Page:United States Statutes at Large Volume 82.djvu/582

 540 68 Stat. 620. 12 USC 1723a.

FNMA, exemption from taxation.

Officers and employees.

Post, p. 546. 80 Stat. 564. 5 USC 83318348.

PUBLIC LAW 90-448-AUG. 1, 1968

[82 STAT.

(z) Section 309(a) of such Act is amended— (1) by striking out "The Association" and inserting in lieu thereof "Each of the bodies corporate named in section 302(a)(2)"; (2) by striking out "by its board of directors, to adopt, amend, and repeal bylaws governing the performance of the powers and duties granted to or imposed upon it by law;"; (3) by striking out "conduct its business" and inserting in lieu thereof "conduct its business without regard to any qualification or similar statute"; (4) by striking out "the Association may deem" and inserting in lieu thereof "it may deem"; and (5) by striking out "the purposes of the Association" and inserting in lieu thereof "its purposes". (aa) Section 309(c) of such Act is amended— (1) by striking out " (1) "; (2) by striking out "The Association" and inserting in lieu thereof " (1) The Association"; (3) by striking out ", and (2) the Association shall, with respect to its secondary market operations under section 304 after the cutoff date referred to in section 303(d) of this title, pay annually to the Secretary of the Treasury, for covering into miscellaneous receipts, an amount equivalent to the amount of Federal income taxes for which it would be subject if it were not exempt from such taxes with respect to such secondary market operations"; and (4) by adding at the end thereof the following new paragraph: "(2) The corporation, including its franchise, capital, reserves, surplus, mortgages or other security holdings, and income, shall be exempt from all taxation now or hereafter imposed by any State, territory, possession. Commonwealth, or dependency of the United States, or by the District of Columbia, or by any county, municipality, or local taxing authority, except that any real property of the corporation shall be subject to State, territorial, county, municipal, or local taxation to the same extent as other real property is taxed." (bb) Section 309(d) of such Act is amended— (1) by inserting " (1) " immediately following " (d) "; (2) by striking out "Chairman of the Board" and inserting in lieu thereof "Secretary of Housing and Urban Development"; (3) by striking out "agents," and inserting in lieu thereof "agents of the Association,"; and (4) by adding at the end thereof the following new paragraph: " (2) The board of directors of the corporation shall have the power to select and appoint or employ such officers, attorneys, employees, and agents, to vest them with such powers and duties, and to fix and to cause the corporation to pay such compensation to them for their services, as it may determine; and any such action shall be without regard to the Federal civil service and classification laws. Appointments, promotions, and separations so made shall be based on merit and efficiency, and no political tests or qualifications shall be permitted or given consideration. Each officer and employee of the corporation who is employed by the corporation prior to the termination of the transitional period referred to in section 810(b) of the Housing and Urban Development Act of 1968 and who on the day previous to the beginning of such employment will have been subject to the civil service retirement law (subch. I l l of ch. 83 of title 5, United States Code) shall, so lon^ as his employment by the corporation continues without a break in continuity of service, continue to be subject to such law; and

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