LIMITATION ON OUTSTANDING BORROWING.

SEC. 102. LIMITATION ON OUTSTANDING BORROWING. (a) In General.— Section 15(c) of the Federal Deposit Insurance Act (12 U.S.C. 1825(c)) is amended by striking paragraphs (5) and (6) and inserting the following new paragraphs: “(5) Maximum amount limitation on outstanding obligations.— Notwithstanding any other provisions of this Act, the Corporation may not issue or incur any obligation, if, after issuing or incurring the obligation, the aggregate amount of obligations of the Bank Insurance Fund or Savings Association Insurance Fund, respectively, outstanding would exceed the sum of— “(A) the amount of cash or the equivalent of cash held by the Bank Insurance Fund or Savings Association Insurance Fund, respectively; “(B) the amount which is equal to 90 percent of the Corporation’s estimate of the fair market value of assets held by the Bank Insurance Fund or the Savings Association Insurance Fund, respectively, other than assets described in subparagraph (A); and “(C) the total of the amounts authorized to be borrowed from the Secretary of the Treasury pursuant to section 14(a). “(6) Obligation defined.— “(A) In general.— For purposes of paragraph (5), the term ‘obligation’ includes— “(i) any guarantee issued by the Corporation, other than deposit guarantees; 105 STAT. 2237 “(ii) any amount borrowed pursuant to section 14; and “(iii) any other obligation for which the Corporation has a direct or contingent liability to pay any amount. “(B) Valuation of contingent liabilities.— The Corporation shall value any contingent liability at its expected cost to the Corporation ”. (b) GAO Reports.— (1) Quarterly reporting.— The Comptroller General of the United States shall submit a report each calendar quarter on the Federal Deposit Insurance Corporation’s compliance with section 15(c)(5) of the Federal Deposit Insurance Act for the preceding quarter to the Committee on Banking, Finance and Urban Affairs of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate. (2) Analyses to be included.— Each report submitted under paragraph (1) shall include— (A) an analysis of the performance of the Federal Deposit Insurance Corporation in meeting any repayment schedule under section 14(c) of the Federal Deposit Insurance Act (as added by section 103 of this Act); and (B) an analysis of the actual recovery on asset sales compared to the estimated fair market value of the assets as determined for the purposes of section 15(c)(5)(B) of such Act. (c) Technical and Conforming Amendment.— Section 15(c) of the Federal Deposit Insurance Act (12 U.S.C. 1825(c)) is amended by striking paragraph (7).