§ 1438. — Administrative expenses.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 12USC1438]
TITLE 12--BANKS AND BANKING
CHAPTER 11--FEDERAL HOME LOAN BANKS
Sec. 1438. Administrative expenses
(a) Repealed. Pub. L. 101-73, title VII, Sec. 712, Aug. 9, 1989, 103
Stat. 419
(b) Assessments for administrative expenses
(1) In general
The Board may impose a semiannual assessment on the Federal Home
Loan Banks, the aggregate amount of which is sufficient to provide
for the payment of the Board's estimated expenses for the period for
which such assessment is made.
(2) Deficiencies
If, at any time, amounts available from any assessment for any
semiannual period are insufficient to cover the expenses of the
Board incurred in carrying out the provisions of this chapter during
such period, the Board may make an immediate assessment against the
Banks to cover the amount of the deficiency for such semiannual
period.
(3) Surpluses
If, at the end of any semiannual period for which an assessment
is made, any amount remains from such assessment, such amount will
be deducted from the assessment on the Banks by the Board for the
following semiannual period.
(c) Quarters and facilities; advances of funds; obligations of United
States; legal investments; approval of plans and designs;
custody, management, and control; receipts; expense exclusions;
property defined; budget preparation program; audit; zoning
regulations; delegation of functions; limitation on obligations
(1) The Director of the Office of Thrift Supervision, utilizing the
services of the Administrator of General Services (hereinafter referred
to as the ``Administrator''), and subject to any limitation hereon which
may hereafter be imposed in appropriation Acts, is hereby authorized--
(A) to acquire, in the name of the United States, real property
in the District of Columbia, for the purposes set forth in this
subsection;
(B) to construct, develop, furnish, and equip such buildings
thereon and such facilities as in its judgment may be appropriate to
provide, to such extent as the Director of the Office of Thrift
Supervision may deem advisable, suitable and adequate quarters and
facilities for the Director of the Office of Thrift Supervision and
the agencies under its administration or supervision;
(C) to enlarge, remodel, or reconstruct any of the same; and
(D) to make or enter into contracts for any of the foregoing.
(2) The Director of the Office of Thrift Supervision may require of
the respective banks, and they shall make to the Director of the Office
of Thrift Supervision, such advances of funds for the purposes set out
in paragraph (1) as in the sole judgment of the Director of the Office
of Thrift Supervision may from time to time be advisable. Such advances
shall be in addition to the assessments authorized in subsection (b) of
this section and shall be apportioned by the Director of the Office of
Thrift Supervision among the banks in proportion to the total assets of
the respective banks, determined in such manner and as of such times as
the Director of the Office of Thrift Supervision may prescribe. Each
such advance shall bear interest at the rate of 4\1/2\ per centum per
annum from the date of the advance and shall be repaid by the Director
of the Office of Thrift Supervision in such installments and over such
period, not longer than twenty-five years from the making of the
advance, as the Director of the Office of Thrift Supervision may
determine. Payments of interest and principal upon such advances shall
be made from receipts of the Director of the Office of Thrift
Supervision or from other sources which may from time to time be
available to the Director of the Office of Thrift Supervision. The
obligation of the Director of the Office of Thrift Supervision to make
any such payment shall not be regarded as an obligation of the United
States. To such extent as the Director of the Office of Thrift
Supervision may prescribe any such obligation shall be regarded as a
legal investment for the purposes of subsections (g) and (h) of section
1431 of this title and for the purposes of section 1436 of this title.
(3) The plans and designs for such buildings and facilities and for
any such enlargement, remodeling, or reconstruction shall, to such
extent as the chairperson of \1\ the Director of the Office of Thrift
Supervision may request, be subject to his approval.
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\1\ So in original. Words ``the chairperson of'' probably should not
appear.
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(4) Upon the making of arrangements mutually agreeable to the
Director of the Office of Thrift Supervision and the Administrator,
which arrangements may be modified from time to time by mutual agreement
between them and may include but shall not be limited to the making of
payments by the Director of the Office of Thrift Supervision and such
agencies to the Administrator and by the Administrator to the Director
of the Office of Thrift Supervision, the custody, management, and
control of such buildings and facilities and of such real property shall
be vested in the Administrator in accordance therewith. Until the making
of such arrangements such custody, management, and control, including
the assignment and allotment and the reassignment and reallotment of
building and other space, shall be vested in the Director of the Office
of Thrift Supervision.
(5) Any proceeds (including advances) received by the Director of
the Office of Thrift Supervision in connection with this subsection, and
any proceeds from the sale or other disposition of real or other
property acquired by the Director of the Office of Thrift Supervision
under this subsection, shall be considered as receipts of the Director
of the Office of Thrift Supervision, and obligations and expenditures of
the Director of the Office of Thrift Supervision and such agencies in
connection with this subsection shall not be considered as
administrative expenses. As used in this subsection, the term
``property'' shall include interests in property.
(6) With respect to its functions under this subsection the Director
of the Office of Thrift Supervision shall (A) annually prepare and
submit a budget program as provided in chapter 91 of title 31 with
regard to wholly owned Government corporations, and for purposes of this
sentence, the terms ``wholly owned Government corporations'' and
``Government corporations,'' wherever used in such chapter, shall
include the Director of the Office of Thrift Supervision, and (B)
maintain an integral set of accounts which shall be audited by the
General Accounting Office in accordance with the principles and
procedures applicable to commercial corporate transactions as provided
in such title, and no other settlement or adjustment shall be required
with respect to transactions under this subsection or with respect to
claims, demands, or accounts by or against any person arising
thereunder. The first budget program shall be for the first full fiscal
year beginning on or after the date of the enactment of this subsection.
Except as otherwise provided in this subsection or by the Director of
the Office of Thrift Supervision, the provisions of this subsection and
the functions thereby or thereunder subsisting shall be applicable and
exercisable notwithstanding and without regard to the Act of June 20,
1938, except that the proviso of section 16 thereof shall apply to any
building constructed under this subsection, and section 306 of the Act
of July 30, 1947 (61 Stat. 584), or any other provision of law relating
to the construction, alteration, repair, or furnishing of public or
other buildings or structures or the obtaining of sites therefor, but
any person or body in whom any such function is vested may provide for
delegation or redelegation of the exercise of such function.
(7) No obligation shall be incurred and no expenditure, except in
liquidation of obligation, shall be made pursuant to the first two
subparagraphs of paragraph (1) of this subsection if the total amount of
all obligations incurred pursuant thereto would thereupon exceed
$13,200,000, or such greater amount as may be provided in an
appropriation Act or other law.
(July 22, 1932, ch. 522, Sec. 18, 47 Stat. 737; Pub. L. 89-754, title X,
Sec. 1016(b), Nov. 3, 1966, 80 Stat. 1293; Pub. L. 101-73, title VII,
Secs. 701(b)(2), (b)(3)(B), 711, 712, Aug. 9, 1989, 103 Stat. 412, 419;
Pub. L. 104-66, title II, Sec. 2191, Dec. 21, 1995, 109 Stat. 732; Pub.
L. 106-102, title VI, Sec. 606(h), Nov. 12, 1999, 113 Stat. 1455.)
References in Text
Date of the enactment of this subsection and fiscal year in which
this subsection is enacted, referred to in subsec. (c)(6), mean Nov. 3,
1966, the date of enactment of Pub. L. 89-754, and fiscal year 1967,
respectively.
Act of June 20, 1938, referred to in subsec. (c)(6), is act June 20,
1938, ch. 534, 52 Stat. 797, as amended, which is not classified to the
Code.
Section 306 of the Act of July 30, 1947, referred to in subsec.
(c)(6), is section 306 of act July 30, 1947, ch. 358, 61 Stat. 584,
which is set out, in part, as a note under section 585 of Title 40,
Public Buildings, Property, and Works. The remainder of section 306 of
act of July 30, 1947, was set out as a note under section 19 of former
Title 40, Public Buildings, Property, and Works, and has been omitted
from the Code.
Codification
Subsec. (c)(6) is set out in this supplement to change translation
appearing in main edition.
In subsec. (c)(6), ``chapter 91 of title 31'' and ``such chapter''
substituted for ``title I of the Government Corporation Control Act [31
U.S.C. 846 et seq.]'' and ``such title'', respectively, on authority of
Pub. L. 97-258, Sec. 4(b), Sept. 13, 1982, 96 Stat. 1067, the first
section of which enacted Title 31, Money and Finance.
Amendments
1999--Subsec. (b)(4). Pub. L. 106-102 struck out heading and text of
par. (4). Text read as follows: ``On or after the effective date of the
Financial Institutions Reform, Recovery, and Enforcement Act of 1989,
the Board may levy a one-time special assessment on the Banks pursuant
to this subsection for the Board's estimated expenses for the
transitional period following enactment of such Act, if such assessment
is made before the Board's first semiannual assessment under paragraph
(1).''
1995--Subsec. (c)(6)(B). Pub. L. 104-66 struck out ``annually''
after ``shall be audited'', substituted ``no other settlement'' for ``no
other audit, settlement,'', and struck out ``, and the first audit shall
be for the remainder of the fiscal year in which this subsection is
enacted'' after ``enactment of this subsection''.
1989--Subsec. (a). Pub. L. 101-73, Sec. 712, struck out subsec. (a)
which authorized appropriation of $300,000 for all necessary expenses of
the board, together with expenses preliminary to organization and
establishment of the banks created hereunder, until the end of the
fiscal year 1933.
Subsec. (b). Pub. L. 101-73, Sec. 711, amended subsec. (b)
generally. Prior to amendment, subsec. (b) read as follows: ``The board
shall have power to levy semiannually upon the Federal Home Loan Banks,
and they shall pay, on such equitable basis as the board shall
determine, an assessment sufficient in its judgment to provide for the
payment of its estimated expenses for the half year succeeding the
levying of each such assessment, beginning with the second half of the
calendar year 1933. All expenses of the board incurred in carrying out
the provisions of this chapter, as determined by it, beginning July 1,
1933, shall be paid from the proceeds of such assessments, and if any
deficiency shall occur in such fund at any time between such semiannual
assessments the board shall have power to make an immediate assessment
against the banks to cover such deficiency on the same basis as the
original assessment. If any surplus shall remain from any assessment
after the expiration of the semiannual period for which it was levied,
such surplus may be deducted from the next following assessment. Such
assessments may include such amounts as the board may deem advisable for
carrying out the provisions of subsection (c) of this section.''
Subsec. (c). Pub. L. 101-73, Sec. 701(b)(3)(B), which directed the
amendment of subsec. (c) by striking out ``Federal Home Loan Bank
Board'' and ``board'' each place such terms appear and inserting
``Director of the Office of Thrift Supervision'', was executed by
substituting ``Director of the Office of Thrift Supervision'' for
``board'' wherever such term appeared. The term ``Federal Home Loan Bank
Board'' did not appear in subsec. (c).
Subsec. (c)(3). Pub. L. 101-73, Sec. 701(b)(2), substituted
``chairperson'' for ``chairman''.
1966--Subsec. (b). Pub. L. 89-754, Sec. 1016(b)(1), provided that
assessments may include such amounts as the board may deem advisable for
carrying out provisions of subsec. (c).
Subsec. (c). Pub. L. 89-754, Sec. 1016(b)(2), added subsec. (c).