H.R. 4204: Shielding Community Banks from Systemic Risk Assessments Act

This bill directs the Federal Deposit Insurance Corporation (FDIC) to exempt small insured depository institutions and depository institution holding companies from special assessments related to the use of FDIC's systemic risk authority. (In the event of a bank failure, FDIC may provide monetary assistance for the purpose of winding up the insured depository institution. FDIC then recovers any resulting loss through a special assessment on insured depository institutions, depository institution holding companies, or both.)

Further, FDIC must graduate the amount of the special assessment so that, of the remaining institutions and companies that must pay the assessment, smaller institutions and companies pay a significantly smaller proportion than the largest.

Written by the Congressional Research Service, Library of Congress.