---
kind: "section"
citation: "12 U.S.C. § 5612"
title: "12"
title_heading: "Banks and Banking"
number: "5612"
heading: "Emergency financial stabilization"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/12/5612"
units:
  - "Chapter 53 — Wall Street Reform and Consumer Protection"
  - "Subchapter VI — Federal Reserve System Provisions"
---

# §5612. Emergency financial stabilization

- (a) **In general—** Upon the written determination of the [Corporation](/usc/12/5301.md?p=7) and the [Board of Governors](/usc/12/5301.md?p=3) under [section 5611 of this title](/usc/12/5611.md), the [Corporation](/usc/12/5301.md?p=7) shall create a widely available program to guarantee obligations of solvent [insured depository institutions](/usc/12/5301.md?p=18-A) or solvent [depository institution](/usc/12/5301.md?p=18-A) holding [companies](/usc/12/5381.md?p=a-5) ([including](/usc/12/5301.md?p=18-A) any [affiliates](/usc/12/5301.md?p=1) thereof) during times of severe economic distress, except that a guarantee of obligations under this section may not include the provision of equity in any form.
- (b) **Rulemaking and terms and conditions—**
  - (1) **Policies and procedures—** As soon as is practicable after July 21, 2010, the [Corporation](/usc/12/5301.md?p=7) shall establish, by regulation, and in consultation with the [Secretary](/usc/12/5301.md?p=14), policies and procedures governing the issuance of guarantees authorized by this section. Such policies and procedures may include a requirement of collateral as a condition of any such guarantee.
  - (2) **Terms and conditions—** The terms and conditions of any guarantee program shall be established by the [Corporation](/usc/12/5301.md?p=7), with the concurrence of the [Secretary](/usc/12/5301.md?p=14).
- (c) **Determination of guaranteed amount—**
  - (1) **In general—** In connection with any program established pursuant to [subsection (a)](#a) and subject to paragraph (2) of this subsection, the [Secretary](/usc/12/5301.md?p=14) (in consultation with the President) shall determine the maximum amount of debt outstanding that the [Corporation](/usc/12/5301.md?p=7) may guarantee under this section, and the President may transmit to Congress a written report on the plan of the [Corporation](/usc/12/5301.md?p=7) to exercise the authority under this section to issue guarantees up to that maximum amount and a request for approval of such plan. The [Corporation](/usc/12/5301.md?p=7) shall exercise the authority under this section to issue guarantees up to that specified maximum amount upon passage of the joint resolution of approval, as provided in [subsection (d)](#d). Absent such approval, the [Corporation](/usc/12/5301.md?p=7) shall issue no such guarantees.
  - (2) **Additional debt guarantee authority—** If the [Secretary](/usc/12/5301.md?p=14) (in consultation with the President) determines, after a submission to Congress under [paragraph (1)](#c-1), that the maximum guarantee amount should be raised, and the [Council](/usc/12/5301.md?p=8) concurs with that determination, the President may transmit to Congress a written report on the plan of the [Corporation](/usc/12/5301.md?p=7) to exercise the authority under this section to issue guarantees up to the increased maximum debt guarantee amount. The [Corporation](/usc/12/5301.md?p=7) shall exercise the authority under this section to issue guarantees up to that specified maximum amount upon passage of the joint resolution of approval, as provided in [subsection (d)](#d). Absent such approval, the [Corporation](/usc/12/5301.md?p=7) shall issue no such guarantees.
- (d) **Resolution of approval—**
  - (1) **Additional debt guarantee authority—** A request by the President under this section shall be considered granted by Congress upon adoption of a joint resolution approving such request. Such joint resolution shall be considered in the Senate under expedited procedures.
  - (2) **Fast track consideration in Senate—**
    - (A) **Reconvening—** Upon receipt of a request under [subsection (c)](#c), if the Senate has adjourned or recessed for more than 2 days, the majority leader of the Senate, after consultation with the minority leader of the Senate, shall notify the Members of the Senate that, pursuant to this section, the Senate shall convene not later than the second calendar day after receipt of such message.
    - (B) **Placement on calendar—** Upon introduction in the Senate, the joint resolution shall be placed immediately on the calendar.
    - (C) **Floor consideration—**
      - (i) **In general—** Notwithstanding Rule XXII of the Standing Rules of the Senate, it is in order at any time during the period beginning on the 4th day after the date on which Congress receives a request under [subsection (c)](#c), and ending on the 7th day after that date (even though a previous motion to the same effect has been disagreed to) to move to proceed to the consideration of the joint resolution, and all points of order against the joint resolution (and against consideration of the joint resolution) are waived. The motion to proceed is not debatable. The motion is not subject to a motion to postpone. A motion to reconsider the vote by which the motion is agreed to or disagreed to shall not be in order. If a motion to proceed to the consideration of the resolution is agreed to, the joint resolution shall remain the unfinished business until disposed of.
      - (ii) **Debate—** Debate on the joint resolution, and on all debatable motions and appeals in connection therewith, shall be limited to not more than 10 hours, which shall be divided equally between the majority and minority leaders or their designees. A motion further to limit debate is in order and not debatable. An amendment to, or a motion to postpone, or a motion to proceed to the consideration of other business, or a motion to recommit the joint resolution is not in order.
      - (iii) **Vote on passage—** The vote on passage shall occur immediately following the conclusion of the debate on the joint resolution, and a single quorum call at the conclusion of the debate if requested in accordance with the rules of the Senate.
      - (iv) **Rulings of the Chair on procedure—** Appeals from the decisions of the Chair relating to the application of the rules of the Senate, as the case may be, to the procedure relating to a joint resolution shall be decided without debate.
  - (3) **Rules—**
    - (A) **Coordination with action by House of Representatives—** If, before the passage by the Senate of a joint resolution of the Senate, the Senate receives a joint resolution, from the House of Representatives, then the following procedures shall apply:
      - (i) The joint resolution of the House of Representatives shall not be referred to a committee.
      - (ii) With respect to a joint resolution of the Senate—
        - (I) the procedure in the Senate shall be the same as if no joint resolution had been received from the other House; but
        - (II) the vote on passage shall be on the joint resolution of the House of Representatives.
    - (B) **Treatment of joint resolution of House of Representatives—** If the Senate fails to introduce or consider a joint resolution under this section, the joint resolution of the House of Representatives shall be entitled to expedited floor procedures under this subsection.
    - (C) **Treatment of companion measures—** If, following passage of the joint resolution in the Senate, the Senate then receives the companion measure from the House of Representatives, the companion measure shall not be debatable.
    - (D) **Rules of the Senate—** This subsection is enacted by Congress—
      - (i) as an exercise of the rulemaking power of the Senate, and as such it is deemed a part of the rules of the Senate, but applicable only with respect to the procedure to be followed in the Senate in the case of a joint resolution, and it supersedes other rules, only to the extent that it is inconsistent with such rules; and
      - (ii) with full recognition of the constitutional right of the Senate to change the rules (so far as relating to the procedure of the Senate) at any time, in the same manner, and to the same extent as in the case of any other rule of the Senate.
  - (4) **Definition—** As used in this subsection, the term “joint resolution” means only a joint resolution—
    - (A) that is introduced not later than 3 calendar days after the date on which the request referred to in [subsection (c)](#c) is received by Congress;
    - (B) that does not have a preamble;
    - (C) the title of which is as follows: “Joint resolution relating to the approval of a plan to guarantee obligations under section 1105 of the Dodd-Frank Wall Street Reform and [Consumer](/usc/12/5481.md?p=4) Protection Act”; and
    - (D) the matter after the resolving clause of which is as follows: “That Congress approves the obligation of any amount described in section 1105(c) of the Dodd-Frank Wall Street Reform and [Consumer](/usc/12/5481.md?p=4) Protection Act.”.
- (e) **Funding—**
  - (1) **Fees and other charges—** The [Corporation](/usc/12/5301.md?p=7) shall charge fees and other assessments to all participants in the program established pursuant to this section, in such amounts as are necessary to offset projected losses and administrative expenses, [including](/usc/12/5301.md?p=18-A) amounts borrowed pursuant to [paragraph (3)](#e-3), and such amounts shall be available to the [Corporation](/usc/12/5301.md?p=7).
  - (2) **Excess funds—** If, at the conclusion of the program established under this section, there are any excess [funds](/usc/12/5381.md?p=a-12) collected from the fees associated with such program, the [funds](/usc/12/5381.md?p=a-12) shall be deposited in the General [Fund](/usc/12/5381.md?p=a-12) of the Treasury.
  - (3) **Authority of Corporation—** The [Corporation](/usc/12/5301.md?p=7)—
    - (A) may borrow [funds](/usc/12/5381.md?p=a-12) from the [Secretary](/usc/12/5301.md?p=14) of the Treasury and issue obligations of the [Corporation](/usc/12/5301.md?p=7) to the [Secretary](/usc/12/5301.md?p=14) for amounts borrowed, and the amounts borrowed shall be available to the [Corporation](/usc/12/5301.md?p=7) for purposes of carrying out a program established pursuant to this section, [including](/usc/12/5301.md?p=18-A) the payment of reasonable costs of administering the program, and the obligations issued shall be repaid in full with interest through fees and charges paid by participants in accordance with paragraphs [(1)](#e-1) and [(4)](#e-4), as applicable; and
    - (B) may not borrow [funds](/usc/12/5381.md?p=a-12) from the [Deposit](/usc/12/5301.md?p=18-A) Insurance [Fund](/usc/12/5381.md?p=a-12) established pursuant to [section 1821(a)(4) of this title](/usc/12/1821.md?p=a-4).
  - (4) **Backup special assessments—** To the extent that the [funds](/usc/12/5381.md?p=a-12) collected pursuant to [paragraph (1)](#e-1) are insufficient to cover any losses or expenses, [including](/usc/12/5301.md?p=18-A) amounts borrowed pursuant to [paragraph (3)](#e-3), arising from a program established pursuant to this section, the [Corporation](/usc/12/5301.md?p=7) shall impose a special assessment solely on participants in the program, in amounts necessary to address such insufficiency, and which shall be available to the [Corporation](/usc/12/5301.md?p=7) to cover such losses or expenses.
  - (5) **Authority of the Secretary—** The [Secretary](/usc/12/5301.md?p=14) may purchase any obligations issued under [paragraph (3)(A)](#e-3-A). For such purpose, the [Secretary](/usc/12/5301.md?p=14) may use the proceeds of the sale of any securities issued under [chapter 31](/usc/31/chstIII/ch31.md) of title 31, and the purposes for which securities may be issued under that [chapter 31](/usc/12/chch31.md) are extended to include such purchases, and the amount of any securities issued under that [chapter 31](/usc/12/chch31.md) for such purpose shall be treated in the same manner as securities issued under [section 208(n)(5)(E)](/usc/12/208.md).[^1]
- (f) **Rule of construction—** For purposes of this section, a guarantee of [deposits](/usc/12/5301.md?p=18-A) held by [insured depository institutions](/usc/12/5301.md?p=18-A) in noninterest-bearing transaction accounts may be treated as a debt guarantee program.
- (g) **Definitions—** For purposes of this section, the following definitions shall apply:
  - (1) **Company—** The term “[company](/usc/12/5381.md?p=a-5)” means any entity other than a natural [person](/usc/12/5481.md?p=19) that is incorporated or organized under Federal law or the laws of any [State](/usc/12/5301.md?p=16).
  - (2) **Depository institution holding company—** The term “[depository institution](/usc/12/5301.md?p=18-A) holding [company](/usc/12/5381.md?p=a-5)” has the same meaning as in [section 1813 of this title](/usc/12/1813.md).
  - (3) **Liquidity event—** The term “liquidity event” means—
    - (A) an exceptional and broad reduction in the general ability of financial market participants—
      - (i) to sell financial assets without an unusual and significant discount; or
      - (ii) to borrow using financial assets as collateral without an unusual and significant increase in margin; or
    - (B) an unusual and significant reduction in the ability of financial market participants to obtain unsecured [credit](/usc/12/5481.md?p=7).
  - (4) **Solvent—** The term “solvent” means that the value of the assets of an entity exceed its obligations to creditors.
- (h) **Approval of guarantee program during the COVID–19 crisis—**
  - (1) **In general—** For purposes of the congressional joint resolution of approval provided for in subsections [(c)(1)](#c-1) and (2) and [(d)](#d), notwithstanding any other provision of this section, the Federal [Deposit](/usc/12/5301.md?p=18-A) Insurance [Corporation](/usc/12/5301.md?p=7) is approved upon enactment of this Act to establish a program provided for in [subsection (a)](#a), provided that any such program and any such guarantee shall terminate not later than December 31, 2020.
  - (2) **Maximum amount—** Any debt guarantee program authorized by this subsection shall include a maximum amount of outstanding debt that is guaranteed.

## Footnotes

[^1]: See References in Text note below.

## Source credit

(Pub. L. 111–203, title XI, § 1105, July 21, 2010, 124 Stat. 2121; Pub. L. 116–136, div. A, title IV, § 4008(a), Mar. 27, 2020, 134 Stat. 477.)

## Notes

### Editorial Notes

### References in Text

Section 1105 of the Dodd-Frank Wall Street Reform and Consumer Protection Act, referred to in subsec. (d)(4)(C), (D), is section 1105 of Pub. L. 111–203, which is classified to this section.

Section 208(n)(5)(E), referred to in subsec. (e)(5), probably means section 210(n)(5)(E) of Pub. L. 111–203, which is classified to section 5390(n)(5)(E) of this title, because section 208 does not contain a subsec. (n) and section 210(n)(5)(E) relates to treatment of certain purchases and sales of obligations by the Secretary as public debt.

Enactment of this Act, referred to in subsec. (h)(1), probably means the date of enactment of subtitle A of title IV of div. A of Pub. L. 116–136, known as the Coronavirus Economic Stabilization Act of 2020, which was approved Mar. 27, 2020. For complete classification of this Act to the Code, see section 4001 of div. A of title IV of Pub. L. 116–136, set out as a Short Title note under section 9001 of this title, and Tables.

### Amendments

2020—Subsec. (f). Pub. L. 116–136, § 4008(a)(1), inserted “in noninterest-bearing transaction accounts” after “institutions” and substituted “may” for “shall not”.

Subsec. (h). Pub. L. 116–136, § 4008(a)(2), added subsec. (h).