Page:United States Statutes at Large Volume 101 Part 3.djvu/404

 101 STAT. 1702

PUBLIC LAW 100-233—JAN. 6, 1988

aside by the Corporation in a segregated account as a reserve against losses arising out of the guarantee activities of the Corporation. "(2) EXHAUSTION OF RESERVE REQUIRED.—The Corporation may not issue obligations to the Secretary of the Treasury under section 8.13 in order to meet the obligations of the Corporation with respect to any guarantees provided under this title until the reserve established under paragraph (1) has been exhausted. "(d) FEES TO COVER ADMINISTRATIVE COSTS AUTHORIZED.—The Corporation may impose charges or fees in reasonable amounts in connection with the administration of its activities under this title to recover its costs for performing such administration. 12 USC 2279aa-ll.

"SEC. 8.11. SUPERVISION, EXAMINATION, AND REPORT OF CONDITION. ,<.. „ (a) REGULATION.—

"(1) AUTHORITY.—Notwithstanding any other provision of this Act, the regulatory authority of the Farm Credit Administration with respect to the Corporation shall be confined to— "(A) providing for the examination of the condition of the Corporation; and "(B) providing for the general supervision of the safe and sound performance of the powers, functions, and duties vested in the Corporation by this title, including through the use of the enforcement powers of the Farm Credit Administration under part C of title V. "(2) (DONSIDERATIONS.—In exercising its authority pursuant to this section, the Farm Credit Administration shall consider— "(A) the purposes for which the Corporation was created; "(B) the practices appropriate to the conduct of secondary markets in agricultural loans; and "(C) the reduced levels of risk associated with appropriately structured secondary market transactions. "(b) EXAMINATIONS AND AUDITS.—

"(1) IN GENERAL.—The financial transactions of the Corporation shall be examined by examiners of the Farm Credit Administration in accordance with the principles and procedures applicable to commercial corporate transactions under such rules and regulations as may be prescribed by the Administration. "(2) FREQUENCY.—The examinations shall occur at such times as the Farm Credit Administration Board may determine, but in no event less than once each year. "(3) ACCESS.—The examiners shall— "(A) have access to all books, accounts, financial records, reports, files, and all other papers, things, or property belonging to or in use by the Corporation and necessary to facilitate the audit; and "(B) be afforded full access for verifying transactions with certified facilities and other entities with whom the Corporation conducts transactions. "(c) ANNUAL REPORT OF (DONDITION.—The (iJorporation shall make and publish an annual report of condition as prescribed by the Farm Credit Administration. Each report shall contain financial statements prepared in accordance with generally accepted accounting principles and contain such additional information as the Farm Credit Administration may by regulation prescribe. The financial

�