S.1465 - Farm Credit Act Amendments of 198096th Congress (1979-1980)
|Sponsor:||Sen. Talmadge, Herman E. [D-GA] (Introduced 07/09/1979)|
|Committees:||Senate - Agriculture, Nutrition, and Forestry | House - Agriculture|
|Committee Reports:||S.Rept 96-837 Part 1; S.Rept 96-837 Part 1|
|Latest Action:||12/24/1980 Public Law 96-592. (TXT) (All Actions)|
This bill has the status Became Law
Here are the steps for Status of Legislation:
- Passed Senate
- Passed House
- Resolving Differences
- To President
- Became Law
Summary: S.1465 — 96th Congress (1979-1980)All Bill Information (Except Text)
(Measure passed House, amended, in lieu of H. R. 7548)
Passed House amended (11/19/1980)
Farm Credit Act Amendments of 1980 - =Title I: Federal Land Banks and Associations= - Amends the Farm Credit Act of 1971 (Act) to authorize any Federal land bank, under the supervision of the Farm Credit Administration, to: (1) participate in loans with other Farm Credit System institutions (i.e., Federal land banks, Federal land bank associations, Federal intermediate credit banks, production credit associations, and banks for cooperatives); (2) deposit its securities and funds with any insured State nonmember bank; (3) participate in loans which the land banks are authorized to make with lenders which are not Farm Credit System institutions; (4) sell interests in loans to such lenders; (5) buy from and sell to Farm Credit System institutions interests in loans, other extended financial assistance, and nonvoting stock; (6) make other investments; (7) accept contributions to their capital from Federal land bank associations; (8) enter into agreements with other Farm Credit System institutions to share loan and other losses; (9) issue nonvoting stock to borrowers as a patronage refund; and (10) make or participate with other lenders in long-term real estate mortgage loans not exceeding 85 percent of the appraised value of the real estate security. Makes producers and harvesters of aquatic products eligible for Federal land bank services.
Authorizes Federal land bank associations to make capital contributions to a Federal land bank.
States that a member of a Federal land bank association need not make the required purchases of land stock with respect to that part of a loan derived from a lender which is not a Farm Credit System institution.
Authorizes the Federal land bank associations to pay dividends on a differential basis between different classes and issues of stock and participation certificates corresponding to the value of such classes and issues to the capital or earnings of the Federal land bank in its district.
Permits the Federal land bank associations to agree to share loan and other losses with other Farm Credit System institutions.
=Title II: Federal Intermediate Credit Banks and Production Credit Associations= - Amends the Act to authorize the Federal Intermediate Credit Banks, subject to the supervision of the Farm Credit Administration, to: (1) deposit its securities and current funds with any insured State nonmember bank; (2) buy from and sell to Farm Credit System institutions interests in loans, other extended financial assistance and nonvoting stock; (3) make other investments; (4) agree to share loan and other losses with other Farm Credit System institutions; (5) participate with other Farm Credit System institutions in making loans; and (6) issue nonvoting stock to such institutions.
Authorizes the Federal intermediate credit banks to discount for, or purchase from other financial institutions, loans made to producers and harvesters of aquatic products. Eliminates the 25 percent of net earnings restriction on amounts which such banks may use to restore or maintain the allocated reserve account.
Authorizes each production credit association, subject to the supervision of the intermediate credit bank in its district and the Farm Credit Administration, to: (1) buy from and sell to any bank in the Farm Credit System interests in loans, other financial assistance extended, and nonvoting stock; (2) participate in loans with other Farm Credit System institutions; (3) agree to share loan and other losses with other Farm Credit System Institutions; (4) issue participation certificates to eligible borrowers in lieu of nonvoting; and (5) issue participation certifications or nonvoting stock to any financial institution outside the Farm Credit System with which the association participates in a loan in satisfaction of the requirement that a borrower own such stock or participation certificates. Requires a borrower to own only that amount of stock or participation certificates which is proportionate to that portion of a loan retained by a production credit association when it participates with another lender in making a loan.
Authorizes the production credit association to extend loan assistance to bona fide farmers, ranchers, and producers and harvesters of aquatic products for basic processing and marketing directly related to the borrower's operations. Requires the borrower's operation to provide a specified percentage of the total processing or marketing for which financing is extended.
=Title III: Banks for Cooperatives= - Amends the Act to empower each bank for cooperatives, subject to the supervision of the Farm Credit Administration, to: (1) participate with other Farm Credit System Institutions in making loans; (2) deposit its securities and current funds with any insured State nonmember bank or any domestic or foreign financial organization (presently, such deposits must be made at a member bank in the Federal Reserve System); (3) buy from and sell to Farm Credit System institutions interests in loans, other financial assistance extended and nonvoting stock; (4) invest in foreign business entities to facilitate the obtaining of credit information and the performance of services related to international transactions; (5) maintain credit balances to assist in the transfer of funds between parties to authorized transactions; (6) agree to share loan and other losses with other Farm Credit System institutions; and (7) issue participation certificates to parties who may not be issued voting stock. Requires all participation certificates and voting and nonvoting stock issued by the banks for cooperatives to be retired at par value.
Authorizes the banks for cooperative to: (1) offer a currency exchange for eligible cooperative associations; and (2) extend loans, loan participation commitments, and other technical and financial assistance to any domestic or foreign party in which a member cooperative has an ownership interest or which engages with the cooperative in dealings in agricultural or aquatic products, farm supplies or the lease of property, provided such assistance substantially benefits the member cooperative. Sets forth guidelines for regulations governing the extension of such assistance.
Enables cooperatives solely engaged in furnishing aquatic business services to borrow from the banks for cooperatives. Reduces the degree of ownership in a cooperative which must be held by farmers, producers or harvesters of aquatic products, or other cooperative associations in order to make such a cooperative eligible to borrow from a bank for cooperatives.
Requires a bank for cooperatives to retire any equity held by a borrower in default or dissolution at fair market value not to exceed the par value of the equity interest of the borrower. Prohibits the retirement or cancellation of such an equity interest if the bank's capital structure would be adversely affected.
Permits each bank for cooperatives to transfer more than 25 percent of its net annual savings to a surplus account. Authorizes the banks for cooperatives to pay patronage refunds to borrowers in the form of participation certificates.
=Title IV: Provisions Applicable to Two or More Classes of Institutions of the System= - Amends the Act to declare that interest rates established by the Farm Credit Administration for loans made by Farm Credit System institutions and by specified agricultural credit corporations shall preempt any interest rate limitation imposed by State law. States that when two or more Farm Credit System institutions participate in a loan as authorized by this Act, the terms of such loan shall be those agreed upon by the institutions. Requires that such factors as borrower eligibility, membership, term, amount, loan security and purchase of stock or participation certificates by the borrower are to be governed by the provisions of law applicable to the institution originating the loan.
Requires each Federal land bank association and production credit association to prepare a program for furnishing sound and constructive credit and related services to young, beginning, and small farmers and ranchers. Directs the Federal land banks and the Federal intermediate credit bank for each district to annually obtain reports of activities under such programs.
Terminates on September 30, 1990, the authorizations: (1) of Federal intermediate credit banks to lend to or discount paper of other financial institutions; and (2) to finance import and export activities of cooperatives.
Authorizes the institutions of the Farm Credit System to organizae corporations to perform nonlending functions and services which such instutitons are authorized to perform.
Empowers the Governor of the Farm Credit Administration to review and revise the charters of such corporations.
States that such corporations shall be subject to supervision and examination by the Administration.
Applies State and other laws relevant to organizing banks to such corporations, except for specified tax exemptions.
Authorizes the sale to Farm Credit system members of insurance to protect the loan commitment and the member's farm or aquatic unit, with specified limitations. Permits banks and associations already offering insurance not authorized by this section to continue to sell such insurance for one year and continue to service such insurance until expiration.
=Title V: District and Farm Credit Administration Organization= - Amends the Act to permit the Virgin Islands to be included within a farm credit district, if the extension of credit and other services in the Virgin Islands is determined to be feasible. Revises the process for the election of farm credit district directors by reducing from three to two the number of nominees in the election roll.
Establishes the rate of compensation for the Federal Farm Credit Board at the daily equivalent of the rate prescribed for grade GS-18 of the General Schedule.
Directs the Governor of the Farm Credit Administration to consult regularly with: (1) the Secretary of the Treasury on the farm credit system banks' authority to borrow and make loans; and (2) the Federal Reserve Board on the effect of such system's lending activities on national monetary policy.
Authorizes the banks of the system, with the concurrence of two-thirds of the district boards, to sell or otherwise dispose of any interest in property.
Requires the Farm Credit Administration to make annual reports to Congress which include a summary and analysis of specified reports submitted to such Administration by the Federal land banks and Federal intermediate credit banks relating to programs for serving young, beginning, and small farmers and ranchers.
Requires the Farm Credit Administration to transmit to the appropriate committees of Congress for consideration any regulation before such regulation becomes effective.
Directs the Comptroller General to conduct an evaluation and make an interim report to Congress concerning the programs and activities authorized under this Act.
Eliminates the requirement that the Administration maintain its principal office in the District of Columbia, so long as such office remains within the Washington, D.C.-Maryland-Virginia standard metropolitan statistical area.
Amends the Swine Health Protection Act to include a definition of "State" for the purposes of such Act.