12 U.S.C. § 2281 — Congressional findings and declaration of

Page 1434 TITLE 12—BANKS AND BANKING § 2281 ership, a Farm Credit bank may purchase as- sets of the Corporation. (g) Agreements against interests of conservator or receiver No agreement that tends to diminish or defeat the right, title, or interest of the conservator or receiver for the Corporation in any asset ac- quired by the conservator or receiver as conser- vator or receiver for the Corporation shall be valid against the conservator or receiver unless the agreement— (1) is in writing; (2) is executed by the Corporation and any person claiming an adverse interest under the agreement, including the obligor, contempora- neously with the acquisition of the asset by the Corporation; (3) is approved by the Board or an appro- priate committee of the Board, which approval shall be reflected in the minutes of the Board or committee; and (4) has been, continuously, from the time of the agreement’s execution, an official record of the Corporation. (h) Report to Congress On a determination by the receiver for the Corporation that there are insufficient assets of the receivership to pay all valid claims against the receivership, the receiver shall submit to the Secretary of the Treasury, the Committee on Agriculture of the House of Representatives, and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report on the fi- nancial condition of the receivership. (i) Termination of authorities (1) Corporation The charter of the Corporation shall be can- celed, and the authority provided to the Cor- poration by this subchapter shall terminate, on such date as the Farm Credit Administra- tion Board determines is appropriate following the placement of the Corporation in receiver- ship, but not later than the conclusion of the receivership and discharge of the receiver. (2) Oversight The Office of Secondary Market Oversight established under section 2279aa–11 of this title shall be abolished, and section 2279aa–11(a) of this title and part B shall have no force or effect, on such date as the Farm Credit Administration Board determines is ap- propriate following the placement of the Cor- poration in receivership, but not later than the conclusion of the receivership and dis- charge of the receiver. (Pub. L. 92–181, title VIII, § 8.41, as added Pub. L. 104–105, title I, § 118, Feb. 10, 1996, 110 Stat. 168.) CHAPTER 24—FEDERAL FINANCING BANK Sec. 2281. Congressional findings and declaration of pur- pose. 2282. Definitions. 2283. Creation of Federal Financing Bank. 2284. Board of Directors. 2285. Functions. 2285a. Acquisition of obligations involving loan guarantees for New York City. Sec. 2286. Approval of financing plans by Secretary of the Treasury. 2287. Initial capital. 2288. Bank obligations. 2289. General powers. 2290. Exemptions. 2291. Preparation of obligations. 2292. Annual report to the President and Congress. 2293. Budget and audit provisions of Government corporation control law applicable. 2294. Payments on behalf of public bodies. 2294a. Contracts for periodic payments to offset costs of purchase of obligations of local public housing agencies. 2295. Authority or responsibility under other provi- sions of law not to be affected or impaired. 2296. Increase not authorized in amounts of obliga- tions issued, sold, or guaranteed by Federal agencies. § 2281. Congressional findings and declaration of purpose The Congress finds that demands for funds through Federal and federally assisted bor- rowing programs are increasing faster than the total supply of credit and that such borrowings are not adequately coordinated with overall Federal fiscal and debt management policies. The purpose of this chapter is to assure coordi- nation of these programs with the overall eco- nomic and fiscal policies of the Government, to reduce the cost of Federal and federally assisted borrowings from the public, and to assure that such borrowings are financed in a manner least disruptive of private financial markets and in- stitutions. (Pub. L. 93–224, § 2, Dec. 29, 1973, 87 Stat. 937.) Statutory Notes and Related Subsidiaries EFFECTIVE DATE Pub. L. 93–224, § 20, Dec. 29, 1973, 87 Stat. 942, provided that: ‘‘This Act [enacting this chapter and amending section 24 of this title] becomes effective upon the date of its enactment [Dec. 29, 1973], except that section 7 [section 2286 of this title] becomes effective upon the expiration of thirty days after such date [Dec. 29, 1973].’’ SHORT TITLE Pub. L. 93–224, § 1, Dec. 29, 1973, 87 Stat. 937, provided: ‘‘That this Act [enacting this chapter and amending section 24 of this title] may be cited as the ‘Federal Fi- nancing Bank Act of 1973’.’’ SEPARABILITY Pub. L. 93–224, § 19, Dec. 29, 1973, 87 Stat. 942, provided that: ‘‘If any provision of this Act [enacting this chap- ter and amending section 24 of this title], or the appli- cation thereof to any person or circumstance, is held invalid, the validity of the remainder of the Act [this chapter], and the application of such provisions to other persons or circumstances, shall not be affected.’’ TERMINATION OF ADVISORY COUNCILS Advisory councils established after Jan. 5, 1973, to terminate not later than the expiration of the 2-year period beginning on the date of their establishment, unless, in the case of a council established by the Presi- dent or an officer of the Federal Government, such council is renewed by appropriate action prior to the expiration of such 2-year period, or in the case of a council established by the Congress, its duration is oth- erwise provided for by law. See sections 1001(2) and 1013 of Title 5, Government Organization and Employees. Page 1435 TITLE 12—BANKS AND BANKING § 2286 Executive Documents EXECUTIVE ORDER NO. 11782 Ex. Ord. No. 11782, May 6, 1974, 39 F.R. 15991, which es- tablished the Federal Financing Bank Advisory Council and provided for its membership, functions, etc., was revoked by Ex. Ord. No. 12379, § 15, Aug. 17, 1982, 47 F.R. 36099, formerly set out as a note under section 1013 of Title 5, Government Organization and Employees. § 2282. Definitions For the purposes of this chapter— (1) The term ‘‘Federal agency’’ means an exec- utive department, an independent Federal estab- lishment, or a corporation or other entity estab- lished by the Congress which is owned in whole or in part by the United States. (2) The term ‘‘obligation’’ means any note, bond, debenture, or other evidence of indebted- ness, but does not include Federal Reserve notes or stock evidencing an ownership interest in the issuing Federal agency. (3) The term ‘‘guarantee’’ means any guar- antee, insurance, or other pledge with respect to the payment of all or part of the principal or in- terest on any obligation, but does not include the insurance of deposits, shares, or other withdrawable accounts in financial institutions, or any guarantee or pledge arising out of a stat- utory obligation to insure such deposits, shares, or other withdrawable accounts. (4) The term ‘‘Bank’’ means the Federal Fi- nancing Bank established by section 2283 of this title. (Pub. L. 93–224, § 3, Dec. 29, 1973, 87 Stat. 937.) § 2283. Creation of Federal Financing Bank There is hereby created a body corporate to be known as the Federal Financing Bank, which shall have succession until dissolved by an Act of Congress. The Bank shall be subject to the general supervision and direction of the Sec- retary of the Treasury. The Bank shall be an in- strumentality of the United States Government and shall maintain such offices as may be nec- essary or appropriate in the conduct of its busi- ness. (Pub. L. 93–224, § 4, Dec. 29, 1973, 87 Stat. 937.) § 2284. Board of Directors (a) The Bank shall have a Board of Directors consisting of five persons, one of whom shall be the Secretary of the Treasury as Chairman of the Board, and four of whom shall be appointed by the President from among the officers or em- ployees of the Bank or of any Federal agency. The Chairman and each other member of the Board may designate some other officer or em- ployee of the Government to serve in his place. (b) The Board of Directors shall meet at the call of its Chairman. The Board shall determine the general policies which shall govern the oper- ations of the Bank. The Chairman of the Board shall select and effect the appointment of quali- fied persons to fill such offices as may be pro- vided for in the bylaws, and such persons shall be the executive officers of the Bank and shall discharge such executive functions, powers, and duties as may be provided for in the bylaws or by the Board of Directors. The members of the Board and their designees shall not receive com- pensation for their services on the Board. (Pub. L. 93–224, § 5, Dec. 29, 1973, 87 Stat. 937.) § 2285. Functions (a) Purchase and sale of obligations issued, sold, or guaranteed by Federal agencies The Bank is authorized to make commitments to purchase and sell, and to purchase and sell on terms and conditions determined by the Bank, any obligation which is issued, sold, or guaran- teed by a Federal agency. Any Federal agency which is authorized to issue, sell, or guarantee any obligation is authorized to issue or sell such obligations directly to the Bank. (b) Yield Any purchase by the Bank shall be upon such terms and conditions as to yield a return at a rate not less than a rate determined by the Sec- retary of the Treasury taking into consideration (1) the current average yield on outstanding marketable obligations of the United States of comparable maturity, or (2) whenever the Bank’s own obligations outstanding are suffi- cient, the current average yield on outstanding obligations of the Bank of comparable maturity. (c) Fees The Bank is authorized to charge fees for its commitments and other services adequate to cover all expenses and to provide for the accu- mulation of reasonable contingency reserves. (Pub. L. 93–224, § 6, Dec. 29, 1973, 87 Stat. 938.) § 2285a. Acquisition of obligations involving loan guarantees for New York City Nothing in any provision of law shall be con- strued to authorize the Federal Financing Bank to acquire any obligation the payment of inter- est or principal of which has at any time been guaranteed in whole or in part under title I of the New York City Loan Guarantee Act of 1978. (Pub. L. 95–339, title II, § 201(b), Aug. 8, 1978, 92 Stat. 467.) Editorial Notes REFERENCES IN TEXT Title I of the New York City Loan Guarantee Act of 1978, referred to in text, is title I of Pub. L. 95–339, Aug. 8, 1978, 92 Stat. 460, which was classified generally to subchapter II (§ 1521 et seq.) of chapter 27 of former Title 31, and was omitted from the Code in the general revision and reenactment of Title 31, Money and Fi- nance, by Pub. L. 97–258, Sept. 13, 1982, 96 Stat. 877. CODIFICATION Section was enacted as part of the New York City Loan Guarantee Act of 1978, and not as part of the Fed- eral Financing Bank Act of 1973 which comprises this chapter. § 2286. Approval of financing plans by Secretary of the Treasury (a) Method, source, timing, terms, and conditions of sale of obligations issued or sold by Fed- eral agencies To insure the orderly and coordinated mar- keting of Treasury and Federal agency obliga-