§ 2279d. Termination of System institution status

Statutory text

Conditions

A System institution may terminate the status of the institution as a System institution if—

the institution provides written notice to the Farm Credit Administration Board not later than 90 days prior to the proposed termination date;

the termination is approved by the Farm Credit Administration Board;

the appropriate Federal or State authority grants approval to charter the institution as a bank, savings and loan association, or other financial institution;

the institution pays to the Farm Credit Insurance Fund the amount by which the total capital of the institution exceeds 6 percent of the assets;

the institution pays or makes adequate provision for payment of all outstanding debt obligations of the institution;

the termination is approved by a majority of the stockholders of the institution voting, in person or by written proxy, at a duly authorized stockholders’ meeting, held prior to giving notice to the Farm Credit Administration Board; and

the institution meets such other conditions as the Farm Credit Administration Board by regulation considers appropriate.

Effect

On termination of its status as a System institution—

the Farm Credit Administration Board shall revoke the charter of the institution; and

the institution shall no longer be an instrumentality of the United States under this chapter.

Legislative history

Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.

1988
Farm Credit Act of 1971
Pub. L. 92–181 title VII § 7 · 85 Stat. 583
Enacted · 12 U.S.C. § 2279d
Pub. L. 92–181, title VII, § 7.10, as added Pub. L. 100–233, title IV, § 416, Jan. 6, 1988, 101 Stat. 1650
Source evidence
Code source credit
Pub. L. 92–181, title VII, § 7.10, as added Pub. L. 100–233, title IV, § 416, Jan. 6, 1988, 101 Stat. 1650
Enacted provision · exact public law section
(7) Operate under the direction of its board of directors.
2018
Agriculture Improvement Act of 2018
Pub. L. 115–334 title V § 5411(41) · 132 Stat. 4490
1. Added · 12 U.S.C. § 2279d(a)(4)
  Pub. L. 115–334 added par. (4)
2. Struck · 12 U.S.C. § 2279d(a)(4)
  Pub. L. 115–334 struck out former par. (4) which read as follows: “the institution pays to the Farm Credit Assistance Fund, as created under section 2278b–5 of this title, if the termination is prior to January 1, 1992, or pays to the Farm Credit Insurance Fund, if the termination is after such date, the amount by which the total capital of the institution exceeds, 6 percent of the assets;”
Source evidence
Code amendment note
Subsec. (a)(4). Pub. L. 115–334 added par. (4) and struck out former par. (4) which read as follows: “the institution pays to the Farm Credit Assistance Fund, as created under section 2278b–5 of this title, if the termination is prior to January 1, 1992, or pays to the Farm Credit Insurance Fund, if the termination is after such date, the amount by which the total capital of the institution exceeds, 6 percent of the assets;”.
Enacted provision · exact public law section
(41) Section 7.10(a) of the Farm Credit Act of 1971 (12 U.S.C. 2279d(a)) is amended by striking paragraph (4) and inserting the following: “(4) the institution pays to the Farm Credit Insurance Fund the amount by which the total capital of the institution exceeds 6 percent of the assets;” .

3 of 3 references resolved to an enrolled provision

Editorial Notes

Amendments

2018—Subsec. (a)(4). Pub. L. 115–334 added par. (4) and struck out former par. (4) which read as follows: “the institution pays to the Farm Credit Assistance Fund, as created under section 2278b–5 of this title, if the termination is prior to January 1, 1992, or pays to the Farm Credit Insurance Fund, if the termination is after such date, the amount by which the total capital of the institution exceeds, 6 percent of the assets;”.

Credits

1988–2018 · 2 acts

1988Pub. L. 92–181, title VII, § 7.10, as added Pub. L. 100–233, title IV, § 416, Jan. 6, 1988, 101 Stat. 1650
2018amended Pub. L. 115–334, title V, § 5411(41), Dec. 20, 2018, 132 Stat. 4683.

Show as published

(Pub. L. 92–181, title VII, § 7.10, as added Pub. L. 100–233, title IV, § 416, Jan. 6, 1988, 101 Stat. 1650; amended Pub. L. 115–334, title V, § 5411(41), Dec. 20, 2018, 132 Stat. 4683.)