A bill to amend the Financial Stability Act of 2010 to provide for tailoring and indexing enhanced regulations.

This bill amends the Financial Stability Act of 2010 and other laws to raise the asset thresholds that trigger enhanced financial regulations and to require periodic adjustments to those thresholds based on economic indicators.

Sec. 1, Initial threshold adjustments: The bill raises several key asset thresholds used to determine which financial companies face stricter regulations. For example, the threshold for certain bank holding company activities is raised from $10 billion to $15 billion. The threshold for enhanced prudential standards under the Economic Growth, Regulatory Relief, and Consumer Protection Act is raised from $250 billion to $370 billion. Similar increases are made in the Federal Reserve Act and the Financial Stability Act of 2010, including raising the $100 billion threshold to $150 billion and the $250 billion threshold to $370 billion in multiple sections.

Sec. 177, Periodic adjustments to thresholds: The bill adds a new section requiring the Board of Governors to adjust these thresholds every five years, starting one year after enactment. The adjustment is based on the ratio of the current value of either nominal U.S. GDP or the Consumer Price Index to its value before April 1, 2026. The Board must study and select which indicator to use for each threshold and report to Congress. Amounts are rounded up to the nearest $50 billion for thresholds $100 billion or more, and to the nearest $5 billion for smaller amounts. Adjusted amounts take effect on January 1 of the following year.

Sec. 178, Periodic adjustments to thresholds established by rule: The bill adds another new section requiring the Board of Governors, Comptroller of the Currency, and the FDIC to review every five years any regulations implementing section 165 of the Financial Stability Act that contain asset or quantitative thresholds not set by statute. They must adjust these thresholds using the same economic indicator ratio, seek uniform thresholds across agencies, and round amounts consistently. Each agency must report any modifications to Congress.