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Created January 14, 2020 16:00
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sec 1071
SEC. 1071. SMALL BUSINESS DATA COLLECTION.
(a) In General.--The Equal Credit Opportunity Act (15 U.S.C. 1691 et
seq.) is amended by inserting after section 704A the following:
``SEC. 704B. <<NOTE: 15 USC 1691o-2.>> SMALL BUSINESS LOAN DATA
COLLECTION.
``(a) Purpose.--The purpose of this section is to facilitate
enforcement of fair lending laws and enable communities, governmental
entities, and creditors to identify business and community development
needs and opportunities of women-owned, minority-owned, and small
businesses.
``(b) Information Gathering.--Subject to the requirements of this
section, in the case of any application to a financial institution for
credit for women-owned, minority-owned, or small business, the financial
institution shall--
``(1) inquire whether the business is a women-owned,
minority-owned, or small business, without regard to whether
such application is received in person, by mail, by telephone,
[[Page 124 STAT. 2057]]
by electronic mail or other form of electronic transmission, or
by any other means, and whether or not such application is in
response to a solicitation by the financial institution; and
``(2) <<NOTE: Records.>> maintain a record of the responses
to such inquiry, separate from the application and accompanying
information.
``(c) Right To Refuse.--Any applicant for credit may refuse to
provide any information requested pursuant to subsection (b) in
connection with any application for credit.
``(d) No Access by Underwriters.--
``(1) Limitation.--Where feasible, no loan underwriter or
other officer or employee of a financial institution, or any
affiliate of a financial institution, involved in making any
determination concerning an application for credit shall have
access to any information provided by the applicant pursuant to
a request under subsection (b) in connection with such
application.
``(2) Limited access.--If
a <<NOTE: Determination. Notice.>> financial institution
determines that a loan underwriter or other officer or employee
of a financial institution, or any affiliate of a financial
institution, involved in making any determination concerning an
application for credit should have access to any information
provided by the applicant pursuant to a request under subsection
(b), the financial institution shall provide notice to the
applicant of the access of the underwriter to such information,
along with notice that the financial institution may not
discriminate on the basis of such information.
``(e) Form and Manner of Information.--
``(1) In general.--Each financial <<NOTE: Records.>>
institution shall compile and maintain, in accordance with
regulations of the Bureau, a record of the information provided
by any loan applicant pursuant to a request under subsection
(b).
``(2) Itemization.--Information compiled and maintained
under paragraph (1) shall be itemized in order to clearly and
conspicuously disclose--
``(A) the number of the application and the date on
which the application was received;
``(B) the type and purpose of the loan or other
credit being applied for;
``(C) the amount of the credit or credit limit
applied for, and the amount of the credit transaction or
the credit limit approved for such applicant;
``(D) the type of action taken with respect to such
application, and the date of such action;
``(E) the census tract in which is located the
principal place of business of the women-owned,
minority-owned, or small business loan applicant;
``(F) the gross annual revenue of the business in
the last fiscal year of the women-owned, minority-owned,
or small business loan applicant preceding the date of
the application;
``(G) the race, sex, and ethnicity of the principal
owners of the business; and
``(H) any additional data that the Bureau determines
would aid in fulfilling the purposes of this section.
``(3) No personally identifiable information.--In compiling
and maintaining any record of information under this
[[Page 124 STAT. 2058]]
section, a financial institution may not include in such record
the name, specific address (other than the census tract required
under paragraph (1)(E)), telephone number, electronic mail
address, or any other personally identifiable information
concerning any individual who is, or is connected with, the
women-owned, minority-owned, or small business loan applicant.
``(4) Discretion to delete or modify publicly available
data.--The Bureau may, at its discretion, delete or modify data
collected under this section which is or will be available to
the public, if the Bureau determines that the deletion or
modification of the data would advance a privacy interest.
``(f) Availability of Information.--
``(1) Submission to bureau.--The data <<NOTE: Deadline.>>
required to be compiled and maintained under this section by any
financial institution shall be submitted annually to the Bureau.
``(2) Availability of information.--Information compiled and
maintained under this section shall be--
``(A) <<NOTE: Time period.>> retained for not less
than 3 years after the date of preparation;
``(B) made available to any member of the public,
upon request, in the form required under regulations
prescribed by the Bureau;
``(C) annually made available to the public
generally by the Bureau, in such form and in such manner
as is determined by the Bureau, by regulation.
``(3) Compilation of aggregate data.--The Bureau may, at its
discretion--
``(A) compile and aggregate data collected under
this section for its own use; and
``(B) make public such compilations of aggregate
data.
``(g) Bureau Action.--
``(1) In general.--The Bureau shall prescribe such rules and
issue such guidance as may be necessary to carry out, enforce,
and compile data pursuant to this section.
``(2) Exceptions.--The Bureau, by rule or order, may adopt
exceptions to any requirement of this section and may,
conditionally or unconditionally, exempt any financial
institution or class of financial institutions from the
requirements of this section, as the Bureau deems necessary or
appropriate to carry out the purposes of this section.
``(3) Guidance.--The Bureau shall issue guidance designed to
facilitate compliance with the requirements of this section,
including assisting financial institutions in working with
applicants to determine whether the applicants are women-owned,
minority-owned, or small businesses for purposes of this
section.
``(h) Definitions.--For purposes of this section, the following
definitions shall apply:
``(1) Financial institution.--The term `financial
institution' means any partnership, company, corporation,
association (incorporated or unincorporated), trust, estate,
cooperative organization, or other entity that engages in any
financial activity.
``(2) Small business.--The term `small business' has the
same meaning as the term `small business concern' in section 3
of the Small Business Act (15 U.S.C. 632).
[[Page 124 STAT. 2059]]
``(3) Small business loan.--The term `small business loan'
means a loan made to a small business.
``(4) Minority.--The term `minority' has the same meaning as
in section 1204(c)(3) of the Financial Institutions Reform,
Recovery, and Enforcement Act of 1989.
``(5) Minority-owned business.--The term `minority-owned
business' means a business--
``(A) more than 50 percent of the ownership or
control of which is held by 1 or more minority
individuals; and
``(B) more than 50 percent of the net profit or loss
of which accrues to 1 or more minority individuals.
``(6) Women-owned business.--The term `women-owned business'
means a business--
``(A) more than 50 percent of the ownership or
control of which is held by 1 or more women; and
``(B) more than 50 percent of the net profit or loss
of which accrues to 1 or more women.''.
(b) Technical and Conforming Amendments.--Section 701(b) of the
Equal Credit Opportunity Act (15 U.S.C. 1691(b)) is amended--
(1) in paragraph (3), by striking ``or'' at the end;
(2) in paragraph (4), by striking the period at the end and
inserting ``; or''; and
(3) by inserting after paragraph (4), the following:
``(5) to make an inquiry under section 704B, in accordance
with the requirements of that section.''.
(c) <<NOTE: 15 USC 1691 note.>> Clerical Amendment.--The table of
sections for title VII of the Consumer Credit Protection Act is amended
by inserting after the item relating to section 704A the following new
item:
``704B. Small business loan data collection.''.
(d) Effective Date.--This section shall become effective on the
designated transfer date
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