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Congress·Passed House·3 months ago

Bill requires 60- and 90-day reports when emergency powers are used in bank failures

Also known as: Systemic Risk Authority Transparency Act

Legislative Progress

✓ Filed
✓ Review
✓ House
Senate
President

Impacts

Mixed Impacts(1)
Federal Employee
Neutral
Positive Impacts(2)
Small Business Owner
Helps
Gig Worker
Helps

Key Points

  • When the government uses emergency powers to handle a bank failure that could hurt the wider economy, a nonpartisan watchdog must explain within 60 days and again at 6 months why it happened, what steps were taken, and the likely effects on banks and big depositors.
  • The bank’s main regulator must release past exam reports and warning letters from the last 3 years, and spell out mismanagement by the bank’s leaders and any failures by regulators that added to the collapse.
  • Reports must cover pay practices, board decisions, and the roles of auditors, credit raters, and lenders like the home loan bank system or the Federal Reserve, so the public can see the full picture.
  • Most materials must be published, with personal customer details removed; regulators can delay up to 60 days in rare cases to protect stability, but must brief Congress and explain why.
  • This does not change deposit insurance limits or create new bailouts; it adds sunlight and timelines that could discourage risky behavior and help families, workers, and small businesses understand what went wrong.
EconomyConsumer ProtectionSmall Business

Milestones

5 milestones15 actions
Dec 2, 2025Senate

Received in the Senate and Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.

Dec 1, 2025House

Motion to reconsider laid on the table Agreed to without objection.

Dec 1, 2025House

On motion to suspend the rules and pass the bill, as amended Agreed to by voice vote. (text: CR H4947)

Dec 1, 2025

Passed/agreed to in House: On motion to suspend the rules and pass the bill, as amended Agreed to by voice vote. (text: CR H4947)

Dec 1, 2025House

DEBATE - The House proceeded with forty minutes of debate on H.R. 3716.

What Happens Next

Projected impacts based on AI analysis

First report within 60 days after the determination; a follow-up 180 days later

After a systemic risk determination, GAO must publish two reviews to Congress

If the government uses the special “systemic risk” tool during a bank failure, the public can expect an official explanation soon after—why the decision was made and what it may do to bank and depositor behavior.

First report within 90 days after the determination; a follow-up 210 days later (with a possible 60-day extension)

After a systemic risk determination, the bank’s main federal regulator must send and publish supervision records

Congress and the public would see prior exam reports and major warnings (with personal customer info removed), plus what the regulator thinks it should change to prevent similar failures.

During preparation of the regulator’s report(s), if it decides some materials should not be published

Regulators consult congressional leaders before withholding documents from the public release

If the regulator wants to keep some materials out of public view, it must explain why and still provide them to the House and Senate banking committees, increasing oversight even when full publication is limited.

Related News

2 articles
ABA Banking Journal·9 months ago

House panel advances ABA-backed bills on trigger leads, other topics

In its June 10 markup, the House Financial Services Committee advanced several measures, including H.R. 3716 to require GAO and the relevant bank regulator to publicly report on any use of the FDIC’s systemic risk authority in a bank failure.

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CNBC·over 2 years ago

House Democrats release bank reform bills

Roundup of 2023 proposals includes H.R. 4116, the earlier Systemic Risk Authority Transparency Act, to mandate GAO and regulator reports after any use of the systemic risk exception—context for the 2025 H.R. 3716 update.

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Source Information

Document Type

Congressional Bill

Official Title

Systemic Risk Authority Transparency Act

Bill NumberHR 3716
Congress119th Congress
ChamberHouse of Representatives
Latest ActionMotion to reconsider laid on the table Agreed to without objection.

Sponsor

Analysis generated by AI. While we strive for accuracy, this should not be considered legal or professional advice. Always verify information with official government sources.