Stop Any TARP Extension Act of 2009 - Amends the Emergency Economic Stabilization Act of 2008 (EESA) to: (1) terminate on December 31, 2009 (as under current law), the authority of the Secretary of the Treasury to implement the Troubled Asset Relief Program (TARP); and (2) repeal the Secretary's authority to extend the TARP program through October 3, 2010, upon submission of a written certification to Congress.
Revises the requirement that revenues of and proceeds from the sale of troubled assets purchased under TARP, or from the sale, exercise, or surrender of warrants or senior debt instruments acquired under TARP, be paid into the general fund of the Treasury for reduction of the public debt.
Establishes the Public Debt Reduction Payment Account. Directs the Secretary to deposit into the Account the following: (1) all remaining EESA funds; (2) amounts received for repayment of financial assistance, as well as payment of interest by a recipient of such assistance under TARP or any related program, including the Capital Purchase Program; and (3) revenues and proceeds from the sale of troubled assets that were purchased under EESA, or from the sale, exercise, or surrender of warrants or senior debt instruments, as under current law.
Instructs the Secretary to: (1) use amounts in the Account to pay at maturity (or to redeem or buy before maturity) any obligation of the government held by the public and included in the public debt; and (2) deposit into the Account specified funds received by the Secretary pursuant to EESA.
Lowers the statutory limit on the public debt by the aggregate amounts deposited into the Public Debt Reduction Payment Account.
Prohibits the receipts and disbursements of the Account from being counted as new budget authority, outlays, receipts, or deficit or surplus for presidential or congressional budget purposes, and requires their exclusion from any official budget statements.
[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4170 Introduced in House (IH)]
111th CONGRESS
1st Session
H. R. 4170
To amend the Emergency Economic Stabilization Act of 2008 to strike the
authority of the Secretary of the Treasury to extend the Troubled Asset
Relief Program after 2009, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
December 2, 2009
Mr. Hodes introduced the following bill; which was referred to the
Committee on Financial Services, and in addition to the Committees on
the Budget and Ways and Means, for a period to be subsequently
determined by the Speaker, in each case for consideration of such
provisions as fall within the jurisdiction of the committee concerned
_______________________________________________________________________
A BILL
To amend the Emergency Economic Stabilization Act of 2008 to strike the
authority of the Secretary of the Treasury to extend the Troubled Asset
Relief Program after 2009, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Stop Any TARP Extension Act of
2009''.
SEC. 2. FINDINGS.
The Congress finds as follows:
(1) On October 7, 2008, Congress established the Troubled
Assets Relief Program (TARP) as part of the Emergency Economic
Stabilization Act (Public Law 110-343; 122 Stat. 3765) and
allocated $700,000,000,000 for the purchase of toxic assets
from banks with the goal of restoring liquidity to the
financial sector and restarting the flow of credit in our
markets.
(2) The Secretary of the Treasury, without consultation
with the Congress, changed the purpose of Troubled Assets
Relief Program and began injecting capital into financial
institutions through a program called the Capital Purchase
Program (CPP) rather than purchasing toxic assets.
(3) Lending by financial institutions was not noticeably
increased with the implementation of the Capital Purchase
Program and the expenditure of $250,000,000,000 of the funds
under the Troubled Assets Relief Program, despite the goal of
the program.
(4) The recipients of amounts under the Capital Purchase
Program are now faced with additional restrictions related to
accepting those funds.
(5) A number of community banks and large financial
institutions have expressed their desire to return their
Capital Purchase Program funds to the Secretary of the Treasury
and the Secretary has begun the process of accepting receipt of
such funds.
(6) The Secretary of the Treasury should not unilaterally
determine how these returned funds are spent in the future and
the Congress should play a role in any determination of future
spending of funds returned through the Troubled Assets Relief
Program.
SEC. 3. REPEAL OF TARP EXTENSION AUTHORITY.
Section 120 of the Emergency Economic Stabilization Act of 2008 (12
U.S.C. 5230) is amended--
(1) by striking ``(a) Termination.--''; and
(2) by striking subsection (b).
SEC. 4. DEBT REDUCTION.
Subsection (d) of section 106 of the Emergency Economic
Stabilization Act of 2008 (12 U.S.C. 5216(d)) is amended to read as
follows:
``(d) Debt Reduction.--
``(1) In general.--The Secretary of the Treasury shall
deposit in Public Debt Reduction Payment Account--
``(A) all remaining funds available under this
title not later than 30 days after the date of
enactment of this section;
``(B) any amounts received by the Secretary for
repayment of financial assistance, for payment of any
interest on the receipt of such financial assistance by
an entity that has received financial assistance under
this title or any program enacted by the Secretary
under the authorities granted to the Secretary under
this title, including the Capital Purchase Program; and
``(C) revenues of, and proceeds from the sale of
troubled assets purchased under this title, or from the
sale, exercise, or surrender of warrants or senior debt
instruments acquired under section 113.
``(2) Public debt reduction payment account.--The term
`Public Debt Reduction Payment Account' means the account
established under section 3114 of title 31, United States
Code.''.
SEC. 5. ESTABLISHMENT OF PUBLIC DEBT REDUCTION PAYMENT ACCOUNT.
(a) In General.--Subchapter I of chapter 31 of title 31, United
States Code, is amended by adding at the end the following new section:
``Sec. 3114. Public Debt Reduction Payment Account
``(a) Account Established.--There is hereby established in the
Treasury of the United States an account to be known as the Public Debt
Reduction Payment Account (hereinafter in this section referred to as
the `Account').
``(b) Use of Account.--The Secretary of the Treasury shall use
amounts in the Account to pay at maturity, or to redeem or buy before
maturity, any obligation of the Government held by the public and
included in the public debt. Any obligation which is paid, redeemed, or
bought with amounts from the account shall be canceled and retired and
may not be reissued. Amounts deposited in the account are appropriated
and may only be expended to carry out this section.
``(c) Deposits.--There shall be deposited in the Account any
amounts which are received by the Secretary of the Treasury pursuant to
section 137 of the Emergency Economic Stabilization Act of 2008. The
funds deposited to this account shall remain available until expended.
``(d) Implementation.--The Secretary of the Treasury and the
Director of the Office of Management and Budget shall each take such
actions as may be necessary to promptly carry out this section in
accordance with sound debt management policies.
``(e) Coordination With Debt Management.--Reducing the debt
pursuant to this section shall not interfere with the debt management
policies or goals of the Secretary of the Treasury.''.
(b) Clerical Amendment.--The table of contents for chapter 31 of
title 31, United States Code, is amended by inserting after the item
relating to section 3113 the following new item:
``3114. Public Debt Reduction Payment Account.''.
SEC. 6. REDUCTION OF STATUTORY LIMIT ON THE PUBLIC DEBT.
Section 3101(b) of title 31, United States Code, is amended by
inserting ``minus the aggregate amounts deposited into the Public Debt
Reduction Payment Account pursuant to section 3114(c)'' before ``,
outstanding at one time''.
SEC. 7. OFF-BUDGET STATUS OF PUBLIC DEBT REDUCTION PAYMENT ACCOUNT.
Notwithstanding any other provision of law, the receipts and
disbursements of the Public Debt Reduction Payment Account established
by section 3114 of title 31, United States Code, shall not be counted
as new budget authority, outlays, receipts, or deficit or surplus for
purposes of--
(1) the budget of the United States Government as submitted
by the President;
(2) the congressional budget; or
(3) the Balanced Budget and Emergency Deficit Control Act
of 1985.
SEC. 8. REMOVING PUBLIC DEBT REDUCTION PAYMENT ACCOUNT FROM BUDGET
PRONOUNCEMENTS.
(a) In General.--Any official statement issued by the Office of
Management and Budget, the Congressional Budget Office, or any other
agency or instrumentality of the Federal Government of surplus or
deficit totals of the budget of the United States Government as
submitted by the President or of the surplus or deficit totals of the
congressional budget, and any description of, or reference to, such
totals in any official publication or material issued by either of such
Offices or any other such agency or instrumentality, shall exclude the
outlays and receipts of the Public Debt Reduction Payment Account
established by section 3114 of title 31, United States Code.
(b) Separate Public Debt Reduction Payment Account Budget
Documents.--The excluded outlays and receipts of the Public Debt
Reduction Payment Account established by section 3114 of title 31,
United States Code, shall be submitted in separate budget documents.
<all>
Introduced in House
Introduced in House
Referred to House Financial Services
Referred to the Committee on Financial Services, and in addition to the Committees on the Budget, and Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to House Budget
Referred to House Ways and Means
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