To authorize the Secretary of the Treasury to direct the Federal Deposit Insurance Corporation and the National Credit Union Administration to establish emergency transaction account guarantee programs, and for other purposes.

This bill authorizes the Secretary of the Treasury to direct the Federal Deposit Insurance Corporation (FDIC) and the National Credit Union Administration (NCUA) to create emergency programs that fully insure deposits in non-interest-bearing transaction accounts at banks and credit unions during a financial stress event.

Sec. 1, Emergency TAG program authority for insured depository institutions: The FDIC may establish an emergency transaction account guarantee program only after the Treasury Secretary, with the President, determines a banking stress event exists that threatens economic conditions or banking stability. The program is limited in size by a maximum cost set by the Treasury Secretary for the Deposit Insurance Fund, which can be increased with similar approval and a report to Congress. The program must end within 6 months, extendable once by 3 months with similar approval and a report. The Treasury Secretary must testify to Congress within 30 days of program start. The Government Accountability Office (GAO) must review the program within 90 days after termination. Any losses to the Deposit Insurance Fund must be recovered through special assessments on insured banks or their holding companies. The FDIC may issue rules. Definitions include 'banking stress event' as an exceptional broad reduction in deposit stability, and 'non-interest-bearing transaction account' as an account that pays no or de minimis interest.

Sec. 1, Emergency TAG program authority for insured credit unions: The NCUA Board may establish a similar program for credit unions after the Treasury Secretary, with the President, determines a credit union stress event exists. The program is limited in size by a maximum cost set by the Treasury Secretary for the National Credit Union Share Insurance Fund, extendable with approval and a report. The program must end within 6 months, extendable once by 3 months. The Treasury Secretary must testify to Congress within 30 days. The GAO must review within 90 days after termination. Losses to the Share Insurance Fund must be recovered through special assessments on insured credit unions. The Board may issue rules. Definitions include 'credit union stress event' as an exceptional broad reduction in stability of shares and deposits, and 'non-interest-bearing transaction account' as an account that pays no or de minimis dividends.