ntern national Finance, which held hearings
on S. 425 and other related bills on July 22 and 23, 1975. For further
progress on this legislation, see the summary on S. 953 at page 62.
DIGEST OF BILL
Th wi1t)Or e of 425 was to rationalize and coordinate- the regula-
tion of foreign investment in the United States through three amend-
iJaents to the Securities Exchange Act of 194. First, requiring the
closuree of benefijal ownership of all equity securities of all publicly
tra (led companies. Second, by amending the tender offer provisions of
current law to require all foreign investors to notify the Securities and
Exchange Commission and the President before acquiring 5 percent
or more of the equity securities of any U.S. corporation. And third,
the bill would have established a straight-forward and usable pro-
ce(lure for the President to use to prohibit such transactions if he
leet(ed it necessary.

MUNICIPAL SECURITIES FULL DISCLOSURE ACT OF 1976
[S. 2969]
To aft(med the Securities Exchange Act of 1924 to requiire the preparation of
-nnual reports and distribution statements by issuers of municipal securities,
1111d for other puro)oe-
HISTORY OF LEGISLATION
S. 2969 was introduced in the Senate on February 17, 1976. The
Securities Subcommittee held hearings on the bill, and a similar bill,
S. 2574, on February 24, 25, and 26, 1976. No further action was
taken during the 94th Congress.
DIGEST OF BILL
The intent of the legislation was to upgrade the quality and uni-
formitv of disclosuree by state and local governments to investors
when they borrow money in the securities market.
(58)











Summary of Legislation Originating in the Subcommittee on
International Finance


BILL ENACTED INTO LAW

AMENDMENT OF BRETTON WOODS AGREEMENTS A 1 1
[H.R. 13955]
[Public Law 94-564, Approved October 19, 1976]
A bill to provide for amendment of the Bretton Woods Agreements Act find for
other t)urlo)('s
HIISTORY OF LEGISLATIOX
11.1E. 1 j wi- itrtimuced on ,lay 21. i9.6, atid reported bv tle
ttouse Bankin ( oninittee on June 21 0I. Rept. 94-!2s.4). TIle bill
-a Senate Foreign Rolatlons Committee. ( )n A,.,iwt 10t ( o;mmtktee
reported! the bill e. ept. 94 1114 N). an(l the legi-l, tion Wva> rI'erred
to tile Senate Banking Committee. Tle Subcovni ttee om ut.,'n ,-
tional Fin.nce held one da. of 1earing,,. Augu-4 27, cild the full
commttee reported the bill to the Senate on September 22 (S. Rept.
94-1295). On October 1, the mnea- ure t)a-se-.l tle Senate, andl w
-igned into law on October 19 (Public Law 94-564). A similar Iunate
Bill, S. 3454, was not acted upon by the Committee.

DIGEST OF STATUTE
Public Law 94-564 amends the Bretton Wood-: Agreeintn Act
in or(ler to authorize the Unitel State, a, a mieber of the Inter-
national 'Monetary Fuid ("INIF"), to accept ameniment to thie
I'MF Articles of Agreement approved bY the Fund's Board of Gov-
ernors earlier this year. The law also athorizes the United >tate -o
accept the approximate $2 billion incrcae in its IMIF q-ioti zld-
aIpprovedI by the Board of Governors earlier this year. In addhlition, tlie
law makes related changes in other U.S. laws pertainin.. to U.
part i'i pation in the international monetary -sv-tem and t.S. linter-
vntion in the torelgn exclhange market. And, finally, ti le>i'da-tion
provides for enhanced Congressional access to the infor1a1t ion
n, ce~arv for effective oversio'ht of U.S., international nionetarv amin
econofliC pol1v.
*Se!e action also On ,. 425 on previous page;
(59)










BILL PASSED BY SENATE AND HOUSE


EXTENSION OF THE EXPORT ADMINISTRATION ACT
[S. 30841
A bill to extend the Export Administration Act of 1969, as amended
HISTORY OF LEGISLATION
3084 was introduced in the Senate on -March 4, 1976, and re-
ferred to the Senate Banking Committee. The Subcommittee on
International Finance held hearings on %Irch 22 and 23, 1976 and
agreed to recommend the measure to the full committee with amend-
inents. Included as Titles 1I and III of the bill were the provisions of
S. 953 previously reported to the Senate. On Mav 25, 1976 the full
committee reported S. 3084 as recommended by the subcommittee
(S. Rept. 94-917).
The bill passed the Senate, amended on August 27, 1976 and was
passed by the House, amended on September 22, 1976.
No further action was taken on the bill in the 94th Congress.

DIGEST OF BILL
Title I of the bill would have authorized the President to impose
export controls to further our foreign policy objectives, to protect our
national security, or to protect the economy from an excessive drain
of scarce materials.
Title II would have restricted the Arab boycott and halted the
proliferation of nucear materials.
Title III required disclosure of foreign investors in U.S. companies.
(60)










RESOLUTION PASSED BY THE SENATE


EXTENDING APPROPRIATIONS FOR TIL (Ol(), ON
INTERNATIONAL ECON(M)IC POLICY
[S.J. Res. 971]
To extend the authorization of apropri.ltions for the Coicil on "Interitional
Economic Policy for ninety dayvs
hi-:TORY OF LEU)ILATION
2G. 1 a tI1ii to .,i}1Kb.rize appropriitiloii> 1) w l\ M (mit 1r vi-
o the Int trnat on, LEconoInle Policv Act of 1972 wz i- Mtrkoim I.ice (ml
Niar(h 20, 1975 and hearinog- were holI oi tile inea- lr1V by. te S-
coiui1nittee ol Internatioial Financo on Jly 1 0 an i S, ,1975.
However on June 21, 1 975 S.- RS 97 wa- introIi-ecd 'l I e(l
by the ant on the a, dv.
(31)










BILL REPORTED TO THE SENATE


FOREIGN BOYCOTTS AND DOMESTIC AND FOREIGN
I NVESTMIENT IMPROVED DISCLOSURE ACTS OF 1975
[S. 953]
To amend the Export Adin nistr-tion Act of 1969 to clarify and strengthen the
authority of the Secretary of Commerce to take action in the case of restrictive
trade practices or boycotts
HISTORY OF LEGISLATION
S. 953 was introduced in the Senate March 5,1975 and subsequently
was referred to the Subcommittee on International Finance. On
July 22 and 23, 1975 the subcommittee held hearings on four bills:
S. 425 and an amendment thereto which had been referred from the
Securities Subcommittee, S. 953, S. 995, an S. 1303.
Oni November 7, 1975 the subcommittee agreed to recommend to
the full committee a composite bill containing features of S. 953 and
S. 425 together with additions and modifications. On December 17,
1975 the full committee reported S. 953 with amendments (S. Rept.
94-632) to the Senate. On March 10, 1975 the bill was placed on the
table, later to be included as a provision of S. 3084 (see legislative
history, p. 60).
DIGEST OF BILL
Title I of the bill as reported would have strengthened United
States law against foreign boycotts and reduced their economic
impact. The purpose of title II was to identify foreign ownership in
U.S. corporations and to provide increased information on the identity
and influence of U.S. corporate stockholders.
(62)








Summary of Legislation Originating in the Suhcomm ittee mi
Consumer Affairs

BILLS ENACTED INTO LAW
()QUAL CREDIT OPP()R !T ,NITY A( .T AN! tN IM ENTS
[1.11. 6516]
[Public Ltw 94-2:19, Atpproved March 2*, 1976]
A 1)ill to amend title VII of the Equ:tl Credit Opportunity Act to include li--
cliirnilIti()I on the b is of r cee, ('.lHr, e1l2onin, ulmtional origin, :-iid : ;ii,
for other liUt)lCe.
IS1ORY OF LEGIsLATIIONT
II.R. +;', U \2 itrodu(cO ol pril 0, at t)0 im rejiovte(l !v thle lhmti-&
Banking (( nomittee on MNziy 14 ( Rept. 9T -210). rIHh Ioti 1 t
the legislation on June :3, and the bill was referre(1I to the Sett
Banking Coimittee on June 4. Itezrings were hel(d on ,Jttk 15. 17,
an(! 24 by the Subcommittee oii (Consumer ffatr- all(1 the bit I w,,s i-
portedl, with amen(lmetl oti .an)ua,'V 21, 1976 (S. Rept. .
On Fel)ruary 2, the bill [ise e, the S"ate :1i,11 a, cofereiiee Wa (Vi
quete(l. The coiferees ilIet onI FebttaryJ 25 and 26, am(1 t rel)oift wzit-s
filed in the 1tonz.e on larch 4 (1!. Rept. 94,'7-')..- Tie Seimte I it
report oil Maclih 9 (,S. ept. 94-6S5) anid both I lottes :lcceipte, 1t111
reports on tlhot (late. tbe bill w8 signed into lw oil March 2:3 )) (Pthl
Law 94-239).
DIGEST OF STATUTE
The law i- designed to elii a te arbiter rv credit re.... i" tik"" by
prohibiting discriminaton againt a borrower on tte biis oflra{
color, religion, na tional origi and a(.
Exemptions include )rograms le-igtied for e('onloflhicollV di-
S ,
alvantaged w)elro who ().lit not be Cr( lltwortbv mlr 1101 inal
business standards; and safeguardIs from frivolous lawsitits.
A class action provision require-, that the lender smmt willflillv
violate the law in order to be liable, to make it clear that a clericzd er;ior
will not subject a business to a full-scale lawsuit.
Finally. t Federal Reserve Board advisory committee mtt prj u
an aiiiittal re!)ort to Congres on the act's enlorceneit.


CONSUIER LEASING ACT
[H.R. 8835]
[Public Law 94-240, Approved March 23, 1976]
T, amend the Truth in Lending Act to protect consumers against inud iqu,,te
and misladiug leasing information, assure meaningful disclosure of lease terms,
n nd limit ultiinate liability in connection with leasing of pler-,onal property pri-
mar11ily for personal, family, or household purposes, and for other ptirpo -s
(63)





64


HISTORY OF LEGISLATION
The Subcommittee on Consumer Affairs held hearings on July 15,
17, and 24. 1975 ol two bills, S. 1900 and S. 1961; and subsequently
recommended ail amenled composite of the two bills to the full
conmmitt'e. Meanwhile the 1touse ha(d passed I.R. 8835, a bill on
tile amne subjectt, which had been referred to the committee. The
comimttee therefore substituted the text of its bill for that of H.R.
S35 and rl)orted it to the Senate (S. Rept. 94-590) on January 21,
i 976.
'[hie mea ure was ainen(dedI and passe(l the Senate on February 2,
I76. After (c",nfotces filed( conference reports (S. Rept. 94-6S6 and
[1. i-e1It. 94 -'K2), both Houses accepted the bill on March 9, 1976.
Tli bii, wvas app, oved by the President on March 23, 1976, becoming
Public Law 94- ,10.
DIGEST OF STATUTE
Tilie 8C (li'? di-.closu'e of important terifls A consumer personal
pro ....tv , smm atio of ( trt.
The @.cilation al-o liiit cons iinmers' ultimate iabil1ty to a les-or
to tiree tm:ne dihe average mionthlv lease 1)ayment, except if there
h',, Ken ... ie A daage beyond reasonable wear and u-e or default.
Real etate haOSe are exempt from the law, and consumer leases
muI be for '11" than for months and must not be for a total dollar
an,, at of lnore than ,."25 ,000.










BILLS ON WHICH HEARINGS WERE HELD


QUI 'A.I AND FEDERAL RESERVE BOARD 1()(RO(EI)RE'
[S. 3'008]
To armend the Equal Credit Opportunity Act to prescribe "ldn initrati e p)roee-
dures for the Board of Governors of the Federal Reserve System
HISTORY OF LEGISLATION
S. 3008 was introduced! in the Senate on February 23,, 1976. On
March 16 and 17, 1976, the itibcommnitt(e on. Consumer Affair.- lie1
a. hearing on the bill. No further action was taken.

DIGEST OF BIL,,
hle legislation was intende(l to create a new "'qli tarn,'' or private
attorney general action, as a sub-stittute for the )resent class action for
civil penalties under the Truth in Lenling and Equal Credit Oppor-
tinitv Acts.
Thew b~ill a o Iprop0e "dul e J)rocess )roce( tires to be followed by
the Fed!erat Reserve Board in enacting regulation umler the latter act.
(65)










Summary of Legislation Originating in the Subcommittee on
Small Business


BILL ENACTED INTO LAW
SMALL BUSINESS DEVELOPMENT ACT
[S. 2498]
[Public Law 94-305; Approved June 4, 1976]
To amend the Small Business Act and Small Business Investment Act of 1958
to provide additional assistance under such Acts, to create a pollution control
financing 'program for small business and for other purposes
HISTORY OF LEGISLATION
The Subcommittee on Small Business held hearings on S. 197,
S. 545, S. 648, H.R. 4888, S. 1547, S. 1792, S. 1052 and S. 2104 on
July 21, 22, and 23, 1975. Following the hearings, the Subcommittee
met in open mark-up session on September 10 to consider all of these
measures. Following that meeting, the Subcommittee recommended
to the Committee a committee bill incorporating many of the pro-
visions in the bills under consideration. The Committee, on October 1,
1975 agreed to report the bill, (S. 2498, S. Rept. 94-420).
The bill was then referred to the Senate Commerce Committee
which considered the measure and removed all the provisions con-
cerning SBA export assistance; then reported the bill, amended, on
November 26, 1975 (S. Rept. 94-501).
S. 2498 passed the Senate, amended, on December 12, 1975, and
was referred to House Committee on Small Business. On December 17,
1975, the bill was considered and passed the House, amended, in
lieu of H.R. 9056.
The Senate requested a conference on March 11, 1976, the House
agreed on 'March 15, and on May 10, 1976, the conference report was
filed (11. Rept. 94-1115). The House accepted the conference report
on Mar 13, 1976, and the Senate agreed to it on May 20, 1976. The
bill was approved and signed by the President on June 4, 1976, becom-
ing Public Law 94-305.

DIGEST OF STATUTE
Public Law 94-305 requires that the President review all Federal
(ii'aster loan authorities and report to Congress no later than Decem-
ber 1, 1976.
The Act also authorized the SBA to guarantee small business
leases of pollution control facilities from State or local authorities.
To finance the,,e facilities, State or local authorities would issue tax-
exemlpt obligations secured by the SBA guaranteed lease.






67


'11 he act d o make.-; lill Small a1~vi iii t i 1a ei tpit (' el i-ib L '(i*f
finan in- ad1l mana (emenlt .i.t,;Pane froTH the ;BA.
Finlall v, the tattite e-tal)i-hlies within tlie SBA, (,)n Ofiiee of' AIdvo-
cacy, which would be headedt by at Chief (ounsel for AdIvoc.acv -who
woui1 be apl)l)ointed from the pt:ivate sector by the Pre-(i(ent, bY t old
with the advice and (onv-&nt of the Senate. t al)J)oillee wvljld be
required to transmit reports to the Presi(lenl and without
prior review by other Fe feral agencies.


SO-607-77- 6










BILLS THAT PASSED THE SENATE


AMENDING THE SMALL BUSINESS ACT
[S. 1839]
To amend the Small Business Act and the Small Business Investment Act of
1958 to increase the authorization for certain small business loan and guarantee
programs, and for other purposes
HISTORY OF LEGISLATION
S. 1239 and S. 1337 were introduced in the Senate on March 19 and
March 26, 1975, respectively, and referred to the Committee on Bank-
ing, Housing and Urban Affairs. The bills were subsequently referred
to the Subcommittee on Small Business and became the subject of
hearings on April 21 and 22, 1975. Following the hearings the bills,
along with other proposals made during the hearings, were considered
in markup session of the subcommittee on May 9, 1975, and the sub-
committee recommended a committee bill to the committee. The
committee considered the subcommittee recommendations and re-
ported S. 1839 to the Senate on June 2, 1975 (S. Rept. 94-167). The
bill passed the Senate on June 4 and was referred to the House Com-
mittee on Small Business.
No further action was taken on the measure during the 94th
Congress.
DIGEST OF BILL
S. 1839 would have increased the subceiling governing the total
amount of loan guarantees for the SBIC program from $725 million
to S825 million. The bill would also have provided a subceiling in-
crease of $75 million from $450 million to $525 million for economic
opportunity loan programs. The Surety Bond guarantee Fund au-
t :orization would have been increased from $35 million to $45 million
and would have been allowed additional appropriations up to a maxi-
i-nulmmi of $15 million. The last provision of the bill would have clarified
certain language in Public Law 93-501 approved October 29, 1974.


SMALL BUSINESS INVESTMENT ACT AMENDMENTS
[S. 2613]
To amend the Small Business Investment Act of 1958, to change the title and
duties of the Associate Administrator for Finance and Investment of the Small
Business Administration, and for other purposes
HISTORY OF LEGISLATION
S. 2613 was introduced in the Senate on November 4, 1975. The
Subcommittee on Small Business held hearings on the bill on April
7, 1976. On May 11, 1976 the Subcommittee voted to report the bill
(68)





69


to the Full Committee with amendments. Subsequently, the ('ongres
enacted S. 2498 and this measure was signed into law by the Pre'idlent
on June 4, 1976 (Public Law 94-305). Public Law 94-305 include(
some of the provisions of S. 2613 as reported by the Subcommittee.
On June 29, 1976, the Full Committee ordered the bill to be reported
(S. Rept. 94-177) with amendments conforming to the provi,ions of
Public Law 94-305.
On September 27, 1976, the bill was considered, amended, and
passed the Senate; and was referred to the 11ouse Commnittee on
Small Business.
No further action was taken on the bill in the 94th Congress.
DIGEST OF TttE BILL
S. 2613 would make one technical amen(lnent an(I provide three
substantive changes in the current Small Btisiiiess investinent Act
of 1958, as amended. The bill deals with the program a(nliistere(
by the Small Business Administration un(ler which Small Btulilless
Investment Companies are organized a 1ni licensed to provi(l, eqtlity
capital, long-term credit and management assistance to small business
concerns owned by persons whose participation iii the free (llterprie
sys stem is hampered because of social or economic (!isalv anlte.
Such SBIC's are license( under a special section o the it11
Investment Act (Section :401((I)) ar(l are (oiioly refel'red to a
Se<:tion 4,)1(d) SBICs. 'lle thlrist of tis !e(iatioli wo li( provi( le
additional financial incentives to the organization an iicensiui (4t
Ction 3 01(d) SBIC's ill order to attract (i( It jl lill A, to
lnal_ oa a d e *,it3 a f or (lia(Ia1tog'
mle available in the fori of loans and equuv for


A-M[ENDTNG ThE SMALL BUSINESS ACT
[S. 3t369]
To amend the SmaI Buinessl Act to increase the authorization for certain small
business loan prograins
HISTORY OF LEGISLATION
S. 3369 was iritro(luced ini the Senate on 5 ,,- 4, 1976, an(l refetre(
to the Committee on Bankii,.., Itousimo" anl Ur-ban Atfair Tit 1)bill
was subsequently referred to the Sutbconiintee on >mall Bu,,es
and was the subject of a mark-up session of the Subo, t, ",e
May 11, 1976. The Sutbcommittee ret)orte(! the bill tfavoral)lv to the
Full Comnittee. The Committee consiuere l the bill and ret)ort('( it
on May 13, 1976 (S. Rept. 94-845).
The measure was considered by the Senate and passed, without
amen(lnent, on July 22, 1976; a(1 was then referre(l to the 1lotioh
Comniittee on Small Business.
No flurtler action was taken during the 94th Congress.
DIGEST OF BILL

Un(er !)relelt law, the Small Business Administration is autlhorize(l
$6 billion to be outstanding at any one time to carry out its loan and





70


guarantee programs. Section 1 of this bill would have increased this
authorization by $1.5 billion.
Additional sections of the bill were concerned with increases in
specific subceilings within this overall authorization.


AMENDING THE SMALL BUSINESS INVESTMENT ACT
OF 1958
[S. 3370]
To amend the Small Business Investment Act of 1958 to increase the authorization
for the Surety Bond Guarantee Fund
HISTORY OF LEGISLATION
S. 3370 was introduced in the Senate on May 4, 1976, was subse-
quently referred to the Subcommittee on Small Business and was
the subject of a markup session of the subcommittee on May 11, 1976.
The subcommittee reported the bill favorably to the full committee.
The committee considered the bill and ordered it reported on May
13, 1976 (S. Rept. 94-846).
After consideration the measure was amended and passed by the
Senate on July 19, 1976, and was referred to the House Committee
on Small Business.
No further action was taken during the 94th Congress.
DIGEST OF BILL
Public Law 93-386, approved August 23, 1974 authorizes up to
$35 million for the Surety Bond Guarantee Fund. This bill would
have increased the overall fund figure to $88 million.










BILLS ON WHICH HEARINGS WERE HELD


NEW SOURCES OF FINANCING FOR 'MINORITY ENT1ER-
PRISES
[S. 1124]
To amend the Small Business Act to assist in the financing of snll busine
concerns owned by persons who are disadvantaged because of certain economic
conditions
HISTORY OF LEGISLATION
S. 1124 was introduced in the Senate on 'March 10. 1975. It was
considered during hearings on Julv 21, 22 and 23, 1973, when a
number of bills relative to Small Business were taken up by the Small
Business Subcommittee. Then on M\Iay 11, 1976, another hearing
by the Subcommittee was held to discuss S. 1124. No further action
was taken by the committee during the 94th Congress.
DIGEST OF BILL
The main thrust of S. 1124 was to provide, through the SBA, a
guarantee of equity investments by investment companies and other
qualified investors in small busines-s concerns which are at lea t 50
percent owned by persons "disadvantaged" due to certain ; social or
economic considerations. The bill would require that, if at any time
after the expiration of two years, but prior to the expiration of five
years, following the date on which a guarantee with respect to se-
curities becomes effective the market price of such securities is Ie s
than 70 per centum of the price at which the securities were first
offered for sale or the book value of such securities is less than 70
per centun of their book value at the time of purchase, the Ad-
ministration shall on demand of the investor purchase such securities
from the investor at a price equal to 70 per centum of the price paid
for the securities by the investor.


SIALL BUSINESS ACT A\IENDM\IENTS
[S. 1547]
A bill to amend the Small Business Act to make loans available for ;-mall bu;i-
nesses suffering economic injuries as the result of the disruption of operations
and services of public utilities
HISTORY OF LEGISLATION
S. 1547 was introduced in the Senate on April 29, 1975. The bill waz
referred to the Subcommittee on Small Business which held hearings
on a number of bills, including S. 1547, on July 21, 22, and 23, 1975.
After conideration, the bill was tabled by the committee on
October 1. 1975, and no further action was taken in the 94th Congress.
(71)






72


DIGEST OF BILL
S. 1547 would have amended section 7 (b) of the Small Business
Act to make loans available for small businesses suffering economic
injuries as the result of the disruption of operations and services of
public utilities.

AMENDING THE SMALL BUSINESS ACT
[H.R. 4888]
To amend the Small Business Act to make loans available for small businesses
suffering economic injuries as the result of the disruption of operations and
services of public utilit ies
HISTORY OF LEGISLATION
H.R. 4888 was introduced on March 31, 1975, and referred to the
House Small Business Committee, which reported the bill on June 12,
1975 (H. Rept. 94-288). On June 17, H.R. 4888 passed the House and
was referred to the Senate Banking Committee on June 18, 1975. The
bill was referred to the Subcommittee on Small Business on June 20,
and hearings were held before the Subcommittee on July 21, 22 and
23. On October 1, the Subcommittee tabled the bill.
No further action was taken on the measure in the 94th Congress.
DIGEST OF BILL
H.R. 4888 would amend section 7(b) of the Small Business Act to
make loans available for small businesses suffering economic injuries
as the result of the disruption of operations and services of public
utilities.










Su arnyiirv of Oversight Activities Originat;-io in the Co".mit tee

BANK HOLDING COMPANY CRED1) IT INS U j{A(
SUBSIDIARIES
Tnier the Bank Hohling" Company Act of ,is aineI'. 11.,
Federal R{eserve Board is authorizedl to permit bank h ohlin" Corn )111 1TIe
to engage in a variety of bank related activities. The Boi1r* 1 K
interpreted the Act, to peiinit bank holimn" to t esw
subsioliaries for the purpose of writing credit life, ]ettIt h andi acl,- .,
insurance. This insurance is typically sol(l to bank ijastotnr 1vho
borrow from the bank. The in rl1nce !1s off i lie oti, L8n(ltn a'i n tn
of a loan in the event the borrower (lies or )e('e, (lis abil', .
The FedrReserve Bo i has require l Nni,)k holdliwrin -
Wh(o wish to establish cre'lit insurance subsi(!ial-ies lo (n
tha't thle public will benefit from this aiange(ment. Tyt)l*c,,(..J Ilie
Board requires the holhiing coiiiany to show that the preliiunis ,ot
credit insurance will be lower or the benefits ii'fatei it is w>i-tf(en
throllgh a bank holding coiin any subsidiary.
In October 1975 the coiii:1ittee published a, staLff rel)ort wtiichI
siiowed that in assessincr the public benefits of )ernittinr bank l!lin,,"
CO, I panis to write Cre(lit, insurance, the leicl ral Reserve Boari.'
completely ignored the tax loss to the U.S. Treasury.
While t these hndimgs are necessarily puv inai3, they do irlic-te
the need for closer Congressional scrutiny of the Federal Reserve
Board's administration of the Bank Holding C otip any Act.


COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM [
The Housing and Community Development Act of 1974, Public
Law 93-383, was enacted on August 22 of that year.
The law was designed to make our cities viable human cominunities
by stimulating housing construction, rehabilitation by fosterin d the
elimination and prevention of slums and blight, and by achieving
other objectives important to community life.
On August 23, 24, 25, and 26, 1976 the committee held overs -lit
hearings on the extent the objectives of the act have been achieved.
Twenty-two witnesses including representatives of citizens al
civil rights groups, and representatives of national organization,
concerned with housing and community development, local govern-
nent, ind the Department of Housing and Urban level )ment.
)iesent od testimony.
(73)





74


The questions raised at the proceedings were:
How have community development funds been used? To what
extent have the objectives of the act been achieved?
What has been the record of providing decent housing and
eliminating slums and preventing blight?
Have the local programs approved by HUD given maximum
feasible priority to activities benefiting low- or moderate-income
families?
How equitable is the allocation of funds in meeting the needs
of communities?
What will the impact of phasing out hold-harmless entitlement?
Have citizens been given adequate opportunity to take part
in the program?
How well has HUD administered the program, particularly
the application review requirements?
What changes should be made in HUD's administrative
regulation?
What new provisions or programs are needed to make our
cities what we want them to be?


CONDUCT OF MONETARY POLICY
House Concurrent Resolution 133, passed on March 24, 1975,
expressed the sense of Congress that the Federal Reserve Board
should maintain long run growth of the monetary and credit aggre-
gates commensurate with the economy's long run potential to increase
production and consistent with achieving maximum employment,
stable prices, and moderate long-term interest rates. The Resolution
also called upon the Board to consult with the House and Senate
Banking Committees at semi-annual hearings about the Board's and
the Federal Open Market Ccmmittee's objectives and plans for the
forthcoming year.
In the 94th Congress the Committee met with the Chairman of
the Federal Reserve Board and other noted economists in open
hearings on four occasions. Subsequent to each of the oversight
hearings a report was made to the Senate on the Board ef Governor's
and the Federal Open Market Committee's objectives and plans with
respect to the ranges of growth of the monetary and credit aggregates
in the upcoming months.
The dates of the hearings and numbers of the reports follow:
First meeting, April.29, and 30; and May 1, 1975 (S. Rept. 94-256).
Second meeting, November 4 and 6, 1975 (S. Rept. 94-591).
Third meeting, May 3, 4 and 5, 1976 (S. Rept. 94-931).
Fourth meeting, November 11 and 12, 1976 (Committee Print
report, dated December 15, 1976).

CONSUMERS GUIDE TO BANKING
In recent years, Congress has passed several "Truth in..." laws,
beginning with the landmark Truth in Lending Act. But in the area
of banking, comparison shopping can be a frustrating task, even with
the help of disclosure legislation.





75


I)iffrrent banks charge widely differing fees for the sante S'rVie.<,
andt I ,..Ta savings are possible if consumers shop arotind. Tlie I)rpol)lIi
is that, different banks often fail to speak a conimon la. t
cxwnile, one bank may calculate checking account fees on tlhe i'i-,
<)f tie average monthly balance in the account, while the I)ank +ero+-
thlie street might use the lowest balance.
On consumer loans and credit card charges, different I)+ank n)t oiil,
charge different interest rates; they use a variety of niiet lo,) 1 f(r
calculating the interest due. While Truth in Lending helps con> i tlfnr,
by requiring interest rates on most loans to be stated in the c)il)ijon
language of an annual percentage rate (eliminating i1iiieadlinr
"discount" or "add-on" rates), other bank practices tiat are till
legal make it necessary for the shrewd consumer to compare apples
and oranges.
The staff of the Senate Banking, Illou.sing and Urban Affairs'-
Committee published a report in April of 1976 vhich igiht take somni
of the mystique out of banking and encouraged informed shoppin01
around by consumers.
The report was based on surveys of major New York ("ity and
Washington D.C. area banks. It indicates, in tabtlar form, the serv-
ices, charges, and methods of calculation offered by the 4:3 bank.
which responded to the Committee's questionnaire. It is (ivided into
five sections: Checking Accounts, Credit Cards and Check Credit
Plans, Installment Loans, 5[ortgage Loans, amI Savings Accounts.


CONSUMER PROTECTION ACTIVITIES OF FEDERAL
BANKING AGENCIES
On July 27, 28, and 29, 1976, the Committee held oversight hear-
ings on the enforcement of federal and state consumer protection
laws by the three major bank reguhtory agencies: the Comiptroler
of the Currency, the Federal Deposit Insurance Corporation, anI the
Federal Reserve Board. These agencies are charged with ,i)ec-ific
enforcement responsibilities under section 1S of the Federal Irade
Commission Act, as amended by Public Law 9--63-, andunier several
titles of the Consumer Credit Protection Act. The hearings also con-
sidered whether the very complexity of the laws and regulations in this
area tended to frustrate enforcement, and whether such complexity
could be avoided.
Also discussed at the hearing was concern that the benefits of
certain consumer protection laws-particularly Truth in Lending-
may be lost or reduced because of the sheer complexity of the laws and
the implementing regulations. Truth in Lending was intended to
provide consumers with meaningful information about credit costs.
But if disclosure forms are so cluttered with non-essential information
as to be unintelligible their value to consumers diminish.
In the course of the hearings the Committee heard testimony from
representatives of the three bank regulatory agencies, from a number
of state bank commissioners and state consumer protection officials,
from spokesmen for the Consumer Bankers Association, the American
Retail Federation and the National Retail Merchants Association.
Also, testifying were representatives from the Consuimer Federation of





76


America, the National Organization for Women, Consumers Union,
and the Center for Law and Social Policy. Addressing the Truth in
Lending complexity question was a law professor who is currently
a visiting scholar with the American Bar Foundation.


CORPORATE TAKEOVERS
On February 16, 1976 the committee held an oversight hearing on a
recent corporate takeover attempt which had generated a great deal of
public interest. A proposed but subsequently abandoned tender offer
by General Cable Corp. for shares of Microdot, Inc.
At issue was the adequacy of regulation, under the banking and
securities laws, of persons involved in corporate takeovers.
In the course of Microdot's maneuvering to avoid the General Cable
takeover, it was discovered that the offer was to be financed by a loan
by four banks: Irving Trust Co., a State member bank; and three
national banks, Morgan Guaranty Trust Co. of New York, First
National City Bank, and Manufacturers Hanover Trust Co.
Irving Trust, the head of the consortium, was Microdot's No. 1
bank. It had a $2.5 million line-of-credit commitment to Microdot,
was Microdot's clearing bank, and was trustee of Microdot's pension
trust. Because of its ties to Microdot, Irving Trust received confiden-
tial quarterly information on Microdot's sales and earnings, and also
had a good idea of the daily cash flow.
It appears, however, that when a choice had to be made between
two customers, Irving's ties with General Cable were stronger than
those with Microdot. Four members of the Board of Directors of Gen-
eral Cable were on the Board of Irving Trust and its parent holding
company, Charter New York.
Testimony of the principals of two of the companies involved
centered on the inability or unwillingness of the bank regulatory
agencies to become involved in such situations.


COUNCIL ON WAGE AND PRICE STABILITY
The Council is authorized to monitor and report on wage-price
developments in the private sector. It also analyzes the inflationary
impact of government regulations. Other than the authority to issue
subpoenas and require periodic reports (which it has not used) the
Council has no substantive powers. Its annual budget authorization
is only $1.7 million.
On December 14 and 15, 1976 the committee conducted oversight
hearings to evaluate the efficacy of the Council's operation in helping
reduce the rate of inflation.
Testifying at the hearings were the Acting Director of the Council
on Wage and Price Stability, and noted economists, including repre-
sentatives from the Chamber of Commerce and the National Associa-
tion of Manufacturers.







EQUAL OPPORTUNITY IN LENDING
The (oininiittee held two (lays of oversight hearings larch 11 ai(l
MIarch 12, 1976, on enforcement of the f.ir leilding provii (4 th
1968 Civil Rights Act by the four Federal inaicial regulatory a genceus.
Title VIII of the 1968 legislation, often called the Th ir I lousin'r
Act, begins with i. declaration that "It is tlie policy of the I U Ii ( e
St al(es to provide, within constitutiolll lii ait 0s, loi'. fir 11011>8 1
hi rou t the Unlited States." o thUt e((, Secti(i) -)5 J)rollihils
ba(ks an( other lending iln stitutions froil d F iIIt on on i, l)a>i
of a(.,', cIoo religion, sex, or natio,,tal orign in tiakmi,' how ml, Ilon t-
gaoe 1oans.
S ction S'U8(c) of the Act e('Nlicitky co()iferTh an ohli 'a t()a W) It'll
Federal agencies to iAfirinativcly frtlier the Of' Fnfl O0,Qo c i lir
Housing Act.
The Act gives HUD general authority for 1i1wii e.i', t1, Act
and for processing con)p(iints. As iole(l, it-, explicitly (ir"- S ot wr
agen ics to cooperate with IUD, 8)1(1 to unllertike th(ir owt)i
tive proo'rams. Further, Section S13 eil)OWers the usti(We Dci)n, ]'I l;
to file civil suits to remedy any "pattern or practice of robitziitce to
the full enjoyment of any of the rights grated by this siibctIatel'
The hearings were concerned with the enforceiment 1olic of tle
Federal financial regulatory agenci('s vis-a-vis the institiltio,s they
supervise. Homeownershi) is more ( epenent oil the wavila bilitV ofte
credit than any other 1)ulirchase a consumer makes. Clearly, if inert gage r
lending institutions discriiinate the fair housing objectives of tle
1968 Act are frustrated.
The committee subsequently reporte(l on fair lending enforci ent
to the Senate on June 3, 1976 (S. Rept. 94-930).


FINANCIAL DISCLOSURE BY BANKS AND BANIK
HOLDING COMPANIES
On July 11 and 16, 1975, the committee held oversight hearingo- cit
the soundness of the nation's banking system and the 1)roblems of
financial disclosure by banks and bank holding companies.
Under discussion were the capital adequacy of the banking system,
the question of equity vs. debt capital, short term borrowings, liability y
management and the quality of assets held by the banking system.
Also considered were the facts that disclosure of the financial affairs
of banks and bank holding companies could play a significant role in
reestablishing public confidence in the integrity of the financial system
an(l protect investors by enabling them to more accurately assess the
risks they take when they invest in these institutions.
Witnesses included heads of the banking regulatory agencies, the
Sect irities and Exchiange Colsso, Stndrd an~ PoorsCpoa
(ioandtommAssmon Standria Bnd k Arss Cor
tion, tind thie American Bankers Association.





78


GNMA EMERGENCY TANDEM PLAN
The Committee on Banking, Housing and Urban Affairs held over-
sight hearings on September 20, 21 and 22 for the purpose of examining
the performance of the Government National Mortgage Association
emergency tandem plan. This program was enacted in October, 1974
as part of the Emergency Home Purchase Assistance Act (Public Law
93-449), and has undergone several statutory revisions since that
time.
The program infuses funds into the housing market during periods
of scarce credit and high interest rates through a system by which
mortgages are made at below-market interest rates by private lenders,
and are then sold to GNMA, an agency within the Department of
Housing and Urban Development. GNMA, in turn, generally resells
the loans at a later time. The difference, if any, between the price paid
by GNMA for the mortgage and the price received by GNMA when
the mortgage is sold at the market rate must be absorbed as a loss by
GNMA, and is thus a subsidy paid by the taxpayers.
The program has a two-fold purpose. First, it is intended to stabilize
the housing and home construction market by providing below-market
rate funds when, in the judgment of the Secretary of HUD, there is
a serious shortage of housing credit: Second, the program is intended
to direct this credit assistance primarily toward middle-income home-
buyers in order to expand their opportunity for homeownership. The
first of these goals is part of the statutory language of the Act, while
the second is indicated by the program's legislative history and the
inclusion in the law of limits on the size of eligible loans and, through
subsequent amendments, on the sales price of eligible homes.
The hearings assessed the effectiveness of the program in meeting
these two goals and examined ways in which its operations and effec-
tiveness could be improved.

HOME MORTGAGE DISCLOSURE ACT AND EQUAL CREDIT
OPPORTUNITY ACT
The Committee held an oversight hearing, on November 23
1976, on the Home Mortgage Disclosure Act and the Equal Credit.
Opportunity Act.
As the Chairman stated on opening the hearing: "These two
measures are closely related, since taken together they carry out a
public policy against discrimination in morgage lending-discrimi-
nation on racial, sex or ethnic grounds as well as arbitrary discrimi-
nation against older urban neighborhoods."
The Equal Credit Opportunity Act prohibits other forms of lending
discrimination besides home mortgage loans. However, the Committee's
oversight at this meeting was limited to mortgage lending and the
policies that exist to counteract it.
The pui-pose of the hearing was to determine whether the regulatory
agencies concerned were enforcing the laws. Witnesses were heard
from the Federal Reserve Board, the Federal Home Loan Bank
Board, and several public officials who were instrumental in the passage
of the Mortgage Disclosure Act.






79


I I()USING \JANAGEIENT, FORECLOSURES AN)D
ABANDON MENTS
Thle committee e on Banking, Housing and Urban Affairs, (ontilluilinf
it, oversight on the nation's housing progiains, held a Itearng oit
July 14, 1975 in Chicago, Illinois, to examine the administration of
FIIA single family mortgage insurance programs.
Witnesses testified on homeowner complaints abotit si oddy h()IHe
construction, inadequate federal inspection and appraisal-, and
allegations of fraud and maladministration in FIIA's housing ian-
agement operations.
Committee members pressed local IJUD officials to explain why
the government could not control the abuses. These officials, in turn,
cited difficulties in administering regulations which originate front
the Department of Housing and Urban Development's control offices
in Washington, D.C.


LOCKHEED LOAN GUARANTEE
On August 25, 1975 and again on February 19 and March 3, 1976
the committee held oversight hearings on the administration of the
Government-guaran teed loan to Lockheed Ciorporation and 1 the
related problem of bribes and other improper paymentss made by
Lockheed to promote the sales of its products abroad.
In addition to the chairman of the board of Lockheed, witnesses
included the Secretary of the Treasury, the (X;mi)troller Generll
of the United States and the Chairman of the Sectrities and Exchange
Commission.
These hearings led to legislative hearings on 'May 18, 1976 after
which the committee reported a bill, S. 3664, to the Senate.


MULTINATIONAL BANKING
The staff of the Senate Banking Committee is preparing a stuIdy of
multinational banking. The study will analyze the growth in the
international activities of U.S. banks and the impact of that growth
on bank safety and soundness, bank regulation, banking structure,
domestic banking operations, and monetary policy. While the staff
study is not expected to result in specific recommendations, the
analysis it provides may lead to legislative proposals by members of
the Committee.

NATIONAL HOUSING GOALS
The committee continued its oversight on updating the nationa-l
housing goals contained in the 1968 Housing Act. ()n June 12, 1975,
the practice of inviting the Secretary of the Department of tlousing
and Urban Developitent to an open hearing, semi-annually, to discuss
tile i)ri"'s- Ina(le by the Department, and its plans for the future,
was beguit.





80


The committee also heard the Secretary of HUD inquarterly over-
sight hearings held on November 5, 1975; February 20, 1976; and
June 23, 1976.

NEW YORK CITY LOAN PROGRAM
01 April 1 and 2, 1976 the Committee held its first oversight
hearings on the New York City Seasonal Financing Act, Public Law
94-143, enacted on December 9, 1975.
During the course of Senate debate on the legislation the Committee
on Banking, Housing and Urban Affairs undertook a firm commit-
ment to conduct continuing oversight of the New York City financial
situation and the progress being made toward fiscal responsibility.
Participants at the hearing included representatives of the Treasury
Department, the city, the state, the Emergency Financial Control
Board, and the Municipal Assistance Corporation.
Subsequently on May 17, 1976, the Committee reported its findings
to the Senate (S. Rept. 94-900).
Then again, on December 20 and 21, 1976, the oversight hearings
were continued, with witnesses from the Treasury Department, the
citv and the State.
There were a number of new developments by that time, the most
important of which was the decision by the New York State Court of
Appeals overturning the moratorium on repayment of $1.6 billion in
short-term city notes.

PROBLEM BANKS
Early in 1976 the public press began reporting that large numbers
of banks were listed as problem banks by the bank regulatory agencies.
The Federal Reserve Board, the Federal Deposit Insurance Cor-
poration and the Comptroller of the Currency all reported increases
in the numbers of problem banks on their lists for 1976 over 1975.
These increases raised questions respecting the willingness of the
bank regulators to use their authority to require banks to adhere to
safe and sound practices.
On February 5, 1976 the committee held an oversight hearing
and invited representatives from the three agencies to discuss the
means by which their performance could be evaluated.
Also testifying was the Comptroller General of the United States
who discussed the possibility of a GAO study and report to the
Congress on how effective the three agencies have been in carrying
out their responsibilities.

REAL ESTATE SETTLEMENT PROCEDURES ACT OF 1974
Upon enactment of the Real Estate Settlement Procedures Act of
1974, Public Law 93-533, Members of Congress, as well as Govern-
ment agencies began to receive a considerable volume of correspond-
ence from both consumers and industry complaining about the burden
nlnd rigidities of the act.






81


()11 ,, tnher 15, 16, and 17, 1975 the comlinittee held overzrlt
lJU' ri~ll, Oil the law which had beel in effect just three iinlth .
Te"tilotlv was received from representatives of b)oth goVern-Ilieii
*1I1d j)rivat(e organizations on the proposals to suspend sectioiis 4, 6,
aund 7 of the act.
Subsequently the House and Senate agreed on a bill, S. 2.2,1
which on January 2, 1976 became Public Law 94-205.


SECONDARY MORTGAGE MARKET
On December 9, 10 and 13, 1976, the Committee held oversight
hearings on the secondary market operations of the Federal National
Mortgage Association and tle Federal Home Loan '\ortgage
Corporation.
The hearing was comductecd to review tile }erfoi' 11(IiCe of' tllet ,(
iiistitiitions in meeting te oj l)jectiVes Set forth in the Feieral -tat ute-
which, established then.
Trhe GA() and the (on/-ressionaI Researc.hl Sevvice of the ILitIirv
of congresss presented tinl> from tiLllidie tlhev lid ('1'ri(ed wit t,
tile request of the committee. Additional testimony wa> Iffe..enteoI bYe .
the offcials of FN IA amli the it'1IL l(, rel)r( >entative- (4 >-fyin>-
anil loans, umorttare b.nks z:nd other or ,ariza tim


TR EASURY DEPART.ENT'IE()NTRAC1T (')IPIIAN(
PROGRAM[ F( )R FINANCIAL INSTITUTIONS
()n Jun 4, 1976 the General Acounting (flice, at the reqie-t of tile
chairmanan of the committee issuiled a report title(I "Nio e Action
Needed to Insure that Financial Institutioni Provide E(tul I L1mlo v-
inent Opportunity." Thme report, vx hich ti lie rc>IIls ofl a0-In i
review of the Treas'rv Departnients E(qual ()tpp runitv Prru m
was hiilv critical of the limiite(l progress lnule ill iinmul'iLw thii
financial institutions follow equal employment o)1)0o1titv p)ractice-.
It concluded that the "prorm's (cdibilitv l a- n >erioum y
i~llaire(l by TIIe irv 1're,,oi ot nof elo,(ceii{
The Committee held oversi.,,'t hearll5 oil tile Tre:i.,iV i)ej )A-
nent's administration of the contract (onl)liance iP,)VO-V *In br tn:imnz!l
institutions, and on the iroblemls :found in ttle (iA() review, on1
August 2 and 3, 1976.
Under the Department of Labor's contract compliance program, the
Treasury Departiment is required to enforce Federal rules barring
discrimination in employment on the basis of race, color, religion. Sex
or national origin by Federal depository institution. Tho-e rule-s
re(qlite that financial institutions holding Federal (ontract make a
1)iO-itive showing that they are not now discriminating in their eu-
)lovuent and )romotionl practices, an(l that the effect.+ of aliv Ia-t
( -l "IliIlatimon are being cleared u) throtii/1 the iln1plel!.itatl()I of
Wi e- : t (.i 1iii, discri'nination in bank emnplovmem, 111Yciall at tile
le-r i Ivel,; di--werjmin-li"Itmoll (1,rain-t i oriitie- W0111.11, ztald
,,1 ,' 'ertz)iM. reh~l~ ~ le





82


VARIABLE RATE MORTGAGES
On April 14-17, 1975 the committee held hearings on proposed
regulations by the Federal Home Loan Bank Board to permit Federal
savings and loans to offer variable-rate mortgages. Witnesses included
the Chairman of the Federal Home Loan Bank Board, various con-
sumer groups, representatives of banking and S&L associations and
noted economists.
The Board indicated it planned to go ahead with the proposals
unless it received a strong signal of disapproval from the Congress.
On June 3, 1975 the committee reported S. Con. Res. 45 expressing
the sense of the Congress that the Board refrain from authorizing the
VRM's unless and until authorized by the Congress.











Summary of Oversight Ac-ivities Originating in the
Subcommittee on Housing and Urban. Affairs
FINANCIAL CONDITION OF L )CAIL JI() 1>INCI
AUTI HORIE ,S
The financial condition of local public hoiiging aithovritie, 111(I tlie
Federal government's proposed plan for t)rovi(ling oI)erati:2 'lL. itie
to meet the deficits of the authorities, were the subject of an over-
sight hearing by the Subcommittee on lotising and Urban Affairs
on March 11 and 14, 1975.
The Department of Housing and Urban Development had I)ropo.se(
a formula for distribution of operating subsidy funds in accor(lance
with the authority contained in the Housing and Community Devel-
opment Act of 1974.
The subccmmittee conducted the hearing to receive comments on
the allocation formula from HUD, the General Accounting Office and
several large housing authorities.


FEDERAL FLOOD INSURANCE PROGRAM
The Subcommittee on Housing and Urban Affairs held hearings on
June 13 and 23, and on November 12 and 13, 1975 in order to review
the progress of the Federal flood insurance program and to consider
proposed amendments.
The oversight activity focussed on the hardships imi)osed on
certain property owners who live in flood prone areas which z.are denied
mortgage credit in accordance with the law.
The committee acted to alleviate certain of the problems presented.


HOUSING GOALS AND MORTGAGE CREDIT: 1975-80
The Subcommittee on Housing and Urban Affairs examined the
relationship between housing goals and mortgage credit in 1960, in
1967, and again in 1969.
On September 22, 28, and 25, 1975 overnight hearing- became palrt
of the fourth stu(ly of this question. The hearings wre& ('oCalled to
(,oeive testimony from expert witnes-es on the hoi i'inc an( i mortgage
(.ie(tit nee(s for ihe 5-y ear period 975-19N0.
i)ata p)re>ente(i in. ptn(iy i)a1)eIs reqlvle',,tI )y the Ohiain11n of the
co)tflflit tee, lrovidet the l*l1- ti e ,it' V il-ntr.
(83)


6oT 77 7





C4


The first dav of the hearings focused on the question of housing
goals. The second day reviewed the sources of mortgage credit and
what changes should be made in our existing financial institutions
to assure adequate credit for housing. The third day considered the
effect that proposed changes in the Financial Institutions Act would
have on housing.

RURAL HOUSING PROGRAMS
The Committee on Banking, Housing and Urban Affairs has re-
- ponsibility for authorizing and overseeing the conduct of rural housing
programs. In accordance with these responsibilities the Subcommittee
on Housing and Urban Affair- scheduled hearings on this subject on
February 17 and IS, 1976.
One purpose of the hearing was to develop a meaningful and useful
record the Congress and the Administration could use in improving
rural housing programs. Significant advances have been made in
providing rural Americans with decent housing since the first major
rural housing legislation, the Housing Act of 1949, was enacted. The
Housing Act of 1974 added important new tools for building housing
in rural America.
Testimony was heard from witnesses on how rural housing pro-
grams are being conducted, how well they are accomplishing their
purposes, and what the Congress can do to meet the needs that pres-
ent programs are not fulfilling.


DEVELOPMENT OF NEW TYPES OF MORTGAGE MARKET
INSTRUMENTS
According to the Department of Housing and Urban Development,
the proportion of American families able to afford a median-priced,
new house declined from 55 percent in 1970 to 40 percent in 1975.
Recent evidence indicates that this trend is continuing.
The Subcommittee on. Housing and Urban Affairs, is studying
legiIative proposals to authorize lenders to offer alternative mortgage
instruments, in addition to the standard fixed rate, level payment
mortgage loan.
On August 4, 9, and 10, 1976 hearings were held to consider several
of these proposed alternatives. Witnesses reflecting industry, con-
sumer and government viewpoints were heard.











Summary of Oversight Activities Originating in the
Subcommittee on Financial Institutions
N(W ACCOUNTS
The Subcommittee on Fiimncial 1nAstiitttioiis 1ew(1 two 'j;x of
1letrin rs, in W orcester, IN I on S It erii 11, 1.7 ni an i ii (i)1('()rl
N.H. on September 12, 1975.
JThe purpose of the oversight toarings wa> I) :1111p i >ct
which NOW accounts have hat ol the finllnlcial (o!llInhiit v wi1il1
those two states, the benefits 8hlich liive (lerived to the ons)I'>i1ler
from NOW accounts, and whatever other i )lia itions wljcl. nmi, lt
be relevant to the questions of whether NO)W a1ccollnts s1ol1I be ],I*-
initted nationwide.
Residents of Xiassaeht'wetts I NI(Iew la l s!iire lha've been )z;r-
tieil)ating in the financial experiment which had no COit~it)8 U i any
other State in the Union. In tie>s,:, two states ciistomors of fiiinwci l
institutions have been given IhIe o)porltiliity to write neorihl 1e ord ers
of withdrawal against their saw"vns aecotilts while. t iII (t ,vi li.r
iinterest on their savings ini these a(comllts.
Public Law 94-222, enacte(t February 27, 1976, ailhorized the w-e
of N)OW accounts in ( 'onneCticut, Rhode Islznd ,,XIine ad Verm ont.
Efforts to extend N()W aecomt activity to New York qn(- New
Jersev were unsuccessful in the 94th (on,ress. The (Conmmittee is- d(i
to receive a report front hc Fi(Wei'al Reserve o Felbiitary 1, 1 17, oil
the interest on demand ('t)>it issue.


STATE AND LOCAL "DOING B USI NES" "AXESN OUT-( )F-
STATE FINANCIAL DEPOSITORIiS
Section 7 of Public Law 93-100, enacted August 6, 197:1) ord r ,d the
Advisory Commission on Intergovernmental Rela tioi-s to ina ke a
study of all pertinent nmtters relating to the application of State
"doing business" taxes on out-of-state co i nreial ak>, muI 1 l
savings banks and savings and loan .ssocatios
The Commission transmitted its recommendations to the C
in May 1975. The complete report was published by the Committee
as a committee print in September 1975.
On lay 11 and 12, 1976 the Subcommittee on Fii.,lcn i, Institll-
tions held an oversight hearing on the sitbject to assess th(, Advisory
( oinnission's recommendations.
.estifyin at the hearing were the executive diree( o h(
k ieclr o fle C oml-
11 1-14n, the vice chairman, of the Federal Reserve Board, the New
York Stale commissioner of taxation and finance, a1d representatives
oni b()aliking and savings and loan associations.
(85)





86


The Committee has continued its oversight of this subject since
Public Law 93-100 was enacted, and in the 94th Congress numerous
bills to implement the ACIR recommendations and a proposal sub-
mitted by the American Bankers Association were considered.
The options are to approve one of the apportioning formulas,
continue the moratorium, or permit the moratorium to expire perma-
nently.

CONVERSIONS OF SAVINGS AND LOAN ASSOCIATIONS AND
MUTUAL SAVINGS BANKS
The intent of section 105 of Public Law 93-395 was to provide a
means by which the potential problems inherent in the conversion of
savings and loans from mutual to stock form could be addressed in a
controlled atmosphere in order to learn as much as possible about the
techniques available to deal with such problems.
The committee has kept a continual oversight on the test con-
versions being supervised by the Federal Home Loan Bank Board.
On May 13, 1976 the Subcommittee on Financial Institutions held a
hearing on the subject. Among the witnesses testifying was the Acting
Chairman of the Board.
The law limited to 51 the number of experimental conversions of
savings and loan associations from the mutual to the stock form of
organization. Only ten have been approved so far and the Federal
Home Loan Bank Board is unlikely to exceed the 51 limit for some
time. There is a disagreement on the Committee as to whether con-
versions are in the public interest. The General Accounting Office is
preparing a report analyzing the Board's experience to date.


BANK BRANCHING
The Subcommittee on Financial Institutions has begun a study of
the McFadden Act which limits the branching powers of national
banks to those afforded State banks under State law.
The subcommittee is reconsidering the basic policy behind the
McFadden Act and whether changes are appropriate. The study will
cover traditional "brick and mortar" branches as well as the newer
electronic terminals.
In October 1976 a committee print titled "Compendium of Issues
Relating to Branching by Financial Institutions" was published. The
compendium included the "Outline for Study" which provides the
framework for the future deliberations of the subcommittee on this
issue.
The subcommittee began hearings in December 1976 with a view
toward formulating a fresh congressional expression of Federal branch-
ing policy. The subcommittee heard from bankers, legislators, regula-
tory authorities, and academics in Chicago, Dallas, and San Francisco,
on December 6, 7, and 8, respectively.
Then on December 13 in Washington, D.C., officials of the Elec-
tronic Funds Transfer Commission testified with regard to EFTS
developments to the McFadden Act.










ON ersight Activities Originating in the Subcommittee on
Securities

SECURITIES ACTIVITIES OF COMIMERCIAL BANKS
In 1976, the Securities Subcommittee began a study of the securities
and investment management activities of commercial banks. The first
hearings held on the subject, December 9 and 10, 1975, focussed on
what the role of commercial banks in the securities business actually is,
and what it should be.
The Subcommittee intends to review the appropriateness of the
existing statutory and regulatory framework and its impact on in-
vestors, banks, brokerage firms and investment companies.
Another important question being considered is whether competition
between the banking industry and the brokerage and investment
company industries promotes efficiency and innovation ii the delivery
of financial services to investors,
To elicit factual and statistical information on these complex legal,
economic -and public policy issues, the Subcommittee i's conductiliug
its own survey of 3,600 State and Federal banks,
Itearings continued on August 4, 5 and 6; and September 1, 19 76
to concItate' on the brokerage and brokerae-r ltel -erve-_ com-
ierctial banks and regi-ztered broker-dealers are providing to inves-tor-.
The Subceinmit tee is expecting" to complete an interiil reQJo l On
( ) I1f1 0'C'HI bank activ-ity in the securlties> bu>ines in 19,,. IIl -ve
l~a elgaive recolninemll lolls int'o(, n
(87)









Oversight Activities Originating in the Subcommittee on
International Finance

UNITED STATES-SOVIET GRAIN AGREEMENT, S. 2492
AND OTHER MATTERS
The United StateR-Soviet grain agreement and its implications for
U.S. export policy is under study by the Subcommittee on Inter-
national Finance.
Hearings were held on December 9 and 10. 1975, relative to a bill
pending before the subcommittee to subject all long-term grain agree-
ments to congressional review. The purpose of the bill (S. 2492) was
to provide an opportunity to explore the questions raised by bilateral
grain agreements before they are entered into.
Commenting on the grain agreement were representatives from the
Departments of State and Agriculture, the National Farmers Union,
the American Farm Bureau Federation, the Overseas Development
Council and other noted economists.


(88)










Oversight Activities Originating in the Subcommittee on
Production and Stabilization

COST ACCOU NTI N G STAN DARD 409
Publc Law 91-379 which a-,eidcl the Defen.e Iii uliitioll At
of 1950 provided for the developneiit of (ost w coiltin tmr
to be u-ed in conlectioll with neQt2otiatioliial ({efj'-- ( o tV.
Subsequently Cost, 1ccounti-l Stin(tzrd No. 4()0, relt.;h to(t
depreciation of tangible s~ets capital vas pwl liieo in the Ilei 2d
Iie>tc' of January 29, 1975 bv the B( -o> Accouxtit,>.. )amir' B3o:i.
Under the pr,,vi>ions of 50 (1-( ,,, A2p!,Si0x 1 0S(1 d, the -t ii:
ard became effective on Man o 25, 1975.
in keeping with its oversight re-ponzibilities, the ouiiiiiiittee ull
PI'o(luction and Stabilization held a pu'01K1c 11 .arlg onv April 14, 107,)
to determine whether the stam ianl inmpoW-eJ :ucli an h1tleawsollalie
burden on industry that it xwis incofiK>teit Nvith i,,tioflal Q(0fliI
p( )icy and sound procurement obje elive-.
Representatives of the Cost Accounting StandaIs Boirnl anl (f
inl(u.try were invited to appear a- a panel to debate tw (l'et-i,,-
and discuss the isues that appeared to divide them.
(S9)









Oversight Activities Originating in the Subcommittee of
Consumer Affairs
FAIR CREDIT BILLING ACT TWO-TIER PRICING AND
PROCEDURES FOR FEDERAL RESERVE BOARD REG-
ULATION WRITING
Section 167 of the Fair Credit Billing Act (Public Law 93-495)
provides that a discount of up to 5 percent by a merchant to induce
customers to pay in cash rather than by credit card does not con-
stitute a finance charge under the Truth-in-Lending Act.
It also prohibits card issuers from contractually preventing mer-
chants from offering these discounts for cash.
This permits participating merchants the flexibility to adopt two-
tier pricing systems whereby cash customers may be charged lower
prices than credit customers.
The Federal Reserve Board requested the Congress to clarify
its legislative intent regarding section 167, and on October 9, 1975,
the Consumer Affairs Subcommittee held an open hearing to consider
if further legislation is needed and to establish procedures for regula-
tion writing by the Federal Reserve Board.
The Subcommittee considered whether the price differentials
should be exempted from State laws and whether the price differential
may be calculated as a surcharge as well as a discount.
(90)