Page:United States Statutes at Large Volume 105 Part 2.djvu/919

 PUBLIC LAW 102-237—DEC. 13, 1991 105 STAT. 1871 "Subtitle A—Establishment and Activities of Federal Agricultural Mortgage Corporation"; and (2) by inserting after section 8.14 the following new subtitle: "Subtitle B—Regulation of Financial Safety and Soundness of Federal Agricultural Mortgage Corporation "SEC. 8.31. DEFINITIONS. "For purposes of this subtitle: 'XI) COMPENSATION.—The term 'compensation' means any payment of money or the provision of any other thing of current or potential value in connection with employment. ' (2) CORE CAPITAL. —The term 'core capital' means, with respect to the Corporation, the sum of the following (as determined in accordance with generally accepted accounting principles): "(A) The par value of outstanding common stock. "(B) The par value of outstanding preferred stock. "(C) Paid-in capital. " (D) Retained earnings. "(3) DIRECTOR.—The term 'Director' means the Director of the Office of Secondary Market Oversight of the Farm Credit Administration, selected under section 8.11(a)(3). "(4) OFFICE.— The term 'Office' means the Office of Secondary Market Oversight of the Farm Credit Administration, established in section 8.11(a). "(5) REGULATORY CAPITAL. —The term 'regulatory capital' means, with respect to the Corporation, the core capital of the Corporation plus an allowance for losses and guarantee claims, as determined in accordance with generally accepted accounting principles. "(6) STATE.— The term 'State' means the States of the United States, the District of Columbia, the Commonwealth of Puerto Rico, the Commonwealth of the Northern Mariana Islands, Guam, the Virgin Islands, American Samoa, the Trust Territory of the Pacific Islands, and any other territory or possession of the United States. "SEC. 8.32. RISK-BASED CAPITAL LEVELS. "(a) RISK-BASED CAPITAL TEST. —Not later than the expiration of the 2-year period beginning on the date of the enactment of this section, the Director of the Office of Secondary Market Oversight shall, by regulation, establish a risk-based capital test under this section for the Corporation. When applied to the Corporation, the risk-based capital test shall determine the amount of regulatory capital for the Corporation that is sufficient for the Corporation to maintain positive capital during a 10-year period in which both of the following circumstances occur: "(1) CREDIT RISK. —With respect to securities representing an interest in, or obligations backed by, a pool of qualified loans 12 USC 2279bb. 12 USC 2279bb-l.

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