text: SECTION 1. SHORT TITLE.
  
      This Act may be cited as the ``Improved Oversight by Financial 
  Inspectors General Act of 2009''.
  
  SEC. 2. AMENDMENT TO DEFINITION OF MATERIAL LOSS AND NONMATERIAL LOSSES 
                TO THE DEPOSIT INSURANCE FUND FOR PURPOSES OF INSPECTORS 
                GENERAL REVIEWS.
  
      (a) In General.--Section 38(k) of the Federal Deposit Insurance Act 
  (U.S.C. 1831o(k)) is amended--
              (1) in paragraph (2), by striking subparagraph (B) and 
          inserting the following new subparagraph:
                      ``(B) Material loss defined.--The term `material 
                  loss' means any estimated loss in excess of 
                  $200,000,000, occurring after March 31, 2009.'';
              (2) in that portion of paragraph (4)(A) that precedes 
          clause (i), by striking ``the report'' and inserting ``any 
          reports under this subsection on losses'';
              (3) by striking paragraph (6);
              (4) by redesignating paragraph (5) as paragraph (6); and
              (5) by inserting after paragraph (4) the following new 
          paragraph:
              ``(5) Losses that are not material.--
                      ``(A) Semiannual report.--For the 6-month period 
                  ending on September 30, 2009, and each 6-month period 
                  thereafter, the Inspector General of each Federal 
                  banking agency shall--
                              ``(i) identify losses estimated to be 
                          incurred by the Deposit Insurance Fund during 
                          that 6-month period with respect to insured 
                          depository institutions supervised by such 
                          Federal banking agency;
                              ``(ii) for each loss to the Deposit 
                          Insurance Fund (as a loss to such Fund is 
                          defined in paragraph (2)(A)) that is not a 
                          material loss, determine the grounds identified 
                          by the Federal banking agency or State bank 
                          supervisor under section 11(c)(5) for 
                          appointing the Corporation as receiver and 
                          whether any unusual circumstances exist that 
                          might warrant an in-depth review of the loss; 
                          and
                              ``(iii) prepare a written report to the 
                          appropriate Federal banking agency and for the 
                          Congress on the results of the Inspector 
                          General's determinations, including--
                                      ``(I) the identity of any loss that 
                                  warrants an in-depth review and the 
                                  reasons why such review is warranted, 
                                  or if the Inspector General determines 
                                  that no review is warranted, an 
                                  explanation of such determination; and
                                      ``(II) for each loss identified in 
                                  subclause (I) that warrants an in-depth 
                                  review, a date by which such review, 
                                  and a report on the review prepared in 
                                  a manner consistent with reports under 
                                  paragraph (1)(A), will be completed.
                      ``(B) Deadline for semiannual report.--The 
                  Inspector General of each Federal banking agency 
                  shall--
                              ``(i) comply with the semiannual report 
                          requirements of paragraph (A) expeditiously, 
                          and in any event within 90 days after the end 
                          of the 6-month period covered by the report; 
                          and
                              ``(ii) provide a copy of the report to any 
                          Member of Congress upon request.''.
      (b) Technical and Conforming Amendment.--The heading for subsection 
  (k) of section 38 of the Federal Deposit Insurance Act (U.S.C. 
  1831o(k)) is amended--
              (1) by striking ``Review'' and inserting ``Reviews''; and
              (2) by striking ``Material Loss'' and inserting ``Losses''.
  
  SEC. 3. AMENDMENT TO DEFINITION OF MATERIAL LOSS AND NONMATERIAL LOSSES 
                TO THE NATIONAL CREDIT UNION SHARE INSURANCE FUND FOR 
                PURPOSES OF INSPECTORS GENERAL REVIEWS.
  
      (a) In General.--Subsection (j) of section 216 of the Federal 
  Credit Union Act (12 U.S.C. 1790d(j)) is amended to read as follows:
      ``(j) Reviews Required When Share Insurance Fund Experiences 
  Losses.--
              ``(1) In general.--If the Fund incurs a material loss with 
          respect to an insured credit union, the inspector general of 
          the Board shall--
                      ``(A) make a written report to the Board reviewing 
                  the Administration's supervision of the credit union 
                  (including the Administration's implementation of this 
                  section), which shall--
                              ``(i) ascertain why the credit union's 
                          problems resulted in a material loss to the 
                          Fund; and
                              ``(ii) make recommendations for preventing 
                          any such loss in the future; and
                      ``(B) provide a copy of the report to--
                              ``(i) the Comptroller General of the United 
                          States; (ii) the Corporation (if the agency is 
                          not the Corporation);
                              ``(ii) in the case of a State credit union, 
                          the appropriate State supervisor; and
                              ``(iii) upon request by any Member of 
                          Congress, to that Member.
              ``(2) Material loss defined.--For purposes of determining 
          whether the Fund has incurred a material loss with respect to 
          an insured credit union, a loss is material if it exceeds the 
          sum of--
                      ``(A) $25,000,000; and
                      ``(B) an amount equal to 10 percent of the total 
                  assets of the credit union at the time at which the 
                  Board initiated assistance under section 1788 of this 
                  title or was appointed liquidating agent.
              ``(3) Public disclosure required.--
                      ``(A) In general.--The Board shall disclose a 
                  report under this subsection upon request under section 
                  552 of title 5 without excising--
                              ``(i) any portion under section 552(b)(5) 
                          of that title; or
                              ``(ii) any information about the insured 
                          credit union (other than trade secrets) or 
                          paragraph (8) of section 552(b) of that title.
                      ``(B) Exception.--Subparagraph (A) shall not be 
                  construed as requiring the agency to disclose the name 
                  of any customer of the insured credit union (other than 
                  an institution-affiliated party), or information from 
                  which such a person's identity could reasonably be 
                  ascertained.
              ``(4) Losses that are not material.--
                      ``(A) Semiannual report.--For the 6-month period 
                  ending on September 30, 2009, and each 6-month period 
                  thereafter, the Inspector General of the Board shall--
                              ``(i) identify losses estimated to be 
                          incurred by the Fund during that 6-month period 
                          with respect to insured credit unions;
                              ``(ii) for each loss to the Fund that is 
                          not a material loss, determine the grounds 
                          identified by the Board or the State official 
                          having jurisdiction over a State credit union 
                          for appointing the Board the liquidating agent 
                          for any Federal or State credit union and 
                          whether any unusual circumstances exist that 
                          might warrant an in-depth review of the loss; 
                          and
                              ``(iii) prepare a written report to the 
                          Board and for the Congress on the results of 
                          the Inspector General's determinations, 
                          including--
                                      ``(I) the identity of any loss that 
                                  warrants an in-depth review and the 
                                  reasons why such review is warranted, 
                                  or if the Inspector General determines 
                                  that no review is warranted, an 
                                  explanation of such determination; and
                                      ``(II) for each loss identified in 
                                  subclause (I) that warrants an in-depth 
                                  review, a date by which such review, 
                                  and a report on the review prepared in 
                                  a manner consistent with reports under 
                                  paragraph (1)(A), will be completed.
                      ``(B) Deadline for semiannual report.--The 
                  Inspector General of the Board shall--
                              ``(i) comply with the semiannual report 
                          requirements of paragraph (A) expeditiously, 
                          and in any event within 90 days after the end 
                          of the 6-month period covered by the report; 
                          and
                              ``(ii) provide a copy of the report to any 
                          Member of Congress upon request.
              ``(5) GAO review.--The Comptroller General of the United 
          States shall, under such conditions as the Comptroller General 
          determines to be appropriate, review reports made under 
          paragraph (1), including the extent to which the Inspector 
          General of the Board complied with section 8L of the Inspector 
          General Act of 1978 with respect to each such report, and 
          recommend improvements in the supervision of insured credit 
          unions (including the implementation of this section).''.
  
              Passed the House of Representatives July 29, 2009.
  
              Attest:
  
                                              LORRAINE C. MILLER,
  
                                                                   Clerk.
target: Improved Oversight by Financial Inspectors General Act of 2009 - (Sec. 2) Amends the Federal Deposit Insurance Act (FDIA) to revise the meaning of material loss to repeal its definition as an amount exceeding the greater of $25 million or 2% of the institution's total assets at the time the Federal Deposit Insurance Corporation (FDIC) initiated assistance or was appointed receiver. Counts as a material loss any estimated loss in excess of $200 million occurring after March 31, 2009.
  
  Requires the Inspector General (IG) of each federal banking agency to report semiannually to the appropriate federal agency and to Congress regarding: (1) losses estimated to be incurred by the Deposit Insurance Fund (DIF) with respect to insured depository institutions the agency supervises; (2) each loss that is not a material loss, the grounds for appointing the FDIC as receiver, and whether any unusual circumstances exist that might warrant an in-depth review of the loss; and (3) the results of the IG's determinations.
  
  (Sec. 3) Amends the Federal Credit Union Act (FCUA) to require the IG of the National Credit Union Administration (NCUA) to report to the NCUA Board about any material loss to the National Credit Union Share Insurance Fund (NCUSIF) with respect to an insured credit union regarding: (1) why the credit union's problems resulted in a material loss to the NCUSIF; and (2) how such loss may be prevented in the future.
  
  Revises the definition of material loss to the NCUSIF, currently an amount exceeding the sum of $10 million and 10% of the credit union's total assets at the time the NCUA Board initiated assistance or was appointed liquidating agent. Increases the $10 million to $25 million.
  
  Requires the IG of the NCUA Board to report semiannually to the Board and Congress regarding: (1) losses estimated to be incurred by the NCUSIF with respect to insured credit unions; (2) each loss that is not a material loss, the grounds for appointing the NCUA Board as liquidating agent for any federal or state credit union, and whether any unusual circumstances exist that might warrant an in-depth review of the loss; and (3) the results of the IG's determinations.
  
  Instructs the Comptroller General to: (1) review reports regarding material losses to the NCUSIF, and (2) make recommendations for improvements in the supervision of insured credit unions.
feat_title: To amend the Federal Deposit Insurance Act and the Federal Credit Union Act to provide more effective reviews of losses in the Deposit Insurance Fund and the Share Insurance Fund by the Inspectors General of the several Federal banking agencies and the National Credit Union Administration Board, and for other purposes.