BANK OFFICERS AND DIRECTORS AS OFFICERS AND DIRECTORS OF PUBLIC UTILITIES.

SEC. 737. BANK OFFICERS AND DIRECTORS AS OFFICERS AND DIRECTORS OF PUBLIC UTILITIES. Section 305(b) of the Federal Power Act (16 U.S.C. 825d(b)) is amended— (1) by striking “(b) After six” and inserting the following: “(b) Interlocking Directorates.— “(1) In general.—After 6”; and (2) by adding at the end the following: “(2) Applicability.— “(A) In general.—In the circumstances described in subparagraph (B), paragraph (1) shall not apply to a person that holds or proposes to hold the positions of— “(i) officer or director of a public utility; and “(ii) officer or director of a bank, trust company, banking association, or firm authorized by law to underwrite or participate in the marketing of securities of a public utility. “(B) Circumstances.—The circumstances described in this subparagraph are that— “(i) a person described in subparagraph (A) does not participate in any deliberations or decisions of the public utility regarding the selection of a bank, 113 STAT. 1480trust company, banking association, or firm to underwrite or participate in the marketing of securities of the public utility, if the person serves as an officer or director of a bank, trust company, banking association, or firm that is under consideration in the deliberation process; “(ii) the bank, trust company, banking association, or firm of which the person is an officer or director does not engage in the underwriting of, or participate in the marketing of, securities of the public utility of which the person holds the position of officer or director; “(iii) the public utility for which the person serves or proposes to serve as an officer or director selects underwriters by competitive procedures; or “(iv) the issuance of securities of the public utility for which the person serves or proposes to serve as an officer or director has been approved by all Federal and State regulatory agencies having jurisdiction over the issuance.”.