H.R. 1910 · Where this bill is now
In committee
Introduced in the House, sent to the Committee on Financial Services, Mar 6, 2025
What this bill does
In plain words · AI-written from the official summaryExpands chief risk officer requirements for banks
This bill expands which financial companies must have a chief risk officer and a risk committee overseeing the company's risk management practices. Currently, only large publicly traded bank holding companies are required to have these roles. The bill would also require privately held large bank holding companies and large banks without a holding company to appoint a chief risk officer and establish a risk committee. It also lets the Federal Reserve require smaller bank holding companies to do the same.
How it affects you
If you're a customer or investor at a large private bank or large bank without a holding company, this would mean your bank would now have dedicated oversight of its risk management practices. The bill also requires banks to notify regulators within 24 hours if the chief risk officer position becomes vacant, and if the vacancy lasts 60 days or longer, the company cannot grow its assets beyond what it held when the vacancy started.
Read the official summary (Introduced in House, Mar 6, 2025)
Chief Risk Officer Enforcement and Accountability Act
This bill expands which financial companies must establish a risk committee and appoint a chief risk officer and provides statutory authority for requiring large bank holding companies to appoint a chief risk officer. Chief risk officers are responsible for the establishment of risk limits, monitoring compliance, and reporting any deficiencies to the risk committee. Risk committees are responsible for the oversight of the risk management practices of the entire company.
Currently, large bank holding companies that are publicly traded are required to establish risk committees and, by regulation, have chief risk officers. Under the bill, risk committees and chief risk officers are also required for (1) privately held large bank holding companies, and (2) large banks that do not have a holding company. Additionally, the bill requires companies to notify regulators if the chief risk officer position is vacant within 24 hours of when the vacancy occurs. If the vacancy lasts 60 days or more, the company’s assets are capped at the amount held at the time the vacancy occurred.
Further, the bill allows the Federal Reserve Board to require smaller bank holding companies to establish a risk committee and appoint a chief risk officer. Currently, the board is allowed to require smaller bank companies that are publicly traded to establish risk committees.
Written by AI (Claude) using only the official summary by the Congressional Research Service, the Library of Congress’s nonpartisan research staff. It can miss nuance, so check the official summary and the bill text for details.
1st SessionH. R. 1910
A BILL
Chief Risk Officer Enforcement and Accountability Act
Sponsor: Rep. Sean Casten (D-IL-6) · Introduced Mar 6, 2025 · Finance and Financial Sector · 1 version of the text
Sources: Congress.gov actions and votes · bill text from GovInfo · latest official action Mar 6, 2025: “Referred to the House Committee on Financial Services.”