On March 6, 2013, Senators Hagan (D-NC), Toomey (R-PA), Warner (D-VA) and Johanns (R-NE) introduced a bill to amend Section 716 of the Dodd-Frank Act, known as the “Lincoln Amendment.” The bill, S. 474, would extend to U.S. branches and agencies of foreign banks the same exemptions and transition periods afforded to “insured depository institutions,” and would grant an exemption for a broad range of swaps dealing activities, but with limitations on swaps entered into in connection with structured arrangements. A companion bill, H.R. 992, was introduced in the House by Representatives Hultgren (R-IL), Hudson (R-NC), Himes (D-CT) and Maloney (D-NY). The legislation is substantially identical to a bill that died last year before reaching a vote before the full House (H.R. 1838), although the current bills lack certain provisions limiting the extraterritorial reach of Section 716 that existed in last year’s bill.
See also: SIFMA Applauds Introduction of Swaps Push-out Reform Legislation