Page:United States Statutes at Large Volume 96 Part 2.djvu/123

 PUBLIC LAW 97-320—OCT. 15, 1982

96 STAT. 1485

"(ii) The Corporation, for good cause shown, may allow insured institutions up to two years to comply with the requirements of (b) Section 408(e)(2) of the National Housing Act (12 U.S.C. 1730a(e)(2)) is amended— (1) in the first sentence, by inserting after "subsection" the following: ", or any transaction under subsection (m) of this section,'; and (2) in the third sentence, by inserting after "acquisition," the following: "except a transaction under subsection (m) of this section,'. ASSISTANCE TO FEDERAL HOME LOAN BANKS MEMBERS

SEC. 124. Section 16 of the Federal Home Loan Bank Act (12 U.S.C. 1436) is amended by inserting "(a)" after "SEC. 16." and by adding at the end thereof the following: "(b) Notwithstanding subsection (a) or any other provision of this Act, if the Board determines that severe financial conditions exist threatening the stability of member institutions, the Board may suspend temporarily the requirements of subsection (a) that a portion of net earnings be set aside semiannually by each Federal Home Loan Bank to a reserve account and permit each Federal Home Loan Bank to declare and pay dividends out of undivided profits.". BORROWING AUTHORITY

SEC. 125. (a) The first sentence of section 402(d) of the National Housing Act (12 U.S.C. 1725(d)) is amended by inserting before the period at the end thereof the following: ", except that interest on loans from the Federal Home Loan Banks shall be not less than their current marginal cost of funds, taking into account the maturities involved, and loans from the Federal Home Loan Banks shall be adequately secured, as determined by the Board". (b) The first sentence of section 402(i) of the National Housing Act (12 U.S.C. 1725(i)) is amended— (1) by striking out "any other source" and inserting in lieu thereof "any source other than the Federal Home Loan Banks"; and (2) by inserting "from the Treasury" after "Provided, That Prich SllCil lo3.Tl

(c) Section 11 of the Federal Home Loan Bank Act (12 U.S.C. 1431) is amended by adding at the end thereof the following: "(k) The Federal Home Loan Banks are hereby authorized, as directed by the Board, to make loans to the Federal Savings and Loan Insurance Corporation. All such loans shall be made in accordance with the provisions of section 402(d) of the National Housing Act". INSURANCE FUND RESERVES

SEC. 126. Section 404 of the National Housing Act (12 U.S.C. 1727) is amended by redesignating subsection (h) as subsection (i) and by inserting after subsection (g) the following: "(h) Notwithstanding any other provision of this section, the Corporation, upon its determination that extraordinary financial

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