Advancing the Mentor-Protégé Program for Small Financial Institutions Act
Summary
H.R. 3709, the "Advancing the Mentor-Protege Program for Small Financial Institutions Act," aims to amend the Financial Institutions Reform, Recovery, and Enforcement Act of 1989. It establishes a Financial Agent Mentor-Protege Program within the Department of the Treasury. This program pairs large financial institutions with smaller ones to enhance the capabilities of the latter.
Expected Effects
The Act will create a formal structure for mentorship within the financial sector. Small financial institutions will receive guidance to improve their operational capacity and readiness to serve as financial agents. The Department of the Treasury will oversee the program, ensuring compliance and providing outreach.
Potential Benefits
- Enhanced capabilities for small financial institutions.
- Increased participation of small institutions as financial agents.
- Improved service delivery to customers of small financial institutions.
- Formalized mentorship structure within the financial sector.
- Increased outreach and awareness through Treasury Department events.
Potential Disadvantages
- Potential for regulatory burden on participating institutions.
- Risk of unequal access to the program for some small institutions.
- Possible administrative costs for the Department of the Treasury.
- Limited scope, focusing solely on financial institutions.
- Dependence on the willingness of large institutions to participate.
Constitutional Alignment
The Act appears to align with the Constitution, particularly Article I, Section 8, which grants Congress the power to regulate commerce and establish uniform laws regarding bankruptcy. The establishment of a mentor-protege program falls under the purview of regulating financial institutions and promoting economic stability. There are no apparent infringements on individual liberties or rights outlined in the Bill of Rights.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).