87th Congress, S. 1927 An Act 75 STAT. 758. To amend further the Federal Farm Loan Act and the Farm Credit Act of 1933, as amended, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That (a) section 12 of the Federal Farm Loan Act, as amended (12 U.S.C. 771), is amended Federal Farm ment. (1) by substituting "a fixed number of one or more installments 39 Stat. 370. each year" for "a fixed number of annual or semiannual install- Restriction on ments" in paragraph "Second" thereof; and (2) by substituting in the fourth sentence of paragraph "Sixth" thereof the following for all that comes after "but no such loan shall be made to a corporation": "unless the principal part of its income is derived from farming operations and unless owners of stock in the corporation assume personal liability for the loan to the extent required under rules and regulations prescribed by the Farm Credit Administration.". (b) Section 202(c) of the Federal Farm Loan Act, as amended (12 U.S.C., supp. II, sec. 1033), is amended by changing the word "five" to the word "seven". SEC. 2. The Farm Credit Act of 1933, as amended, is amended- loans. Revolving fund. earnings. "(f) The revolving funds created by subsections (a) and (e) of this section are hereby combined into a single revolving fund which shall be available for all purposes for which both such funds were heretofore available, and reference in any provision of law to the revolving fund created by said subsection (a) or said subsection (e) shall be deemed a reference to the single revolving fund created by this subsection."; (2) by changing section 22(a) thereof (12 U.S.C. 1131f (a)) to Application of read: "(a) Each production credit association shall, at the end of each fiscal 69 Stat. 663. year, apply the amount of its earnings for such year in excess of operating expenses (including provision for valuation reserves against loan assets in an amount equal to one-half of 1 per centum of loans outstanding at the end of the fiscal year, to the extent that earnings for the year in excess of other operating expenses permit, until such reserves equal or exceed 3% per centum of loans outstanding at the end of the fiscal year beyond which 3% per centum further additions to such reserves are not required but may be made), first, to the restoration of the impairment, if any, of capital; and, second, to the establishment and maintenance of a surplus account, the minimum amount of which shall be prescribed by the Federal intermediate credit bank.”; and Earnings and reserve s. 75 STAT. 758. 69 Stat. 658. (3) by adding the following subsection to section 36 thereof (12 U.S.C. 11341): "(d) Notwithstanding any other provision of this Act, in the case of liquidation or dissolution of any present or former borrower from a bank for cooperatives, the bank, may, in accordance with rules and regulations prescribed by the Farm Credit Administration, retire and cancel any capital stock or allocated surplus and contingency reserves or other equity interest, in the bank owned by such borrower at the fair book value thereof, not exceeding par, and, to the extent required, corresponding shares and allocations or other equity interests held by the regional bank in the central bank shall be retired.". Approved October 3, 1961. To abolish the Federal Farm Mortgage Corporation, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That (a) the Federal Federal Farm Farm Mortgage Corporation, established by the Act of January 31, Mortgage Cor1934 (48 Stat. 344; 12 U.S.C. 1020), is hereby abolished; and, except Abolishment. as provided in subsection (d), all of the powers, duties, functions, and authority of such Corporation are hereby terminated. (b) All right, title, and interest in or to real property other than reserved mineral interests which may appear of public record in any farm credit district to be in the Land Bank Commissioner or the Federal Farm Mortgage Corporation are hereby confirmed to be in the Federal land bank of said district, and said bank is hereby authorized in its own name or in the name of the Federal Farm Mortgage Corporation to execute any assignment, release, satisfaction, or other instrument as may be necessary or appropriate in connection therewith to perfect title of record in the true owners. (c) All right, title, and interest to any reserved mineral interests of the Federal Farm Mortgage Corporation which have not been disposed of otherwise by the Federal Farm Mortgage Corporation are hereby confirmed to be in the United States of America to be administered by the Secretary of the Interior under the mineral laws of the United States. (d) There are hereby transferred to the Secretary of the Treasury (1) all cash, accounts receivable, and other assets owned by the Federal Farm Mortgage Corporation, and (2) all authority of such corporation relating to the collection of notes receivable from the Federal land banks. (e) Any cash received by the Secretary of the Treasury, and any moneys collected by him, by virtue of the transfer made under this section shall be deposited in the general fund of the Treasury as miscellaneous receipts. SEC. 2. No suit, action, or other proceeding lawfully commenced by or against the Federal Farm Mortgage Corporation shall abate by reason of the enactment of this Act, but the court, on motion or supplemental petition filed at any time within twelve months after the date of such enactment, may allow the same to be maintained by or against the Secretary of the Treasury. poration. SEC. 3. (a) Sections 1, 2, 3, 4, 5, 6, 12, 17, and 18 of the Federal Repeals and Farm Mortgage Corporation Act, as amended (12 U.S.C. 1020, 1020a-amendments. 1020h, 992a, 723 (f)), are hereby repealed. (b) Sections 32 (except the fourteenth sentence thereof), 33, 34, and 35 of the Emergency Farm Mortgage Act of 1933, as amended (12 U.S.C. 1016-1019, except 1016 (h), second sentence), are hereby repealed, and the fourteenth sentence of such section 32 (12 U.S.Č. 1016 (h), second sentence) is hereby amended by deleting therefrom the word "such". (c) The first sentence of the eighth paragraph of section 13 of the Federal Reserve Act, as amended (12 U.S.C. 347), is amended by 38 Stat. 958. striking out "or by the deposit or pledge of Federal Farm Mortgage Corporation bonds issued under the Federal Farm Mortgage Corporation Act,”. (d) The first sentence of section 14(b) of the Federal Reserve Act, as amended (12 U.S.C. 355), is amended by striking out "bonds of38 Stat. 264. the Federal Farm Mortgage Corporation having maturities from date of purchase of not exceeding six months,”. 75 STAT. 774. 48 Stat. 44. 39 Stat. 370; 48 Stat. 346. 59 Stat. 267. 39 Stat. 378. 48 Stat. 347. 49 Stat. 1461. 67 Stat. 393; 69 Stat. 662. 62 Stat. 703. 62 Stat. 711. 62 Seat. 729. 65 Stat. 718. 62 Stat. 705. 62 Stat. 752. 59 Stat. 597. (e) The fourteenth paragraph of section 7 of the Federal Farm Loan Act, as amended (12 U.S.T. 723 (c)), is amended by striking out the fourth sentence thereof. (f) The last paragraph of section 12 of the Federal Farm Loan Act, as amended (12 U.S.C. 772), is amended to read as follows: "Amounts transmitted to Federal land bank associations by Federal land banks to be loaned to its members shall, at the option of the bank, be in current funds or, at the option of the borrower, in farm loan bonds." (g) Paragraph Eighth of section 13 of the Federal Farm Loan Act, as amended (12 ̊ U.S.Č. 781), is amended to read as follows: "Eighth. To buy and sell United States Government obligations direct or fully guaranteed." (h) Section 13 of the Federal Farm Loan Act, as amended (12 U.Š.C. 781), is amended by striking out paragraphs Fifteenth, Sixteenth, and Twentieth thereof. (i) Section 22 of the Federal Farm Loan Act, as amended (12 U.S.C. 897), is amended by (1) striking out clause (e) under the heading "In the case of a Federal land bank", and (2) striking out clause (e) under the heading “In the case of a joint-stock land bank”. (j) Section 62 of the Farm Credit Act of 1933, as amended (12 U.S.C. 1138b), is amended by striking out "the Federal Farm Mortgage Corporation,". (k) The Act of June 4, 1936, as amended (49 Stat. 1461; 12 U.S.C. 773a), is amended by striking out "the Federal Farm Mortgage Corporation," and "the Land Bank Commissioner”. (1) Section 7(b) of the First Deficiency Appropriation Act, fiscal year 1936, approved June 22, 1936 (49 Stat. 1648; 15 U.S.C. 712a (b)), is amended by striking out item 4 thereof and by redesignating items 5 to 13, inclusive, as 4 to 12, respectively. (m) The Act of September 6, 1950 (64 Stat. 769; 7 U.S.C. 1036), is amended by striking out section 4 thereof. (n) Section 7(a) of the Farm Credit Act of 1953, as amended (12 U.S.C. 636f(a)), is amended by striking out the second and third sentences thereof. (0) The second sentence of section 433 of title 18 of the United States Code is amended by striking out “the Federal Farm Mortgage Corporation Act,". (p) The first paragraph of section 493 of title 18 of the United States Code is amended by striking out "Federal Farm Mortgage Corporation". (q) Section 657 of title 18 of the United States Code is amended by striking out "Federal Farm Mortgage Corporation,". (r) Section 658 of title 18 of the United States Code is amended by striking out "Federal Farm Mortgage Corporation,”. (s) Section 1006 of title 18 of the United States Code is amended by striking out "Federal Farm Mortgage Corporation,". (t) Section 1014 of title 18 of the United States Code is amended by striking out "or the Federal Farm Mortgage Corporation,". (u) Section 101 of the Government Corporation Control Act, as amended (31 U.S.C. 846), is amended by striking out "Federal Farm Mortgage Corporation;". 75 STAT. 774, (v) The Department of Agriculture Organic Act of 1944, as amended (58 Stat. 741; 12 U.S.C. 1020a-1), is amended by striking out section 603 thereof. (w) The last paragraph of section 32 of the Federal Farm Loan Repeal. Act, as amended (12 U.S:C. 992, 993), is hereby repealed. Approved October 4, 1961. 48 Stat. 41. Public Law 87-676 An Act 76 STAT. 559. To amend the Federal Home Loan Bank Act to give Puerto Rico the same treatment as a State in the election of Federal Home Loan Bank Directors. 12 USC 1427. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That subsection (e) Puerto Rico. of section 7 of the Federal Home Loan Bank Act, as amended, is Federal Home hereby amended by striking out the last sentence of said subsection and Loan Bank Act, inserting in lieu thereof the following: "The term 'States' or 'State' as amendment. used in this section shall mean the States of the Union, the District 75 Stat. 487. of Columbia, and the Commonwealth of Puerto Rico. The Board, "States" or by regulation or otherwise, may add an additional elective director- "State." ship to the board of directors of the bank of any district in which the Commonwealth of Puerto Rico is included at the time such directorship is added and which does not then include five or more States, may fix the commencement and the duration, which shall not exceed two years, of the initial term of any directorship so added, and may fill any such initial term by appointment: Provided, That (1) any directorship added pursuant to the foregoing provisions of this sentence shall be designated by the Board, pursuant to subsection (b) of this section, as representing the members located in the Commonwealth of Puerto Rico, (2) such designation of such directorship shall not be changed, and (3) such directorship shall automatically cease to exist if and when the Commonwealth of Puerto Rico ceases to be included in such district." Approved September 19, 1962. 54-539 O-71-23 |