H.R. 758, Promoting Access to Capital in Underbanked Communities Act of 2023

H.R. 758 would direct the Federal Deposit Insurance Corporation (FDIC), the Office of the Comptroller of the Currency (OCC), and the Federal Reserve to issue rules granting new financial institutions three years to meet existing capital requirements. Under current law, new financial institutions typically have about a year to meet those requirements. The bill also would allow new institutions to request permission to deviate from their approved business plan during that three-year period.

Additionally, H.R. 758 would require the federal banking agencies to report on the causes of the small number of new financial institutions created over the last 10 years and recommend ways to promote the creation of new financial institutions in underserved areas. Finally, the bill would reduce the bank leverage ratio for certain rural community banks and allow federal savings associations to invest in, sell, or otherwise deal in agricultural loans. 

The costs of the legislation, detailed in Table 1, fall within budget function 370 (commerce and housing credit).