,,ii ,cal5d> ,no4 #egi #aac? ,,congress #b;d ,session ,s4 #abag ,,9 ,,! ,,s5ate ,,( ,,! ,,unit$ ,,/ates ,june #be1 #bjac,mr4 ,cork] 7= himself1 ,mr4 ,w>n]1 ,mr4 ,johanns1 ,mr4 ,te/]1 ,mr4 ,hell]1 ,ms4 ,heitkamp1 ,mr4 ,moran1 ,mrs4 ,hagan1 ,mr4 ,kirk1 ,mr4 ,man*91 ,mr4 ,*ambliss1 & ,mr4 ,begi*7 introduc$ ! foll[+ bill2 :i* 0 read twice & ref]r$ to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ,septemb] #ah1 #bjad,report$ by ,mr4 ,johnson ( ,s\? ,dakota1 ) an amendment,strike out all aft] ! enact+ clause & ins]t ! "p pr9t$ 9 italic ,a ,,bill ,to provide second>y mortgage m>ket re=m1 & = o!r purposes4 #a4 ,%ort title2 table ( cont5ts 7a7 ,%ort title ,?is ,act may be cit$ z ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjac4 7b7 ,table ( ,cont5ts ,! table ( cont5ts = ?is ,act is z foll[s3 ,sec4 #a4 ,%ort title2 table ( cont5ts4,sec4 #b4 ,def9itions4,,title ,i--,f$]al ,mortgage ,insurance ,corporation,sec4 #aja4 ,e/abli%m5t4,sec4 #ajb4 ,director4,sec4 #ajc4 ,bo>d ( ,directors4,sec4 #ajd4 ,(fice ( ! ,inspector ,g5]al4,sec4 #aje4 ,/aff1 exp]ts1 & consultants4,sec4 #ajf4 ,reports2 te/imony2 audits4,sec4 #ajg4 ,initial fund+4,,title ,,ii--,duties1 ,responsibilities1 & ,/ructure ( ! ,f,m,i,c,subtitle ,a--,duties & ,authorities,sec4 #bja4 ,duties & responsibilities ( ! ,,fmic4,sec4 #bjb4 ,/&>d =m cr$it risk-%>+ me*anisms1 products1 /ructures1 contracts1 or o!r security agreem5ts4,sec4 #bjc4 ,mortgage ,insurance ,fund4,sec4 #bjd4 ,insurance4,sec4 #bje4 ,au?ority to protect taxpay]s 9 unusual & exig5t m>ket conditions4,sec4 #bjf4 ,g5]al p[]s4,sec4 #bjg4 ,exemptions4,subtitle ,b--,ov]sight ( m>ket participants,sec4 #baa4 ,approval ( private mortgage insur]s4,sec4 #bab4 ,approval ( s]vic]s4,sec4 #bac4 ,approval ( issu]s4,sec4 #bad4 ,approval ( bond gu>antors4,sec4 #bae4 ,au?ority to e/abli% ,,fmic ,mutual ,securitization ,company4,sec4 #baf4 ,additional au?ority relat+ to ov]sight ( m>ket p>ticipants4,sec4 #bag4 ,civil money p5alties4,sec4 #bah4 ,protection ( privilege & o!r matt]s relat+ to disclosures by m>ket p>ticipants4,subtitle ,c--,transp>5cy 9 m>ket operations,sec4 #bba4 ,review ( loan docum5ts2 disclosures4,sec4 #bbb4 ,inve/or immunity4,sec4 #bbc4 ,uni=m securitization agreem5ts4,sec4 #bbd4 ,uni=m mortgage database4,sec4 #bbe4 ,electronic regi/ration ( eligible mortgages4,subtitle ,d--,,fmic ,structure,sec4 #bca4 ,(fice ( ,und]writ+4,sec4 #bcb4 ,(fice ( ,securitization4,sec4 #bcc4 ,(fice ( ,f$]al ,home ,loan ,bank ,sup]vision4,,title ,,iii--,transf] ( p[]s1 p]sonnel1 & prop]ty to ,,fmic f ,f,h,f,a,sec4 #cja4 ,p[]s & duties transf]r$4,sec4 #cjb4 ,transf] & rights ( employees ( ! ,,fhfa4,sec4 #cjc4 ,aboli%m5t ( ,,fhfa4,sec4 #cjd4 ,transf] ( prop]ty & facilities4,sec4 #cje4 ,te*nical & con=m+ am5dm5ts4,,title ,,iv--,improv+ transp>5cy1 acc\ntability1 & efficacy )9 af=dable housing,sec4 #dja4 ,af=dable h\s+ allocations4,sec4 #djb4 ,h\s+ ,tru/ ,fund4,sec4 #djc4 ,capital ,magnet ,fund4,sec4 #djd4 ,additional taxpay] protections4,,title ,v--,w9d ,d[n ( ,fannie ,mae & ,fr$die ,mac,sec4 #eja4 ,repeal ( ,,gse *>t]s4,sec4 #ejb4 ,w9d d[n4,sec4 #ejc4 ,align+ purpose ( cons]vator%ip ) ,,fmic4,sec4 #ejd4 ,con=m+ loan limits4,sec4 #eje4 ,portfolio r$uction4,sec4 #ejf4 ,repeal ( m&atory h\s+ goals4,,title ,,vi--,improvem5ts to function+ ( h\s+ market,sec4 #fja4 ,cont9uation ( multifamily bus9ess ( ! ent]prises4,sec4 #fjb4 ,multiple l5d] issues4,sec4 #fjc4 ,,gao report on full privatization ( second>y mortgage m>ket4,,title ,,vii--,g5]al provisions,sec4 #gja4 ,au?ority to issue regulations4,sec4 #gjb4 ,fair value acc\nt+4,sec4 #gjc4 ,rule ( con/ruction4,sec4 #gjd4 ,sev]ability4 #b4 ,def9itions ,z us$ 9 ?is ,act1 ! foll[+ def9itions %all apply3 7#a7 ,approv$ bond gu>antor ,! t]m approv$ bond gu>antor means any entity t provides cr$it enhancem5t t is approv$ by ! ,corporation pursuant to section #bad to gu>antee ! timely paym5t ( pr9cipal & int]e/ on securities collat]aliz$ by eligible mortgages & insur$ by ! ,corporation4 7#b7 ,approv$ issu] ,! t]m approv$ issu] means an issu] t is approv$ by ! ,corporation pursuant to section #bac-- 7,a7 to issue cov]$ securities2 & 7,b7 to pur*ase insurance (f]$ by ! ,corporation pursuant to title ,,ii on a cov]$ security = :i* fir/ loss cr$it enhancem5t has be5 secur$4 7#c7 ,approv$ private mortgage insur] ,! t]m approv$ private mortgage insur] means an insur] t is approv$ by ! ,corporation pursuant to section #baa to provide private mortgage insurance on eligible mortgages4 7#d7 ,approv$ s]vic] ,! t]m approv$ s]vic] means a s]vic] t is approv$ by ! ,corporation pursuant to section #bab to adm9i/] eligible mortgages4 7#e7 ,area ,! t]m area-- 7,a7 means a metropolitan /ati/ical area z e/abli%$ by ! ,(fice ( ,managem5t & ,budget2 & 7,b7 = purposes ( p>agraph 7#aa77;,a77ii71 ! m$ian #a-;family h\se price = an area %all be equal to ! m$ian #a-;family h\se price ( ! c\nty )9 ! area t has ! highe/ su* m$ian price4 7#f7 ,bo>d2 ,bo>d ( ,directors ,! t]ms ,bo>d & ,bo>d ( ,directors mean ! ,bo>d ( ,directors ( ! ,f$]al ,mortgage ,insurance ,corporation4 7#g7 ,*>t] ,! t]m *>t] means-- 7,a7 ) respect to ! ,f$]al ,national ,mortgage ,association1 ! ,f$]al ,national ,mortgage ,association ,*>t] ,act 7#ab ,u4,s4,c4 #agaf et seq472 & 7,b7 ) respect to ! ,f$]al ,home ,loan ,mortgage ,corporation1 ! ,f$]al ,home ,loan ,mortgage ,corporation ,act 7#ab ,u4,s4,c4 #adea et seq474 7#h7 ,corporation ,! t]m ,corporation means ! ,f$]al ,mortgage ,insurance ,corporation e/abli%$ "u title ,i4 7#i7 ,cov]$ security ,! t]m cov]$ security means a mortgage-back$ security-- 7,a7 collat]aliz$ by eligible mortgages2 7,b7 :i* is issu$ subject to a /&>d =m cr$it-risk %>+ me*anism1 product1 /ructure1 contract1 or o!r securitization agreem5t develop$ by ! ,corporation pursuant to title ,,ii2 & 7,c7 :i* is eligible = insurance by ! ,corporation pursuant to title ,,ii1 :i* insurance is pur*as$ by an approv$ issu] :o issues cov]$ securities4 7#aj7 ,director ,! t]m ,director means ! ,director ( ! ,f$]al ,mortgage ,insurance ,corporation1 unless ! context o!rwise requires4 7#aa7 ,eligible mortgage ,! t]m eligible mortgage means a mortgage-- 7,a7 t is a resid5tial real e/ate loan secur$ by a prop]ty ) #a to #d s+le family units t has be5 orig9at$ 9 compliance ) ! provisions ( section #ajbf ( title #ab ( ! ,code ( ,f$]al ,regulations1 z promulgat$ by ! ,bureau ( ,consum] ,f9ancial ,protection pursuant to section #abi;,c7b7 ( ! ,tru? 9 ,l5d+ ,act 7#ae ,u4,s4,c4 #afci;c7b77 7commonly ref]r$ to z ! ,ability-to-,repay & ,qualifi$ ,mortgage ,rule72 7,b7 has a maximum orig9al pr9cipal obligation am\nt t does n exce$ ! con=m+ loan limitation det]m9$ "u section #ejd2 7,c7 ! out/&+ pr9cipal balance ( :i* at ! "t ( pur*ase ( insurance available "u title ,,ii-- 7i7 is less ?an #hj p]c5t ( ! value ( ! prop]ty secur+ ! mortgage2 7ii7 is n less ?an #hj p]c5t b n m ?an #he p]c5t ( ! value ( ! prop]ty secur+ ! mortgage1 provid$ t n less ?an #ab p]c5t ( ! unpaid pr9cipal balance ( ! mortgage1 acc\nt+ = any d[npaym5t requir$ "u subp>agraph 7,d71 is insur$ by-- 7,i7 an approv$ private mortgage insur]2 or 7,,ii7 l5d] rec\rse or o!r cr$it enhancem5t t-- 7aa7 meets /&>ds comp>able to ! /&>ds requir$ ( private mortgage insur]s "u section #baa2 & 7bb7 is approv$ by ! ,corporation2 7iii7 is n less ?an #he p]c5t b n m ?an #ij p]c5t ( ! value ( ! prop]ty secur+ ! mortgage1 provid$ t n less ?an #be p]c5t ( ! unpaid pr9cipal balance ( ! mortgage1 acc\nt+ = any d[npaym5t requir$ "u subp>agraph 7,d71 is insur$ by-- 7,i7 an approv$ private mortgage insur]2 or 7,,ii7 l5d] rec\rse or o!r cr$it enhancem5t t-- 7aa7 meets /&>ds comp>able to ! /&>ds requir$ ( private mortgage insur]s "u section #baa2 & 7bb7 is approv$ by ! ,corporation2 or 7iv7 is n less ?an #ij p]c5t b n m ?an #ie p]c5t ( ! value ( ! prop]ty secur+ ! mortgage1 provid$ t n less ?an #cj p]c5t ( ! unpaid pr9cipal balance ( ! mortgage1 acc\nt+ = any d[npaym5t requir$ "u subp>agraph 7,d71 is insur$ by-- 7,i7 an approv$ private mortgage insur]2 or 7,,ii7 l5d] rec\rse or o!r cr$it enhancem5t t-- 7aa7 meets /&>ds comp>able to ! /&>ds requir$ ( private mortgage insur]s "u section #baa2 & 7bb7 is approv$ by ! ,corporation2 7,d7 hav+ a d[npaym5t :i* %all be equal to n less ?an #e p]c5t ( pur*ase price ( ! prop]ty secur+ ! mortgage2 7,e7 t is insur$ by an approv$ ,/ate lic5s$ title insurance company2 7,f7 t conta9s su* t]ms & provisions ) respect to insurance1 prop]ty ma9t5ance1 repairs1 alt]ations1 paym5t ( taxes1 default1 res]ves1 del9qu5cy *>ges1 =eclosure proce$+s1 anticipation ( maturity1 additional & second>y li5s1 & o!r matt]s1 includ+ matt]s t set =? t]ms & provisions = e/abli%+ escr[ acc\nts1 p]=m+ f9ancial assessm5ts1 or limit+ ! am\nt ( any paym5t made available "u ! mortgage z ! ,corporation may prescribe2 & 7,g7 t conta9s su* o!r t]ms or *>act]i/ics z ! ,corporation1 9 consultation ) ! ,bureau ( ,consum] ,f9ancial ,protection1 may det]m9e necess>y or appropriate4 7#ab7 ,ent]prise ,! t]m ent]prise means-- 7,a7 ! ,f$]al ,national ,mortgage ,association & any affiliate !re(2 & 7,b7 ! ,f$]al ,home ,loan ,mortgage ,corporation & any affiliate !re(4 7#ac7 ,f$]al bank+ ag5cies ,! t]m-- 7,a7 ,f$]al bank+ ag5cy means1 individually1 ! ,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve ,sy/em1 ! ,(fice ( ! ,comptroll] ( ! ,curr5cy1 ! ,f$]al ,deposit ,insurance ,corporation1 ! ,bureau ( ,consum] ,f9ancial ,protection1 ! ,national ,cr$it ,union ,adm9i/ration1 ! ,securities & ,ex*ange ,commission1 ! ,commodities ,futures ,trad+ ,commission1 ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 & ! ,secret>y ( ! ,treasury2 & 7,b7 ,f$]al bank+ ag5cies means all ( ! ag5cies ref]r$ to 9 subp>agraph 7,a71 collectively4 7#ad7 ,f$]al ,home ,loan ,bank ,! t]m ,f$]al ,home ,loan ,bank means a bank e/abli%$ "u ! au?ority ( ! ,f$]al ,home ,loan ,bank ,act 7#ab ,u4,s4,c4 #adba et seq474 7#ae7 ,f$]al ,home ,loan ,bank ,sy/em ,! t]m ,f$]al ,home ,loan ,bank ,sy/em means ! ,f$]al ,home ,loan ,banks & ! ,(fice ( ,f9ance & any au?oriz$ subsidi>y ( "o or m ,f$]al ,home ,loan ,banks4 7#af7 ,,fmic c]tification date ,! t]m ,,fmic c]tification date means ! date on :i* ! ,bo>d ( ,directors c]tifies t ! ,corporation is op]ational & able to p]=m ! insurance functions = cov]$ securities z provid$ 9 ?is ,act1 :i* date %all be n lat] ?an #e ye>s aft] ! date ( enactm5t ( ?is ,act4 7#ag7 ,insur$ depository in/itution ,! t]m insur$ depository in/itution means-- 7,a7 an insur$ depository in/itution1 z def9$ "u section #c ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahac72 & 7,b7 a cr$it union t meets ! def9ition ( depository in/itution z t t]m is def9$ "u section #ai7;b7 ( ! ,f$]al ,res]ve ,act 7#ab ,u4,s4,c4 #dfa74 7#ah7 ,s5ior ,pref]r$ ,/ock ,pur*ase ,agreem5t def9$ ,! t]m ,s5ior ,pref]r$ ,/ock ,pur*ase ,agreem5t means-- 7,a7 ! ,am5d$ & ,re/at$ ,s5ior ,pref]r$ ,/ock ,pur*ase ,agreem5t1 dat$ ,septemb] #bf1 #bjjh1 z su* ,agreem5t has be5 am5d$ on ,may #f1 #bjji1 ,decemb] #bd1 #bjji1 & ,augu/ #ag1 #bjab1 respectively1 & z su* ,agreem5t may be fur!r am5d$ & re/at$1 ent]$ into betwe5 ! ,dep>tm5t ( ! ,treasury & ea* ent]prise1 z applicable2 & 7,b7 any provision ( any c]tificate 9 connection ) su* ,agreem5t creat+ or designat+ ! t]ms1 p[]s1 pref]5ces1 privileges1 limitations1 or any o!r conditions ( ! ,v>iable ,liquidation ,pref]5ce ,s5ior ,pref]r$ ,/ock ( an ent]prise issu$ or sold pursuant to su* ,agreem5t4 7#ai7 ,transf] date ,! t]m transf] date means ! date t is #a ye> aft] ! date ( enactm5t ( ?is ,act4 ,i ,f$]al ,mortgage ,insurance ,corporation #aja4 ,e/abli%m5t 7a7 ,e/abli%m5t ,!re is h]eby e/abli%$ ! ,f$]al ,mortgage ,insurance ,corporation :i* %all h ! p[]s h]e9aft] grant$4 7b7 ,purpose ,! purpose ( ! ,corporation %all be to-- 7#a7 provide liquidity1 transp>5cy1 & access to mortgage cr$it by support+ a robu/ second>y mortgage m>ket & ! production ( resid5tial mortgage-back$ securities2 & 7#b7 protect ! taxpay] f hav+ to absorb losses incurr$ 9 ! second>y mortgage m>ket dur+ p]iods ( economic /ress4 7c7 ,f$]al ,/atus ,! ,corporation %all be an indep5d5t ag5cy ( ! ,f$]al ,gov]nm5t4 7d7 ,succession ,! ,corporation %all h succession until dissolv$ by ,act ( ,congress4 7e7 ,pr9cipal (fice ,! ,corporation %all ma9ta9 its pr9cipal (fice 9 ! ,di/rict ( ,columbia & %all be deem$1 = purposes ( v5ue 9 civil actions1 to be a resid5t !re(4 7f7 ,au?ority ,to e/abli% o!r (fices ,! ,corporation may e/abli% su* o!r (fices 9 su* o!r place or places z ! ,corporation may deem necess>y or appropriate 9 ! conduct ( its bus9ess4 7g7 ,prohibition ,! ,corporation %all n engage 9 mortgage orig9ation4 #ajb4 ,director 7a7 ,e/abli%m5t ( position ,!re is e/abli%$ ! position ( ! ,director ( ! ,corporation1 :o %all be ! head ( ! ,corporation4 7b7 ,appo9tm5t2 t]m 7#a7 ,appo9tm5t ,! ,director %all be appo9t$ by ! ,presid5t1 by & ) ! advice & cons5t ( ! ,s5ate1 f among individuals :o-- 7,a7 are citiz5s ( ! ,unit$ ,/ates2 & 7,b7 h a demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 & practical1 discipl9>y1 vocational1 or regulatory exp]i5ce work+ 91 ! mortgage securities m>kets & h\s+ f9ance4 7#b7 ,t]m ,! ,director %all be appo9t$ = a t]m ( #e ye>s1 unless remov$ be=e ! end ( su* t]m = cause by ! ,presid5t4 7#c7 ,vacancy 7,a7 ,9 g5]al ,a vacancy 9 ! position ( ,director t occurs be=e ! expiration ( ! t]m = :i* a ,director 0 appo9t$ %all be fill$ 9 ! mann] e/abli%$ "u p>agraph 7#a71 & ! ,director appo9t$ to fill su* vacancy %all be appo9t$ only = ! rema9d] ( su* t]m4 7,b7 ,act+ ,director 7i7 ,designation by ! ,presid5t 7,i7 ,eligible individuals ,if ! ,s5ate has n confirm$ a ,director1 ! ,presid5t may designate ei!r ! individual nom9at$1 b n yet confirm$1 = ! position ( ,director or a memb] ( ! ,bo>d ( ,directors to s]ve z ! ,act+ ,director1 & su* ,act+ ,director %all h all ! rights1 duties1 p[]s1 & responsibilities ( ! ,director1 until su* "t z a ,director is confirm$ by ! ,s5ate4 7,,ii7 ,limitation ,no individual may s]ve concurr5tly z ! ,act+ ,director ( ! ,corporation & ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy4 7#d7 ,s]vice aft] end ( t]m ,an individual may s]ve z ! ,director aft] ! expiration ( ! t]m = :i* appo9t$ until a successor has be5 appo9t$4 7#e7 ,comp5sation ,! ,director %all be comp5sat$ at ! rate prescrib$ = level ,,ii ( ! ,executive ,s*$ule "u section #ecac ( title #e1 ,unit$ ,/ates ,code4 7#f7 ,rules ( con/ruction ,no individual-- 7,a7 may s]ve concurr5tly z ! ,director ( ! ,corporation & ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy2 & 7,b7 t has1 at any "t prior to1 on1 or aft] ! date ( enactm5t ( ?is ,act1 s]v$ z ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy may s]ve z ! ,director ( ! ,corporation4 7c7 ,memb]%ip on ,,fsoc ,! ,dodd-,frank ,wall ,/reet ,re=m & ,consum] ,protection ,act is am5d$-- 7#a7 9 section #b1 by am5d+ p>agraph 7#ab77;,e7 to read z foll[s3 7,e7 ! ,f$]al ,mortgage ,insurance ,corporation1 ) respect to-- 7i7 ! ,mortgage ,insurance ,fund e/abli%$ "u title ,,ii ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjac2 & 7ii7 ! ,f$]al ,home ,loan ,banks or ! ,f$]al ,home ,loan ,bank ,sy/em4 2 & 7#b7 9 section #aaa7;b77#a77;,h71 by /rik+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation4 #ajc4 ,bo>d ( ,directors 7a7 ,bo>d ( ,directors 7#a7 ,vot+ memb]s ,! managem5t ( ! ,corporation %all be ve/$ 9 a ,bo>d ( ,directors consi/+ ( #e vot+ memb]s-- 7,a7 #a ( :om %all be ! ,director1 :o %all s]ve z ,*airp]son ( ! ,bo>d2 & 7,b7 #d ( :om %all be appo9t$ by ! ,presid5t1 by & ) ! advice & cons5t ( ! ,s5ate1 f among individuals :o are citiz5s ( ! ,unit$ ,/ates-- 7i7 #a ( :om %all h demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 & practical1 discipl9>y1 vocational1 or regulatory exp]i5ce work+ 91 ! field ( asset managem5t2 7ii7 #a ( :om %all h demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 & practical1 discipl9>y1 vocational1 or regulatory exp]i5ce work+ 91 mortgage insurance m>kets2 7iii7 #a ( :om %all h a demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 & practical1 discipl9>y1 vocational1 or regulatory exp]i5ce work+ )1 l5d]s hav+ less ?an #aj1jjj1jjj1jjj 9 total assets2 & 7iv7 #a ( :om %all h a demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 & practical1 discipl9>y1 vocational1 or regulatory exp]i5ce work+ )1 multifamily h\s+ developm5t4 7#b7 ,non-vot+ memb] ,! ,presid5t %all appo9t ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy z an additional non-vot+ memb] ( ! ,bo>d ( ,directors4 ,! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy %all s]ve z non-vot+ memb] ( ! ,bo>d ( ,directors until su* "t z t position is aboli%$ pursuant to title ,,iii4 7#c7 ,indep5d5ce 7,a7 ,9 g5]al ,ea* vot+ memb] ( ! ,bo>d ( ,directors %all be indep5d5t & neutral & ma9ta9 a fiduci>y relation%ip to ! ,corporation 9 p]=m+ 8 or h] duties4 7,b7 ,indep5d5ce det]m9ation ,9 ord] to be consid]$ indep5d5t = purposes ( ?is p>agraph1 a vot+ memb] ( ! ,bo>d ( ,directors-- 7i7 may n1 o!r ?an 9 8 or h] capacity z a memb] ( ! ,bo>d ( ,directors or any committee !re(-- 7,i7 accept any consult+1 advisory1 or o!r comp5satory fee f ! ,corporation2 or 7,,ii7 be a p]son associat$ ) ! ,corporation or ) any affiliat$ company !re(2 & 7ii7 %all be disqualifi$ f any delib]ation involv+ any transaction ( ! ,corporation 9 :i* ! memb] has a f9ancial int]e/ 9 ! outcome ( ! transaction4 7#d7 ,rule ( con/ruction ,no individual t has1 at any "t prior to1 on1 or aft] ! date ( enactm5t ( ?is ,act1 s]v$ z ! ,director or ,act+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy may s]ve z a vot+ memb] ( ! ,bo>d ( ,directors4 7b7 ,adm9i/ration ,except z o!rwise may provid$ 9 ?is ,act1 ! ,bo>d ( ,directors %all adm9i/] ! affairs ( ! ,corporation fairly & imp>tially & )\t discrim9ation4 7c7 ,consultation ,! ,bo>d ( ,directors may1 9 c>ry+ out any duty1 responsibility1 requirem5t1 or action au?oriz$ "u ?is ,act1 consult ) ! ,f$]al bank+ ag5cies or any individual ,f$]al bank+ ag5cy1 z ! ,bo>d det]m9es necess>y & appropriate4 7d7 ,t]ms 7#a7 ,appo9t$ memb]s ,ea* appo9t$ vot+ memb] %all be appo9t$ = a t]m ( #e ye>s & %all s]ve on a full-"t basis4 7#b7 ,int]im appo9tm5ts ,any vot+ memb] appo9t$ to fill a vacancy occurr+ be=e ! expiration ( ! t]m = :i* su* memb]'s pr$ecessor 0 appo9t$ %all be appo9t$ only = ! rema9d] ( su* t]m4 7#c7 ,cont9uation ( s]vice ,! ,*airp]son & ea* appo9t$ vot+ memb] may cont9ue to s]ve aft] ! expiration ( ! t]m ( (fice to :i* su* memb] 0 appo9t$ until a successor has be5 appo9t$ & qualifi$4 7e7 ,vacancy ,a vacancy 9 ! vot+ memb]%ip ( ! ,bo>d ( ,directors %all n affect ! p[]s ( ! ,bo>d1 & %all be fill$ 9 ! mann] 9 :i* ! orig9al appo9tm5t 0 made4 7f7 ,vot+ ,a majority vote ( all vot+ memb]s ( ! ,bo>d ( ,directors is necess>y to resolve all vot+ issues ( ! ,corporation4 7g7 ,meet+s ,! ,bo>d ( ,directors %all meet 9 accordance ) ! bylaws ( ! ,corporation-- 7#a7 at ! call ( ! ,*airp]son2 & 7#b7 n less frequ5tly ?an once ea* mon?4 7h7 ,quorum ,?ree vot+ memb]s ( ! ,bo>d ( ,directors !n 9 (fice %all con/itute a quorum4 7i7 ,bylaws ,a majority ( ! vot+ memb]s ( ! ,bo>d ( ,directors may am5d ! bylaws ( ! ,corporation4 7j7 ,att5dance ,memb]s ( ! ,bo>d ( ,directors may att5d meet+s ( ! ,corporation & vote 9 p]son1 via telephone conf]5ce1 or via video conf]5ce4 7k7 ,ineligibility = o!r (fices dur+ s]vice 7#a7 ,9 g5]al ,no vot+ memb] ( ! ,bo>d ( ,directors may dur+ ! "t su* memb] is 9 (fice-- 7,a7 be an (fic] or director ( any insur$ depository in/itution1 depository in/itution hold+ company1 ,f$]al ,res]ve bank1 ,f$]al home loan bank1 approv$ s]vic]1 approv$ private mortgage insur]1 in/itution t orig9ates eligible mortgages1 or in/itution t issues a cov]$ security2 or 7,b7 hold /ock or a controll+ int]e/ 9 any insur$ depository in/itution or depository in/itution hold+ company1 approv$ s]vic]1 approv$ private mortgage insur]1 in/itution t orig9ates eligible mortgages1 or in/itution t issues a cov]$ security4 7#b7 ,c]tification ,^u tak+ (fice1 ea* vot+ memb] ( ! ,bo>d ( ,directors %all c]tify "u oa? t su* memb] has compli$ ) ?is subsection & su* c]tification %all be fil$ ) ! secret>y ( ! ,bo>d ( ,directors4 7l7 ,/atus ( employees 7#a7 ,9 g5]al ,a director1 memb]1 (fic]1 or employee ( ! ,corporation has no liability "u ! ,securities ,act ( #aicc 7#ae ,u4,s4,c4 #gg;a et seq47 ) respect to any claim aris+ out ( or result+ f any act or omission by su* p]son )9 ! scope ( su* p]son's employm5t 9 connection ) any transaction involv+ ! ,corporation4 ,?is subsection %all n be con/ru$ to limit p]sonal liability = crim9al acts or omissions1 willful or malici\s misconduct1 acts or omissions = private ga91 or any o!r acts or omissions outside ! scope ( su* p]son's employm5t4 7#b7 ,effect on o!r law 7,a7 ,9 g5]al ,?is subsection does n affect-- 7i7 any o!r immunities & protections t may be available to su* p]son "u applicable law ) respect to su* transactions2 or 7ii7 any o!r "r or rem$y aga9/ ! ,corporation1 aga9/ ! ,unit$ ,/ates "u applicable law1 or aga9/ any p]son o!r ?an a p]son describ$ 9 p>agraph 7#a7 p>ticipat+ 9 su* transactions4 7,b7 ,rule ( con/ruction ,?is subsection %all n be con/ru$ to limit or alt] 9 any way ! immunities t are available "u applicable law = ,f$]al (ficials & employees n describ$ 9 ?is subsection4 #ajd4 ,(fice ( ! ,inspector ,g5]al 7a7 ,(fice ( ,inspector ,g5]al 7#a7 ,9 g5]al ,!re is e/abli%$ ! ,(fice ( ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation4 ,! head ( ! ,(fice ( ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation is ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation 79 ?is section ref]r$ to z ! ,inspector ,g5]al71 :o %all be appo9t$ by ! ,presid5t1 by & ) ! advice & cons5t ( ! ,s5ate4 7#b7 ,additional responsibilities ,9 addition to c>ry+ out ! requirem5ts e/abli%$ "u ! ,inspector ,g5]al ,act ( #aigh 7#e ,u4,s4,c4 ,app471 ! ,inspector ,g5]al %all-- 7,a7 conduct1 sup]vise1 & coord9ate audits & inve/igations relat+ to ! programs & op]ations ( ! ,corporation-- 7i7 to ensure t ! fir/ loss position t ! ,corporation requires ( private m>ket hold]s ( cov]$ securities insur$ "u ?is ,act is adequate to cov] losses t might be incurr$ z a result ( adv]se economic conditions1 :]e9 su* conditions are g5]ally consi/5t ) ! economic conditions1 includ+ national home price decl9es1 obs]v$ 9 ! ,unit$ ,/ates dur+ mod]ate to sev]e recessions exp]i5c$ dur+ ! la/ #ajj ye>s2 & 7ii7 ) respect to !-- 7,i7 ov]sight & sup]vision ( ! ,f$]al ,home ,loan ,banks & ! ,f$]al ,home ,loan ,bank ,sy/em2 & 7,,ii7 ! contract+ practices & proc$ures ( ! ,corporation2 & 7,b7 recomm5d policies = ! purpose ( address+ any defici5cies1 ineffici5cies1 gaps1 or failures 9 ! adm9i/ration ( su* programs & op]ations4 7#c7 ,inspector ,g5]al report2 report ( indep5d5t actu>y ,beg9n+ #a ye> aft] ! ,,fmic c]tification date1 & annually !reaft]1 ! ,inspector ,g5]al & an indep5d5t actu>y contract$ = by ! ,director %all ea* conduct an exam9ation & issue a sep>ate report reg>d+-- 7,a7 ! adequacy ( insurance fees *>g$ by ! ,bo>d ( ,directors "u title ,,ii2 & 7,b7 ! adequacy ( ! ,mortgage ,insurance ,fund e/abli%$ "u title ,,ii4 7b7 ,am5dm5ts to ,inspector ,g5]al ,act ( #aigh ,section #aa ( ! ,inspector ,g5]al ,act ( #aigh 7#e ,u4,s4,c4 ,app47 is am5d$-- 7#a7 9 p>agraph 7#a71 by ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation2 aft] ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy22 & 7#b7 9 p>agraph 7#b71 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ! ,f$]al ,h\s+ ,f9ance ,ag5cy14 7c7 ,comp5sation ,! annual rate ( basic pay ( ! ,inspector ,g5]al %all be ! annual rate ( basic pay provid$ = positions at level ,,iii ( ! ,executive ,s*$ule "u section #ecad ( title #e1 ,unit$ ,/ates ,code4 #aje4 ,/aff1 exp]ts1 & consultants 7a7 ,comp5sation 7#a7 ,9 g5]al ,! ,bo>d ( ,directors may appo9t & fix ! comp5sation ( su* (fic]s1 attorneys1 economi/s1 exam9]s1 & o!r employees z may be necess>y = c>ry+ out ! functions ( ! ,corporation4 7#b7 ,rates ( pay ,rates ( basic pay & ! total am\nt ( comp5sation & b5efits = all employees ( ! ,corporation may be-- 7,a7 set & adju/$ by ! ,bo>d ( ,directors )\t reg>d to ! provisions ( *apt] #ea or sub*apt] ,,iii ( *apt] #ec ( title #e1 ,unit$ ,/ates ,code2 & 7,b7 reasonably increas$1 not)/&+ any limitation set =? 9 p>agraph 7#c71 if ! ,bo>d ( ,directors det]m9es su* increases are necess>y to attract & hire qualifi$ employees4 7#c7 ,p>ity ,! ,bo>d ( ,directors may provide additional comp5sation & b5efits to employees ( ! ,corporation1 ( ! same type ( comp5sation or b5efits t are !n be+ provid$ by any ag5cy ref]r$ to "u section #abjf ( ! ,f9ancial ,in/itutions ,re=m1 ,recov]y1 & ,en=cem5t ,act ( #aihi 7#ab ,u4,s4,c4 #ahcc;b7 or1 if n !n be+ provid$1 c\ld be provid$ by su* an ag5cy "u applicable provisions ( law1 rule1 or regulation4 ,9 sett+ & adju/+ ! total am\nt ( comp5sation & b5efits = employees1 ! ,bo>d ( ,directors %all consult ) & seek to ma9ta9 comp>ability ) ! ag5cies ref]r$ to "u section #abjf ( ! ,f9ancial ,in/itutions ,re=m1 ,recov]y1 & ,en=cem5t ,act ( #aihi 7#ab ,u4,s4,c4 #ahcc;b74 7b7 ,detail ( gov]nm5t employees ,^u ! reque/ ( ! ,bo>d ( ,directors1 any ,f$]al ,gov]nm5t employee may be detail$ to ! ,corporation )\t reimbursem5t1 & su* detail %all be )\t int]ruption or loss ( civil s]vice /atus or privilege4 7c7 ,exp]ts & consultants ,! ,bo>d ( ,directors may procure ! s]vices ( exp]ts & consultants z ! ,bo>d consid]s necess>y or appropriate4 7d7 ,te*nical & pr(essional advisory committees ,! ,bo>d ( ,directors may appo9t su* special advisory1 te*nical1 or pr(essional committees z may be useful 9 c>ry+ out ! functions ( ! ,corporation4 #ajf4 ,reports2 te/imony2 audits 7a7 ,reports 7#a7 ,9 g5]al ,! ,corporation %all submit1 on an annual basis1 to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives a writt5 report ( its op]ations1 activities1 budget1 receipts1 & exp5ditures = ! prec$+ #ab-mon? p]iod4 7#b7 ,cont5ts ( report ,! report requir$ "u subsection 7a7 %all include an analysis (-- 7,a7 ) respect to ! ,mortgage ,insurance ,fund e/abli%$ "u section #bjc-- 7i7 ! curr5t f9ancial condition ( ! ,mortgage ,insurance ,fund2 7ii7 ! exposure ( ! ,mortgage ,insurance ,fund to *anges 9 ^? economic factors mo/ likely to affect ! condition ( t fund2 7iii7 a curr5t e/imate ( ! res\rces ne$$ = ! ,mortgage ,insurance ,fund to a*ieve ! purposes ( ?is ,act2 & 7iv7 any f9d+s1 conclusions1 & recomm5dations = legislative & adm9i/rative actions consid]$ appropriate to ! future activities ( ! ,corporation2 7,b7 ! second>y mortgage m>ket1 ! h\s+ m>ket1 & ! economy1 includ+ ?r\gh use ( /ress te/s1 & h[ su* analysis 0 us$ to det]m9e & set ! res]ve ratio = ! ,mortgage ,insurance ,fund = ! prec$+ #ab-mon? p]iod2 7,c7 :e!r or n ! actual res]ve ratio ( ! ,mortgage ,insurance ,fund met-- 7i7 ! res]ve ratio set = ! prec$+ #ab-mon? p]iod2 or 7ii7 ! res]ve ratio goals e/abli%$ 9 section #bjc7;e72 7,d7 h[ ! ,corporation int5ds to ensure t ! goals set = ! res]ve ratio = ! ,mortgage ,insurance ,fund are to be met & ma9ta9$ = ! next #ab-mon? p]iod1 & su* analysis %all include a detail$ & descriptive plan ( ! actions t ! ,corporation int5ds to take pursuant to its au?orities "u ?is ,act2 7,e7 h[ ! ,corporation has provid$ liquidity1 transp>5cy1 & access to mortgage cr$it 9 its support ( a robu/ second>y mortgage m>ket & ! production ( resid5tial mortgage-back$ securities2 7,f7 ! /ate ( ! private label mortgage-back$ securities m>ket1 & su* analysis %all include ! submission ( a reasonable set ( adm9i/rative1 regulatory1 & legislative proposals on h[ to limit ! ,f$]al ,gov]nm5t's footpr9t 9 ! second>y mortgage m>ket2 7,g7 ! effect t fur!r decreases 9 loan limits w\ld h on ! second>y mortgage m>ket1 ! h\s+ m>ket1 & ! economy2 & 7,h7 ! /ate ( ! global cov]$ bond m>ket4 7b7 ,te/imony ,! ,*airp]son ( ! ,corporation1 on a biannual basis1 %all provide te/imony to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives4 7c7 ,audit ( ,corporation 7#a7 ,annual audit ,! ,comptroll] ,g5]al ( ! ,unit$ ,/ates %all annually audit ! f9ancial transactions ( ! ,corporation 9 accordance ) ! ,unit$ ,/ates g5]ally accept$ gov]nm5t audit+ /&>ds z may be prescrib$ by ! ,comptroll] ,g5]al4 7#b7 ,place ( audit ,! audit requir$ "u ?is subsection %all be conduct$ at ! place or places :]e acc\nts ( ! ,corporation are normally kept4 7#c7 ,access ,! repres5tatives ( ! ,comptroll] ,g5]al %all h access to ! p]sonnel & to all books1 acc\nts1 docum5ts1 pap]s1 records 7includ+ electronic records71 reports1 files1 & all o!r pap]s1 automat$ data1 or prop]ty belong+ to or "u ! control ( or us$ or employ$ by ! ,corporation p]ta9+ to its f9ancial transactions & necess>y to facilitate ! audit requir$ "u ?is subsection1 & su* repres5tatives %all be af=d$ full facilities = v]ify+ transactions ) ! balances or securities held by depositories1 fiscal ag5ts1 & cu/odians4 7#d7 ,possession & cu/ody ,all su* books1 acc\nts1 docum5ts1 records1 reports1 files1 pap]s1 & prop]ty ( ! ,corporation us$ to c>ry out ! audit requir$ "u ?is subsection %all rema9 9 ! possession & cu/ody ( ! ,corporation4 7#e7 ,p]missible duplication ,! ,comptroll] ,g5]al may obta9 & duplicate any su* books1 acc\nts1 docum5ts1 records1 work+ pap]s1 automat$ data & files1 or o!r in=mation relevant to su* audit )\t co/ to ! ,comptroll] ,g5]al & ! ,comptroll] ,g5]al's "r ( access to su* in=mation %all be en=ceable pursuant to section #gaf7;c7 ( title #ca1 ,unit$ ,/ates ,code4 7#f7 ,report 7,a7 ,submission to ,congress ,! ,comptroll] ,g5]al %all submit to ,congress a report ( ea* annual audit conduct$ "u ?is subsection4 7,b7 ,requir$ cont5t ,! report to ,congress requir$ "u subp>agraph 7,a7 %all-- 7i7 set =? ! scope ( ! audit2 & 7ii7 include-- 7,i7 ! /atem5t ( assets & liabilities & surplus or deficit2 7,,ii7 ! /atem5t ( income & exp5ses2 7,,iii7 ! /atem5t ( s\rces & application ( funds2 & 7,,iv7 su* comm5ts & in=mation z ! ,comptroll] ,g5]al may deem necess>y to in=m ,congress ( ! f9ancial op]ations & condition ( ! ,corporation1 toge!r ) su* recomm5dations ) respect !reto z ! ,comptroll] ,g5]al may deem advisable4 7,c7 ,copies ,a copy ( ea* report requir$ "u subp>agraph 7,a7 %all be furni%$ to ! ,presid5t & to ! ,*airp]son ( ! ,corporation at ! "t su* report is submitt$ to ! ,congress4 7#g7 ,assi/ance & co/s 7,a7 ,p]mitt$ use ( outside assi/ance ,= ! purpose ( conduct+ an audit "u ?is subsection1 ! ,comptroll] ,g5]al may employ by contract1 )\t reg>d to section #cgji ( ! ,revis$ ,/atutes ( ! ,unit$ ,/ates 7#da ,u4,s4,c4 #e71 pr(essional s]vices ( firms & organizations ( c]tifi$ public acc\ntants = tempor>y p]iods or = special purposes4 7,b7 ,co/ ( audit cov]$ by ,corporation 7i7 ,9 g5]al ,^u ! reque/ ( ! ,comptroll] ,g5]al1 ! ,*airp]son ( ! ,corporation %all transf] to ! ,comptroll] ,g5]al f funds available1 ! am\nt reque/$ by ! ,comptroll] ,g5]al to cov] ! reasonable co/s ( any audit & report conduct$ by ! ,comptroll] ,g5]al pursuant to ?is subsection4 7ii7 ,cr$it ( funds ,! ,comptroll] ,g5]al %all cr$it funds transf]r$ "u clause 7i7 to ! acc\nt at ! ,treasury e/abli%$ = sal>ies & exp5ses ( ! ,gov]nm5t ,acc\ntability ,(fice1 & su* am\nts %all be available ^u receipt & )\t fiscal ye> limitation to cov] ! full co/s ( ! audit & report4 #ajg4 ,initial fund+ 7a7 ,9 g5]al ,section #acaf ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib 7#ab ,u4,s4,c4 #deaf7 is am5d$ by add+ at ! end ! foll[+3 7i7 ,annual assessm5ts relat+ to initial fund+ ( ! ,,fmic ,not)/&+ title ,v ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjac or any o!r provision ( law1 = ! p]iod beg9n+ on ! date ( enactm5t ( ?is subsection & end+ on ! ,,fmic c]tification date 7z t date is set =? "u section #b7af7 ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjac1 ! ,director1 9 consultation ) ! ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation1 %all e/abli% & collect f ! ent]prises annual assessm5ts 9 addition to ^? requir$ "u subsection 7a7 9 an am\nt n exce$+ ! am\nt suffici5t to provide = ! reasonable co/s 7includ+ adm9i/rative co/s7 & exp5ses ( ! ,corporation4 ,all am\nts collect$ "u ?is subsection %all be transf]r$ to ! ,f$]al ,mortgage ,insurance ,corporation4 ,! annual assessm5t %all be payable semiannually = ea* fiscal ye>1 on ,octob] #a & ,april #a4 4 7b7 ,treatm5t ( assessm5ts 7#a7 ,deposit ,am\nts receiv$ by ! ,corporation f assessm5ts impos$ "u section #acaf7;i7 ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib %all be deposit$ by ! ,corporation 9 ! mann] provid$ 9 section #ebcd ( ! ,revis$ ,/atutes ( ! ,unit$ ,/ates 7#ab ,u4,s4,c4 #aib7 = monies deposit$ by ! ,comptroll] ( ! ,curr5cy4 7#b7 ,n gov]nm5t funds ,! am\nts receiv$ by ! ,corporation f any assessm5t impos$ "u section #acaf7;i7 ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib %all n be con/ru$ to be ,gov]nm5t or public funds or appropriat$ money4 7#c7 ,no apportionm5t ( funds ,not)/&+ any o!r provision ( law1 ! am\nts receiv$ by ! ,corporation f any assessm5t impos$ "u section #acaf7;i7 ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib %all n be subject to apportionm5t = ! purpose ( *apt] #ae ( title #ca1 ,unit$ ,/ates ,code1 or "u any o!r au?ority4 7#d7 ,use ( funds 7,a7 ,9 g5]al ,! ,corporation may use any am\nts receiv$ f assessm5ts impos$ "u section #acaf7;i7 ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib-- 7i7 = comp5sation ( ! employees ( ! ,corporation2 & 7ii7 = all o!r exp5ses ( ! ,corporation4 7,b7 ,treasury inve/m5ts ,! ,corporation may reque/ ! ,secret>y ( ! ,treasury to inve/ su* portions ( am\nts receiv$ f assessm5ts impos$ "u section #acaf7;i7 ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib t1 9 ! discretion ( ! ,corporation1 are n requir$ to meet ! curr5t work+ ne$s ( ! ,corporation4 7,c7 ,gov]nm5t obligations ,pursuant to a reque/ "u subp>agraph 7,b71 ! ,secret>y ( ! ,treasury %all inve/ su* am\nts 9 ,gov]nm5t obligations-- 7i7 gu>ante$ z to pr9cipal & int]e/ by ! ,unit$ ,/ates ) maturities suitable to ! ne$s ( ! ,corporation2 & 7ii7 be>+ int]e/ at a rate det]m9$ by ! ,secret>y ( ! ,treasury tak+ into consid]ation curr5t m>ket yields on out/&+ m>ketable obligations ( ! ,unit$ ,/ates ( comp>able maturity4 ,,ii ,duties1 ,responsibilities1 & ,/ructure ( ! ,,fmic ,a ,duties & ,au?orities #bja4 ,duties & responsibilities ( ! ,,fmic 7a7 ,duties ,! pr9cipal duties ( ! ,corporation %all be to-- 7#a7 c>ry out ?is ,act 9 a mann] t-- 7,a7 m9imizes any pot5tial long-t]m negative co/ on ! taxpay]2 & 7,b7 ensures1 to ! maximum ext5t possible-- 7i7 a liquid & resili5t h\s+ f9ance m>ket2 & 7ii7 ! availability ( mortgage cr$it2 7#b7 develop /&>d =m cr$it risk-%>+ me*anisms1 products1 /ructures1 contracts1 or o!r security agreem5ts t require private m>ket hold]s ( a cov]$ security insur$ "u ?is ,act to assume ! fir/ loss position ) respect to losses incurr$ on su* securities2 7#c7 provide insurance on any cov]$ security = :i* private m>ket hold]s ( su* security h assum$ ! fir/ loss position ) respect to losses t may be incurr$ on su* security 9 ord] to provide a liquid & resili5t h\s+ f9ance m>ket2 7#d7 provide lead]%ip to ! h\s+ f9ance m>ket to help ensure t all geographic locations h access to mortgage cr$it2 7#e7 *>ge & collect fees 9 ex*ange = provid+ su* insurance1 :]eby su* fees %all be suffici5t to protect ! taxpay] f ! risk ( provid+ su* insurance & to fund ! activities & op]ations ( ! ,corporation2 7#f7 e/abli% & ma9ta9 a ,mortgage ,insurance ,fund2 7#g7 facilitate securitization ( eligible mortgages orig9at$ by cr$it unions & community & mid-size banks )\t securitization capabilities2 7#h7 ensure discipl9e & integrity 9 ! m>ket = cov]$ securities by sett+ /&>ds = ! approval ( private mortgage insur]s1 s]vic]s1 issu]s1 & bond gu>antors2 7#i7 e/abli%1 op]ate1 & ma9ta9 a database = ! collection1 public use1 & dissem9ation ( uni=m loan level in=mation on eligible mortgages2 7#aj7 develop1 adopt1 & publi% /&>d uni=m securitization agreem5ts = cov]$ securities2 7#aa7 e/abli%1 op]ate1 & ma9ta9 an electronic regi/ry sy/em = eligible mortgages t collat]alize cov]$ securities insur$ "u ?is ,act2 7#ab7 ov]see & sup]vise ! common securitization plat=m develop$ by ! bus9ess entity ann\nc$ by ! ,f$]al ,h\s+ ,f9ance ,ag5cy & e/abli%$ by ! ent]prises2 & 7#ac7 ensure t cr$it unions & community & mid-size banks-- 7,a7 h equal access to any su* common securitization plat=m & any o!r securitization plat=ms2 & 7,b7 are n1 9 _! access or use ( su* plat=ms1 discrim9at$ aga9/ ?r\gh disc\nts = volume pric+ or o!r me*anisms4 7b7 ,scope ( au?ority ,! au?ority ( ! ,corporation %all include ! au?ority to ex]cise su* incid5tal p[]s z may be necess>y or appropriate to fulfill ! duties & responsibilities ( ! ,corporation set =? "u subsection 7a74 7c7 ,delegation ( au?ority ,! ,bo>d ( ,directors may delegate to (fic]s & employees ( ! ,corporation any ( ! functions1 p[]s1 or duties ( ! ,corporation1 z ! ,bo>d ( ,directors det]m9es appropriate4 #bjb4 ,/&>d =m cr$it risk-%>+ me*anisms1 products1 /ructures1 contracts1 or o!r security agreem5ts 7a7 ,requirem5ts2 %>e ( loss2 div]sity ,pursuant to section #bja7;a77#b71 ! ,corporation %all develop /&>d =m cr$it-risk %>+ me*anisms1 products1 /ructures1 contracts1 or o!r security agreem5ts :i* %all require t ! fir/ loss position ( private m>ket hold]s ( a cov]$ security insur$ "u ?is ,act-- 7#a7 is adequate to cov] losses t might be incurr$ z a result ( adv]se economic conditions1 :]e9 su* conditions are g5]ally consi/5t ) ! economic conditions1 includ+ national home price decl9es1 obs]v$ 9 ! ,unit$ ,/ates dur+ mod]ate to sev]e recessions exp]i5c$ dur+ ! la/ #ajj ye>s2 & 7#b7 is n less ?an #aj p]c5t ( ! pr9cipal or face value ( ! cov]$ security4 7b7 ,developm5t w9d[ = risk-,%>+ me*anisms 7#a7 ,9 g5]al ,! ,corporation %all complete ! developm5t & implem5tation ( ! me*anisms1 products1 /ructures1 contracts1 or o!r security agreem5ts requir$ "u subsection 7a7 n lat] ?an #e ye>s aft] ! date ( enactm5t ( ?is ,act4 7#b7 ,exam9ation ( v>i\s me*anisms ,9 develop+ ! me*anisms1 products1 /ructures1 contracts1 or o!r security agreem5ts requir$ "u subsection 7a71 ! ,corporation %all-- 7,a7 exam9e proposals t include a s5ior-subord9at$ deal /ructure1 cr$it-l9k$ /ructures1 & ! use ( regulat$ gu>antors ) suffici5t equity capital to absorb losses associat$ ) mod]ate or sev]e economic d[nturns2 7,b7 consid] any risk-%>+ me*anisms1 products1 /ructures1 contracts1 or o!r security agreem5ts und]tak5 by ! bus9ess entity ann\nc$ by ! ,f$]al ,h\s+ ,f9ance ,ag5cy & e/abli%$ by ! ent]prises to provide a common securitization plat=m = issu]s 9 ! second>y mortgage m>ket2 7,c7 consid] h[ ea* propos$ me*anism1 product1 /ructure1 contract1 or o!r security agreem5t-- 7i7 m9imizes any pot5tial long-t]m negative co/ to ! taxpay]2 7ii7 impacts ! availability ( mortgage cr$it =-- 7,i7 small f9ancial in/itutions1 su* z cr$it unions & community & mid-size banks2 & 7,,ii7 consum]s2 7iii7 influ5ces mortgage af=dability2 7iv7 all[s = loan modifications & =eclosure prev5tion alt]natives2 7v7 int]acts ) ! ,to-,be-,ann\nc$ m>ket2 & 7vi7 facilitates m>ket liquidity & resili5cy2 & 7,d7 ensure t l5d]s ( all sizes & f all geographic locations1 includ+ rural locations1 h equitable access to second>y mortgage m>ket f9anc+4 7#c7 ,report 7,a7 ,9 g5]al ,n lat] ?an #a ye> aft] ! date ( enactm5t ( ?is ,act1 & annually !reaft] until ! end ( ! #e-ye> p]iod provid$ 9 p>agraph 7#a71 ! ,corporation %all submit a report to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives t-- 7i7 details ! b5efits & drawbacks ( ea* me*anism1 product1 /ructure1 contract1 or o!r security agreem5t t ! ,director consid]$ 9 c>ry+ out ! requirem5t ( ?is section2 7ii7 describes ! op]ation & execution ( any me*anisms1 products1 /ructures1 contracts1 or o!r security agreem5ts t ! ,director det]m9es be/ fulfills ! requirem5ts ( ?is section2 & 7iii7 expla9s h[ ! ,corporation arriv$ at ! det]m9ation made "u clause 7ii74 7,b7 ,subsequ5t reports ,aft] ! expiration ( ! #e-ye> p]iod provid$ 9 p>agraph 7#a7 & ! submission ( ! report requir$ "u subp>agraph 7,a71 ea* "t ! ,corporation develops an additional /&>d =m cr$it risk-%>+ me*anism1 product1 /ructure1 contract1 or o!r security agreem5t t fulfills ! requirem5ts ( ?is section1 ! ,corporation %all submit a report to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives address+ ! id5tical conc]ns set =? "u clauses 7i7 ?r\gh 7iii7 ( subp>agraph 7,a74 #bjc4 ,mortgage ,insurance ,fund 7a7 ,e/abli%m5t ,!re is e/abli%$ ! ,mortgage ,insurance ,fund1 :i* ! ,corporation %all-- 7#a7 ma9ta9 & adm9i/]2 & 7#b7 use to cov] losses incurr$ on cov]$ securities insur$ "u ?is ,act1 :5 su* losses exce$ ! fir/ position losses absorb$ by private m>ket hold]s ( su* securities4 7b7 ,deposits ,! ,mortgage ,insurance ,fund %all be cr$it$ ) any-- 7#a7 insurance fee am\nts requir$ to be deposit$ 9 ! ,fund "u ?is section2 7#b7 gu>antee fee am\nts collect$ "u section #fja2 & 7#c7 am\nts e>n$ on inve/m5ts pursuant to subsection 7h74 7c7 ,fiduci>y responsibility ,! ,corporation has ! responsibility to ensure t ! ,mortgage ,insurance ,fund rema9s f9ancially s\nd4 7d7 ,use 7#a7 ,9 g5]al ,! ,mortgage ,insurance ,fund %all be solely available to ! ,corporation = use by ! ,corporation to c>ry out ! functions au?oriz$ by ?is ,act & may n be us$ or o!rwise div]t$ to cov] any o!r exp5se ( ! ,f$]al ,gov]nm5t4 7#b7 ,exemption f apportionm5t ,not)/&+ any o!r provision ( law1 am\nts receiv$ by ! ,mortgage ,insurance ,fund pursuant to any fees collect$ "u ?is section %all n be subject to apportionm5t = ! purposes ( *apt] #ae ( title #ca1 ,unit$ ,/ates ,code1 or "u any o!r au?ority4 7e7 ,res]ve ratio goals = ,mortgage ,insurance ,fund ,! ,corporation %all endeavor to ensure t ! ,mortgage ,insurance ,fund atta9s a res]ve balance-- 7#a7 ( #a4be p]c5t ( ! sum ( ! out/&+ pr9cipal balance ( ! cov]$ securities = :i* insurance is be+ provid$ "u ?is title )9 #e ye>s ( ! ,,fmic c]tification date1 & to /rive to ma9ta9 su* ratio !reaft]1 subject to subp>agraph 7,b72 & 7#b7 ( #b4ej p]c5t ( ! sum ( ! out/&+ pr9cipal balance ( ! cov]$ securities = :i* insurance is be+ provid$ "u ?is title )9 #aj ye>s ( ! ,,fmic c]tification date1 & to /rive to ma9ta9 su* ratio at all times !reaft]4 7f7 ,ma9t5ance ( res]ve ratio2 e/abli%m5t ( fees 7#a7 ,e/abli%m5t ( fees ,! ,corporation %all *>ge & collect a fee1 & may 9 its discretion increase or decrease su* fee1 9 connection ) any insurance provid$ "u ?is title to-- 7,a7 a*ieve & ma9ta9 ! res]ve ratio goals e/abli%$ "u subsection 7e72 7,b7 a*ieve su* res]ve ratio goals1 if ! actual balance ( su* res]ve is bel[ ! goal am\nts e/abli%$ "u subsection 7e72 & 7,c7 fund ! op]ations ( ! ,corporation4 7#b7 ,fee consid]ations ,9 ex]cis+ ! au?ority grant$ "u p>agraph 7#a71 ! ,corporation %all consid]-- 7,a7 ! expect$ op]at+ exp5ses ( ! ,mortgage ,insurance ,fund2 7,b7 ! risk ( loss to ! ,mortgage ,insurance ,fund 9 c>ry+ out ! requirem5ts "u ?is ,act2 7,c7 ! risk pres5t$ by1 & ! loss absorption capacity (1 ! cr$it enhancem5t t is provid$ on ! pool ( eligible mortgages collat]aliz+ ! cov]$ security to be insur$ "u ?is title2 7,d7 economic conditions g5]ally affect+ ! mortgage m>kets2 7,e7 ! ext5t to :i* ! res]ve ratio ( ! ,mortgage ,insurance ,fund met-- 7i7 ! res]ve ratio set = ! prec$+ #ab-mon? p]iod2 or 7ii7 ! res]ve ratio goals e/abli%$ 9 subsection 7e72 & 7,f7 any o!r factor t ! ,corporation det]m9es appropriate4 7#c7 ,fee ,uni=mity ,! fee requir$ "u p>agraph 7#a7-- 7,a7 %all be set at a uni=m am\nt applicable to all in/itutions pur*as+ insurance "u ?is title2 7,b7 may n v>y-- 7i7 by geographic location2 or 7ii7 by ! size ( ! in/itution to :i* ! fee is *>g$2 & 7,c7 may n be bas$ on ! volume ( insurance to be pur*as$ by an approv$ issu]4 7#d7 ,deposit into ,mortgage ,insurance ,fund ,any fee am\nts collect$ "u ?is subsection %all be deposit$ 9 ! ,mortgage ,insurance ,fund4 7g7 ,full ,fai? & ,cr$it ,! full fai? & cr$it ( ! ,unit$ ,/ates is pl$g$ to ! paym5t ( all am\nts f ! ,mortgage ,insurance ,fund :i* may be requir$ to be paid "u any insurance provid$ "u ?is title4 7h7 ,inve/m5ts ,am\nts 9 ! ,mortgage ,insurance ,fund t are n o!rwise employ$-- 7#a7 %all be inve/$ 9 obligations ( ! ,unit$ ,/ates2 & 7#b7 may n be inve/$ 9 any cov]$ security insur$ "u ?is ,act4 #bjd4 ,insurance 7a7 ,au?ority ,! ,corporation %all1 ^u application & 9 ex*ange = a fee 9 accordance ) section #bjc7;f71 insure ! paym5t ( pr9cipal & int]e/ on a cov]$ security ) respect to losses t may be incurr$ on su* security4 7b7 ,precondition2 ensur+ placem5t ( fir/ loss capital ,! ,corporation %all develop /&>ds & processes to ensure t prior to mak+ any commitm5t to provide insurance "u ?is section t private m>ket hold]s h tak5 fir/ loss position 9 a cov]$ security & t su* hold]s h suffici5t capital to cov] _! risk-%>+ obligations4 7c7 ,ca% paym5ts2 cont9u$ op]ations ,9 ! ev5t ( a paym5t default on an eligible mortgage t collat]alizes a cov]$ security insur$ "u ?is section t exce$s ! fir/ loss position assum$ by a private m>ket hold] or t1 9 ! case ( an approv$ bond gu>antor1 if ! gu>antor has become insolv5t1 ! ,corporation %all-- 7#a7 pay1 9 ca% :5 due1 any %ortfalls 9 paym5t ( pr9cipal & int]e/ "u ! eligible mortgage2 & 7#b7 cont9ue to *>ge & collect any fees = ! provision ( insurance 79 accordance ) section #bjc7;f77 relat+ to ! cov]$ security4 7d7 ,full fai? & cr$it ,! full fai? & cr$it ( ! ,unit$ ,/ates is pl$g$ to ! paym5t ( all am\nts :i* may be requir$ to be paid "u any insurance provid$ "u ?is section4 7e7 ,prohibition on ,f$]al assi/ance ,not)/&+ any o!r provision ( law1 no ,f$]al funds may be us$ to pur*ase or gu>antee obligations (1 issue l9es ( cr$it to1 provide direct or indirect access to any f9anc+ provid$ by ! ,unit$ ,/ates ,gov]nm5t to1 or provide direct or indirect grants & aid to any private m>ket hold] ( ! fir/ loss position on a cov]$ security :i*1 on or aft] ! date ( enactm5t ( ?is ,act1 has default$ on its obligations1 is at risk ( default+1 or is likely to default1 abs5t su* assi/ance f ! ,unit$ ,/ates ,gov]nm5t4 #bje4 ,au?ority to protect taxpay]s 9 unusual & exig5t m>ket conditions 7a7 ,9 g5]al ,if ! ,corporation1 ^u ! writt5 agreem5t ( ! ,*airman ( ! ,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve ,sy/em & ! ,secret>y ( ! ,treasury1 & 9 consultation ) ! ,secret>y ( ,h\s+ & ,urban ,developm5t1 det]m9es t unusual & exig5t circum/ances h creat$ or ?reat5$ to create an anomal\s lack ( mortgage cr$it availability )9 ! h\s+ m>kets t c\ld mat]ially & sev]ely disrupt ! function+ ( ! h\s+ f9ance sy/em ( ! ,unit$ ,/ates1 ! ,corporation may1 = a p]iod n to exce$ #f mon?s1 provide insurance 9 accord ) section #bjd to any cov]$ security reg>dless ( :e!r su* security has satisfi$ ! requirem5ts ( section #bjb7;a74 7b7 ,consid]ations ,9 ex]cis+ ! au?ority grant$ "u subsection 7a71 ! ,corporation %all consid] ! sev]ity ( ! conditions pres5t 9 ! h\s+ m>kets & ! risks pres5t$ to ! ,mortgage ,insurance ,fund 9 ex]cis+ su* au?ority4 7c7 ,limitation ,! au?ority grant$ to ! ,corporation "u subsection 7a7 may n be ex]cis$ m ?an once 9 any giv5 #c-ye> p]iod4 #bjf4 ,g5]al p[]s 7a7 ,corporate p[]s ,! ,f$]al ,mortgage ,insurance ,corporation %all h p[]-- 7#a7 to adopt1 alt]1 & use a corporate seal1 :i* %all be judicially notic$2 7#b7 to ent] into & p]=m contracts1 leases1 coop]ative agreem5ts1 or o!r transactions1 on su* t]ms z x may deem appropriate1 ) any ag5cy or in/rum5tality ( ! ,unit$ ,/ates1 or ) any ,/ate1 ,t]ritory1 or possession1 or ! ,commonweal? ( ,pu]to ,rico1 or ) any political subdivision !re(1 or ) any p]son1 firm1 association1 or corporation2 7#c7 to execute1 9 accordance ) its bylaws1 all in/rum5ts necess>y or appropriate 9 ! ex]cise ( any ( its p[]s2 7#d7 9 its corporate "n1 to sue & to be su$1 & to compla9 & to def5d1 9 any c\rt ( compet5t jurisdiction1 ,/ate or ,f$]al1 b no atta*m5t1 injunction1 or o!r simil> process1 mesne or f9al1 %all be issu$ aga9/ ! prop]ty ( ! ,corporation2 7#e7 to conduct its bus9ess )\t reg>d to any qualification or simil> /atute 9 any ,/ate ( ! ,unit$ ,/ates1 includ+ ! ,di/rict ( ,columbia1 ! ,commonweal? ( ,pu]to ,rico1 & ! ,t]ritories & possessions ( ! ,unit$ ,/ates2 7#f7 to lease1 pur*ase1 or acquire any prop]ty1 real1 p]sonal1 or mix$1 or any int]e/ !re91 to hold1 r5t1 ma9ta91 mod]nize1 r5ovate1 improve1 use1 & op]ate su* prop]ty1 & to sell1 = ca% or cr$it1 lease1 or o!rwise dispose ( ! same1 at su* "t & 9 su* mann] z & to ! ext5t t x may deem necess>y or appropriate2 7#g7 to prescribe1 repeal1 & am5d or modify1 rules1 regulations1 or requirem5ts gov]n+ ! mann] 9 :i* its g5]al bus9ess may be conduct$2 7#h7 to accept gifts or donations ( s]vices1 or ( prop]ty1 real1 p]sonal1 or mix$1 tangible1 or intangible1 9 aid ( any ( its purposes2 & 7#i7 to d all ?+s z are necess>y or incid5tal to ! prop] managem5t ( its affairs & ! prop] conduct ( its bus9ess4 7b7 ,exp5ditures ,except z may be o!rwise provid$ 9 ?is title1 9 *apt] #ia ( title #ca1 ,unit$ ,/ates ,code1 or 9 o!r laws specifically applicable to ,gov]nm5t corporations1 ! ,corporation %all det]m9e ! necessity =1 & ! "* & am\nt ( its obligations & exp5ditures1 & ! mann] 9 :i* !y %all be incurr$1 all[$1 paid1 & acc\nt$ =4 7c7 ,exemption f c]ta9 taxes ,! ,corporation1 includ+ its fran*ise1 capital1 res]ves1 surplus1 mortgages or o!r security hold+s1 & income %all be exempt f all taxation n[ or h]eaft] impos$ by ! ,unit$ ,/ates1 by any t]ritory1 dep5d5cy1 or possession !re(1 or by any ,/ate1 c\nty1 municipality1 or local tax+ au?ority1 except t any real prop]ty ( ! ,corporation %all be subject to ,/ate1 t]ritorial1 c\nty1 municipal1 or local taxation to ! same ext5t accord+ to its value z o!r real prop]ty is tax$4 7d7 ,exclusive use ( "n ,no individual1 association1 p>tn]%ip1 or corporation1 except ! bodies corporate nam$ "u section #aja1 %all h]eaft] use ! words ,f$]al ,mortgage ,insurance ,corporation or any comb9ation ( su* words1 z ! "n or a "p !re( "u :i* ! individual1 association1 p>tn]%ip1 or corporation %all d bus9ess4 ,violations ( ! =ego+ s5t5ce may be enjo9$ by any c\rt ( g5]al jurisdiction at ! suit ( ! prop] body corporate4 ,9 any su* suit1 ! pla9tiff may recov] any actual damages fl[+ f su* violation1 &1 9 addition1 %all be entitl$ to punitive damages 7reg>dless ( ! exi/5ce or nonexi/5ce ( actual damages7 ( n exce$+ #ajj = ea* day dur+ :i* su* violation is committ$ or repeat$4 7e7 ,fiscal ag5ts ,! ,f$]al ,res]ve banks are au?oriz$ & direct$ to act z depositories1 cu/odians1 & fiscal ag5ts = ea* ( ! bodies corporate nam$ 9 section #aja1 = its own acc\nt or z fiduci>y1 & su* banks %all be reimburs$ = su* s]vices 9 su* mann] z may be agre$ ^u2 & ea* ( su* bodies corporate may itself act 9 su* capacities1 = its own acc\nt or z fiduci>y1 & = ! acc\nt ( o!rs4 #bjg4 ,exemptions 7a7 ,securities exempt f ,,sec regulation 7#a7 ,9 g5]al ,all cov]$ securities insur$ or gu>ante$ by ! ,corporation %all1 to ! same ext5t z securities t are direct obligations ( or obligations gu>ante$ z to pr9cipal or int]e/ by ! ,unit$ ,/ates1 be deem$ to be exempt securities )9 ! mean+ ( ! laws adm9i/]$ by ! ,securities & ,ex*ange ,commission4 7#b7 ,con=m+ am5dm5t ,! fir/ s5t5ce ( section #c7;a77#b7 ( ! ,securities ,act ( #aicc 7#ae ,u4,s4,c4 #gg;c7a77#b77 is am5d$ by ins]t+ or any cov]$ security1 z su* t]m is def9$ "u section #b7i7 ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjac2 aft] ,f$]al ,res]ve bank24 7b7 ,,qrm exemption ,section #ae;,g7e7 ( ! ,securities ,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4 #gho-#aa7;e77 is am5d$-- 7#a7 9 p>agraph 7#c77;,b7-- 7,a7 by /rik+ ,association1 ! & ins]t+ ,association & !2 & 7,b7 by /rik+ & ! ,f$]al home loan banks2 & 7#b7 by add+ at ! end ! foll[+3 7#g7 ,cov]$ securities insur$ by ! ,f$]al ,mortgage ,insurance ,corporation ,not)/&+ any o!r provision ( ?is section1 ! requirem5ts ( ?is section %all n apply to any cov]$ security1 z su* t]m is def9$ "u section #b7i7 ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjac1 insur$ or gu>ante$ by ! ,f$]al ,mortgage ,insurance ,corporation or any in/itution t is subject to ! sup]vision ( ! ,f$]al ,mortgage ,insurance ,corporation4 4 ,b ,ov]sight ( m>ket p>ticipants #baa4 ,approval ( private mortgage insur]s 7a7 ,/&>ds = approval ( private mortgage insur]s 7#a7 ,9 g5]al ,! ,corporation %all develop1 adopt1 & publi% /&>ds = ! approval by ! ,corporation ( private mortgage insur]s to provide private mortgage insurance on eligible mortgages4 7#b7 ,requir$ /&>ds ,! /&>ds requir$ "u p>agraph 7#a7 %all include-- 7,a7 ! f9ancial hi/ory & condition ( ! insur]2 7,b7 ! adequacy ( ! insur]'s capital /ructure1 includ+ :e!r ! insur] has suffici5t capital to cov] ! fir/ loss insurance obligations x assumes "u ?is ,act & t might be incurr$ 9 a p]iod ( economic /ress1 includ+1 b n limit$ to1 any p]iod ( economic /ress t w\ld result 9 a #cj p]c5t 7or great]7 national home price decl9e2 7,c7 ! g5]al "* & fitness ( ! managem5t ( ! insur]1 includ+ compliance hi/ory ) ,f$]al & ,/ate laws2 7,d7 ! risk pres5t$ by su* insur] to ! ,mortgage ,insurance ,fund2 7,e7 ! adequacy ( insurance & fidelity cov]age ( ! insur]2 7,f7 a requirem5t t ! insur] submit audit$ f9ancial /atem5ts to ! ,director2 & 7,g7 any o!r /&>d ! ,corporation det]m9es necess>y or appropriate4 7b7 ,application & approval 7#a7 ,application process ,! ,corporation %all e/abli% an application process1 9 su* =m & mann] & requir+ su* in=mation z ! ,corporation may require1 = ! approval ( private mortgage insur]s "u ?is section4 7#b7 ,approval ,! ,corporation may approve any application made pursuant to p>agraph 7#a7 provid$ ! private mortgage insur] meets ! /&>ds adopt$ "u subsection 7a74 7#c7 ,publication ,! ,corporation %all-- 7,a7 publi% 9 ! ,f$]al ,regi/] a li/ ( newly approv$ private mortgage insur]s2 & 7,b7 ma9ta9 an updat$ li/ ( approv$ private mortgage insur]s on ! website ( ! ,corporation4 7c7 ,review1 susp5sion1 & revocation ( approv$ /atus 7#a7 ,9 g5]al ,! ,corporation may review ! /atus ( any approv$ private mortgage insur] if ! ,corporation is notifi$ ( or becomes aw>e ( any violation by ! insur] ( ?is ,act or ! rules promulgat$ pursuant to ?is ,act4 7#b7 ,susp5sion or ,revocation 7,a7 ,corporation au?ority ,if ! ,corporation det]m9es1 9 a review pursuant to p>agraph 7#a71 t an approv$ private mortgage insur] no long] meets ! /&>ds = approval1 ! ,corporation may susp5d or revoke ! approv$ /atus ( su* insur]4 7,b7 ,rule ( con/ruction ,! susp5sion or revocation ( an approv$ private mortgage insur]'s approv$ /atus "u ?is p>agraph %all h no effect on ! /atus ( any cov]$ security4 7#c7 ,publication ,! ,corporation %all-- 7,a7 publi% 9 ! ,f$]al ,regi/] a li/ ( any approv$ private mortgage insur]s :o lo/ _! approv$ /atus2 & 7,b7 ma9ta9 an updat$ li/ ( su* insur]s on ! website ( ! ,corporation4 7d7 ,appeals 7#a7 ,9 g5]al 7,a7 ,appeals ( d5ials ( application ,a private mortgage insur] :o submits an application "u subsection 7b77#a7 to become an approv$ private mortgage insur] may appeal a decision ( ! ,corporation d5y+ su* application4 7,b7 ,appeals ( d5ials ( b5efits or susp5sions ( p>ticipation ,an approv$ private mortgage insur] may appeal a decision ( ! ,corporation susp5d+ or revok+ ! approv$ /atus ( su* insur]4 7#b7 ,fil+ ( appeal ,any insur] :o files an appeal "u p>agraph 7#a7 %all file ! appeal ) ! ,corporation n lat] ?an #ij days aft] ! date on :i* ! p]son receives notice ( ! decision ( ! ,corporation be+ appeal$4 7#c7 ,f9al det]m9ation ,! ,corporation %all make a f9al det]m9ation ) respect to an appeal "u p>agraph 7#a7 n lat] ?an #ahj days aft] ! date on :i* ! appeal is fil$ "u p>agraph 7#b74 7e7 ,avoidance ( conflicts ( int]e/ ,) respect to any eligible mortgage collat]aliz+ a cov]$ security insur$ "u ?is ,act1 an approv$ private mortgage insur] may n provide insurance bo?-- 7#a7 9 satisfaction ( ! cr$it enhancem5t requir$ "u section #b7aa77;,c72 & 7#b7 to cov] ! fir/ loss position ( private m>ket hold]s ( su* cov]$ security4 #bab4 ,approval ( s]vic]s 7a7 ,/&>ds = approval ( s]vic]s 7#a7 ,9 g5]al ,! ,corporation %all develop1 adopt1 & publi% /&>ds = ! approval by ! ,corporation ( s]vic]s to adm9i/] eligible mortgages1 includ+ /&>ds ) respect to-- 7,a7 ! collection & =w>d+ ( pr9cipal & int]e/ paym5ts2 7,b7 ! ma9t5ance ( escr[ acc\nts2 7,c7 ! collection & paym5t ( taxes & insurance premiums2 7,d7 ! ma9t5ance ( records on eligible mortgages2 7,e7 ! e/abli%m5t ( =eclosure loss mitigation programs t seek to enhance inve/or value & prev5t1 to greate/ ext5t possible1 ! ne$ to trigg] any claim on insurance (f]$ by ! ,corporation pursuant to ?is title2 7,f7 ! advancem5t ( pr9cipal & int]e/ paym5ts to inve/ors 9 ! case ( a del9qu5cy by a borr[] until su* "t z ! borr[] has made all paym5ts 9 arre>s or ! prop]ty secur+ ! eligible mortgage has be5 liquidat$2 & 7,g7 implem5t+ ! t]ms ( any loss mitigation & =eclosure prev5tion z requir$ by a uni=m securitization agreem5t develop$ "u section #bbc4 7#b7 ,additional requir$ /&>ds ,! /&>ds requir$ "u p>agraph 7#a7 %all also include-- 7,a7 ! f9ancial hi/ory & condition ( ! s]vic]2 7,b7 ! g5]al "* & fitness ( ! managem5t ( ! s]vic]1 includ+ compliance hi/ory ) ,f$]al & ,/ate laws2 7,c7 ! risk pres5t$ by su* s]vic] to ! ,mortgage ,insurance ,fund2 7,d7 a requirem5t t ! s]vic] submit audit$ f9ancial /atem5ts to ! ,corporation2 & 7,e7 any o!r /&>d ! ,corporation det]m9es necess>y or appropriate4 7#c7 ,coord9ation ) o!r regulators ,9 develop+ ! /&>ds requir$ "u p>agraph 7#a71 ! ,corporation %all-- 7,a7 coord9ate ) ! ,bureau ( ,consum] ,f9ancial ,protection2 & 7,b7 to ! ext5t ! ,corporation det]m9es practical & appropriate1 %all coord9ate ) ! o!r ,f$]al bank+ ag5cies4 7b7 ,application & approval 7#a7 ,application process ,! ,corporation %all e/abli% an application process-- 7,a7 9 su* =m & mann] & requir+ su* in=mation z ! ,corporation may require1 = ! approval ( s]vic]s "u ?is section2 & 7,b7 t does n discrim9ate aga9/ or o!rwise disadvantage small s]vic]s4 7#b7 ,approval ,! ,corporation may approve any application made pursuant to p>agraph 7#a7 provid$ ! s]vic] meets ! /&>ds adopt$ "u subsection 7a74 7#c7 ,publication ,! ,corporation %all-- 7,a7 publi% 9 ! ,f$]al ,regi/] a li/ ( newly approv$ s]vic]s2 & 7,b7 ma9ta9 an updat$ li/ ( approv$ s]vic]s on ! website ( ! ,corporation4 7c7 ,review1 susp5sion1 & revocation ( approv$ /atus 7#a7 ,9 g5]al ,! ,corporation may review ! /atus ( any approv$ s]vic] if ! ,corporation is notifi$ ( or becomes aw>e ( any violation by ! s]vic] ( ?is ,act or ! rules promulgat$ pursuant to ?is ,act1 includ+ any failure by an approv$ s]vic] to comply ) t]ms set =? 9 any uni=m securitization agreem5t develop$ "u section #bbc4 7#b7 ,susp5sion or ,revocation 7,a7 ,corporation au?ority ,if ! ,corporation det]m9es1 9 a review pursuant to p>agraph 7#a71 t an approv$ s]vic] no long] meets ! /&>ds = approval1 ! ,corporation may susp5d or revoke ! approv$ /atus ( su* s]vic]4 7,b7 ,rule ( con/ruction ,! susp5sion or revocation ( an approv$ s]vic]'s approv$ /atus "u ?is p>agraph %all h no effect on ! /atus ( any cov]$ security4 7#c7 ,publication ,! ,corporation %all-- 7,a7 publi% 9 ! ,f$]al ,regi/] a li/ ( any approv$ s]vic]s :o lo/ _! approv$ /atus2 & 7,b7 ma9ta9 an updat$ li/ ( su* s]vic]s on ! website ( ! ,corporation4 7d7 ,appeals 7#a7 ,9 g5]al 7,a7 ,appeals ( d5ials ( application ,a s]vic] :o submits an application "u subsection 7b77#a7 to become an approv$ s]vic] may appeal a decision ( ! ,corporation d5y+ su* application4 7,b7 ,appeals ( d5ials ( b5efits or susp5sions ( p>ticipation ,an approv$ s]vic] may appeal a decision ( ! ,corporation susp5d+ or revok+ ! approv$ /atus ( su* s]vic]4 7#b7 ,fil+ ( appeal ,any s]vic] :o files an appeal "u p>agraph 7#a7 %all file ! appeal ) ! ,corporation n lat] ?an #ij days aft] ! date on :i* ! p]son receives notice ( ! decision ( ! ,corporation be+ appeal$4 7#c7 ,f9al det]m9ation ,! ,corporation %all make a f9al det]m9ation ) respect to an appeal "u p>agraph 7#a7 n lat] ?an #ahj days aft] ! date on :i* ! appeal is fil$ "u p>agraph 7#b74 7e7 ,petitions = *ange ( s]vic] by private m>ket hold]s ,! ,corporation %all develop a process by :i* private m>ket hold]s ( ! fir/ loss position 9 a cov]$ security may petition ! ,corporation = a *ange 9 approv$ s]vic]s if ! private m>ket hold]s c demon/rate t _! curr5t approv$ s]vic] has fail$ to appropriately protect _! inve/m5t1 includ+ by fail+ to meet any /&>d id5tifi$ "u subsection 7a77#a74 #bac4 ,approval ( issu]s 7a7 ,/&>ds = approval ( issu]s 7#a7 ,9 g5]al ,! ,corporation %all develop1 adopt1 & publi% /&>ds = ! approval by ! ,corporation ( issu]s to issue cov]$ securities1 includ+ /&>ds ) respect to an issu]'s ability to-- 7,a7 aggregate eligible mortgage loans into pools2 7,b7 securitize eligible mortgage loans = sale to private inve/ors z a cov]$ security2 7,c7 transf] inve/m5t risk & cr$it to private m>ket p>ticipants 9 accordance ) ! risk-%>+ me*anisms develop$ by ! ,corporation "u section #bjb2 7,d7 ensure equitable access to ! second>y mortgage m>ket = cov]$ securities = all in/itutions reg>dless ( size or geographic location2 7,e7 create me*anisms = multi-l5d] pools2 & 7,f7 ensure t eligible mortgage loans t collat]alize a cov]$ security insur$ "u ?is title are orig9at$ 9 compliance ) ! requirem5ts ( ?is ,act4 7#b7 ,additional requir$ /&>ds ,! /&>ds requir$ "u p>agraph 7#a7 %all also include-- 7,a7 ! f9ancial hi/ory & condition ( ! issu]2 7,b7 ! adequacy ( ! capital /ructure ( ! issu]2 7,c7 ! g5]al "* & fitness ( ! managem5t ( ! issu]1 includ+ compliance hi/ory ) ,f$]al & ,/ate laws2 7,d7 ! risk pres5t$ by su* issu] to ! ,mortgage ,insurance ,fund2 7,e7 ! adequacy ( insurance & fidelity cov]age ( ! issu]2 7,f7 a requirem5t t ! issu] submit audit$ f9ancial /atem5ts to ! ,corporation2 7,g7 ! capacity ( ! issu] to secure fir/ loss cr$it enhancem5t2 & 7,h7 any o!r /&>d ! ,corporation det]m9es necess>y or appropriate4 7b7 ,application & approval 7#a7 ,application process 7,a7 ,9 g5]al ,! ,corporation %all e/abli% an application process1 9 su* =m & mann] & requir+ su* in=mation z ! ,corporation may require1 = ! approval ( issu]s "u ?is section4 7,b7 ,application process = insur$ depository in/itutions ,if an insur$ depository in/itution seeks to become an approv$ issu] "u ?is section1 su* in/itution may only submit its application via a sep>ately capitaliz$ affiliate or subsidi>y4 7#b7 ,approval ,! ,corporation-- 7,a7 may approve-- 7i7 any application made pursuant to p>agraph 7#a7 provid$ ! issu] meets ! /&>ds adopt$ "u subsection 7a72 & 7ii7 any application to become an approv$ issu] made by ! ,f$]al ,home ,loan ,bank ,sy/em2 & 7,b7 %all ensure t at lea/ "o issu] approv$ to issue cov]$ securities "u ?is section is d$icat$ to s]v+ ! securitization ne$s ( cr$it unions & community & mid-size banks )\t securitization capabilities4 7#c7 ,publication ,! ,corporation %all-- 7,a7 publi% 9 ! ,f$]al ,regi/] a li/ ( newly approv$ issu]s2 & 7,b7 ma9ta9 an updat$ li/ ( approv$ issu]s on ! website ( ! ,corporation4 7c7 ,f$]al ,home ,loan ,bank ,sy/em 7#a7 ,9 g5]al ,if ! ,f$]al ,home ,loan ,bank ,sy/em is approv$ by ! ,corporation to become an approv$ issu] "u ?is section1 ! ,corporation %all-- 7,a7 develop a process by :i* ea* individual ,f$]al ,home ,loan ,bank may elect n to engage or o!rwise contribute to any activity practic$ by ! ,f$]al ,home ,loan ,bank ,sy/em z an approv$ issu]2 7,b7 ensure t1 not)/&+ section #aa ( ! ,f$]al ,home ,loan ,bank ,act 7#ab ,u4,s4,c4 #adca71 any cov]$ securities issu$ by ! ,f$]al ,home ,loan ,bank ,sy/em z an approv$ issu] are n issu$ z consolidat$ ,f$]al ,home ,loan ,bank deb5tures & are explicitly designat$ or o!rwise treat$ z n be+ ! jo9t & sev]al obligations ( any individual ,f$]al ,home ,loan ,bank t has made an election "u subp>agraph 7,a72 & 7,c7 ensure t 9 e/abli%+ ! capital /&>ds set =? "u subsection 7a77#b77;,b7 ) respect to ! ,f$]al ,home ,loan ,bank ,sy/em1 t su* /&>ds %all-- 7i7 n be applicable to any individual ,f$]al ,home ,loan ,bank t has made an election "u subp>agraph 7,a72 7ii7 be bas$ on ! volume ( eligible mortgage loan orig9ations made by ! ,f$]al ,home ,loan ,banks t h n made an election "u subp>agraph 7,a72 & 7iii7 n adv]sely impact ! traditional liquidity & advance bus9ess ( ! ,f$]al ,home ,loan ,banks or ! ,f$]al ,home ,loan ,bank ,sy/em4 7#b7 ,f$]al ,home ,loan ,bank ,act 7,a7 ,am5dm5t ,section #ab ( ! ,f$]al ,home ,loan ,bank ,act 7#ab ,u4,s4,c4 #adcb7 is am5d$ by add+ at ! end ! foll[+3 7c7 ,subject to su* regulations z may be prescrib$ by ! ,corporation1 "o or m ,f$]al ,home ,loan ,banks may e/abli% a subsidi>y4 ,any subsidi>y e/abli%$ "u ?is subsection %all be subject to sup]vision by ! ,(fice ( ,f$]al ,home ,loan ,bank ,sup]vision ( ! ,corporation & %all be re/rict$ to engag+ 9 activities relat$ to be+ an approv$ issu]1 z t t]m is def9$ "u section #b7b7 ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjac4 4 7,b7 ,effective date ,! am5dm5t made by subp>agraph 7,a7 %all take effect on ! transf] date4 7d7 ,review1 susp5sion1 & revocation ( approv$ /atus 7#a7 ,9 g5]al ,! ,corporation may review ! /atus ( any approv$ issu] if ! ,corporation is notifi$ ( or becomes aw>e ( any violation by ! issu] ( ?is ,act or ! rules promulgat$ pursuant to ?is ,act4 7#b7 ,susp5sion or ,revocation 7,a7 ,corporation au?ority ,if ! ,corporation det]m9es1 9 a review pursuant to p>agraph 7#a71 t an approv$ issu] no long] meets ! /&>ds = approval1 ! ,corporation may susp5d or revoke ! approv$ /atus ( su* issu]4 7,b7 ,rule ( con/ruction ,! susp5sion or revocation ( an approv$ issu]'s approv$ /atus "u ?is p>agraph %all h no effect on ! /atus ( any cov]$ security4 7#c7 ,publication ,! ,corporation %all-- 7,a7 publi% 9 ! ,f$]al ,regi/] a li/ ( any approv$ issu]s :o lo/ _! approv$ /atus2 & 7,b7 ma9ta9 an updat$ li/ ( su* issu]s on ! website ( ! ,corporation4 7e7 ,appeals 7#a7 ,9 g5]al 7,a7 ,appeals ( d5ials ( application ,an issu] :o submits an application "u subsection 7b77#a7 to become an approv$ issu] may appeal a decision ( ! ,corporation d5y+ su* application4 7,b7 ,appeals ( d5ials ( b5efits or susp5sions ( p>ticipation ,an approv$ issu] may appeal a decision ( ! ,corporation susp5d+ or revok+ ! approv$ /atus ( su* issu]4 7#b7 ,fil+ ( appeal ,any issu] :o files an appeal "u p>agraph 7#a7 %all file ! appeal ) ! ,corporation n lat] ?an #ij days aft] ! date on :i* ! p]son receives notice ( ! decision ( ! ,corporation be+ appeal$4 7#c7 ,f9al det]m9ation ,! ,corporation %all make a f9al det]m9ation ) respect to an appeal "u p>agraph 7#a7 n lat] ?an #ahj days aft] ! date on :i* ! appeal is fil$ "u p>agraph 7#b74 7f7 ,limitation on m>ket %>e 7#a7 ,9 g5]al ,! ,corporation may n ent] into any contract1 cov5ant1 or o!r agreem5t ) an approv$ issu]1 if su* contract1 cov5ant1 or agreem5t w\ld provide ! issu] a %>e ( ! cov]$ security issu] m>ket 9 excess ( #ae p]c5t ( ! total m>ket1 z su* m>ket is measur$ by ! total out/&+ pr9cipal balance at orig9ation ( eligible mortgages collat]aliz+ cov]$ securities issu$ 9 ! previ\s #ab-mon? p]iod4 7#b7 ,exception ,! limitation set =? "u p>agraph 7#a7 %all n apply to-- 7,a7 an approv$ issu] describ$ "u subsection 7b77#b77;,a77ii72 7,b7 ! ,,fmic ,mutual ,securitization ,company2 7,c7 any approv$ issu] :i* securitizes only eligible mortgage loans orig9at$ by ! issu] or an affiliate ( ! issu]2 or 7,d7 any approv$ issu] to :i* ! ,corporation grants a waiv] pursuant to p>agraph 7#c74 7#c7 ,waiv] ,! ,corporation may1 dur+ ! #c-ye> p]iod beg9n+ on ! ,,fmic c]tification date1 grant a waiv] f ! limitation set =? "u p>agraph 7#a7 to an approv$ issu] if ! ,corporation det]m9es t ! numb] ( approv$ issu]s is insuffici5t1 su* t imposition ( ! limitation w\ld adv]sely affect ! availability ( mortgage cr$it4 7g7 ,limit$ au?ority ,to hold eligible mortgage loans ,an approv$ issu] may1 = a p]iod n to exce$ #f-mon?s1 hold-- 7#a7 eligible mortgage loans on ! balance %eet ( su* issu]2 & 7#b7 ! fir/ loss position 9 a cov]$ security = purposes ( obta9+ insurance "u ?is title4 #bad4 ,approval ( bond gu>antors 7a7 ,/&>ds = approval ( bond gu>antors 7#a7 ,9 g5]al ,! ,corporation %all develop1 adopt1 & publi% /&>ds = ! approval by ! ,corporation ( bond gu>antors to gu>antee ! timely paym5t ( pr9cipal & int]e/ on securities collat]aliz$ by eligible mortgages & insur$ by ! ,corporation4 7#b7 ,requir$ /&>ds ,! /&>ds requir$ "u p>agraph 7#a7 %all include-- 7,a7 ! f9ancial hi/ory & condition ( ! gu>antor2 7,b7 t ! gu>antor ma9ta9 a m9imum capital level equal to n less ?an #aj p]c5t ( ! unpaid pr9cipal balance ( out/&+ mortgage-back$ securities = :i* ! gu>antor is provid+ insurance1 net ( any transactions1 includ+ d]ivative transactions1 repur*ase agreem5ts1 rev]se repur*ase agreem5ts1 securities l5d+ transactions1 or securities borr[+ transactions1 t 9 ! det]m9ation ( ! ,corporation are us$ by ! gu>antor to h$ge or mitigate aga9/ cr$it risk1 provid$ t any su* h$g+ transaction does n dim9i% ! total am\nt ( loss absorption capital 9 ! second>y mortgage m>ket t /&s 9 front ( ! insurance provid$ by ! ,corporation "u ?is title2 7,c7 ! g5]al "* & fitness ( ! managem5t ( ! gu>antor1 includ+ compliance hi/ory ) ,f$]al & ,/ate laws2 7,d7 ! risk pres5t$ by su* gu>antor to ! ,mortgage ,insurance ,fund2 7,e7 ! adequacy ( insurance & fidelity cov]age ( ! gu>antor2 7,f7 a requirem5t t ! gu>antor submit audit$ f9ancial /atem5ts to ! ,director2 7,g7 a requirem5t t ! gu>antor meet a m9imum tangible common equity level1 or o!r m9imum capital ?re%old z ! ,corporation det]m9es necess>y2 & 7,h7 any o!r /&>d ! ,corporation det]m9es necess>y or appropriate4 7b7 ,rule ( con/ruction ,any cov]$ security issu$ by an approv$ issu] & insur$ by an approv$ bond gu>antor %all be deem$ to h satisfi$ ! cr$it-risk %>+ requirem5ts "u section #bjb7;a77#a7 ) respect to ! eligibility ( t security to obta9 insurance "u ?is title4 7c7 ,application & approval 7#a7 ,application process 7,a7 ,9 g5]al ,! ,corporation %all e/abli% an application process1 9 su* =m & mann] & requir+ su* in=mation z ! ,corporation may require1 = ! approval ( bond gu>antors "u ?is section4 7,b7 ,application process by insur$ depository in/itutions ,if an insur$ depository in/itution seeks to become an approv$ bond gu>antor "u ?is section1 su* in/itution may only submit its application via a sep>ately capitaliz$ affiliate or subsidi>y4 7#b7 ,approval ,! ,corporation may approve any application made pursuant to p>agraph 7#a7 provid$ ! bond gu>antor meets ! /&>ds adopt$ "u subsection 7a74 7#c7 ,publication ,! ,corporation %all-- 7,a7 publi% 9 ! ,f$]al ,regi/] a li/ ( newly approv$ bond gu>antors2 & 7,b7 ma9ta9 an updat$ li/ ( approv$ bond gu>antors on ! website ( ! ,corporation4 7d7 ,review1 susp5sion1 & revocation ( approv$ /atus 7#a7 ,9 g5]al ,! ,corporation may review ! /atus ( any approv$ bond gu>antor if ! ,corporation is notifi$ ( or becomes aw>e ( any violation by ! insur] ( ?is ,act or ! rules promulgat$ pursuant to ?is ,act4 7#b7 ,susp5sion or ,revocation 7,a7 ,corporation au?ority ,if ! ,corporation det]m9es1 9 a review pursuant to p>agraph 7#a71 t an approv$ bond gu>antor no long] meets ! /&>ds = approval1 ! ,corporation %all revoke ! approv$ /atus ( su* gu>antor4 7,b7 rule ( con/ruction ,! revocation ( an approv$ bond gu>antor's approv$ /atus "u ?is p>agraph %all h no effect on ! /atus ( any cov]$ security4 7#c7 ,publication ,! ,corporation %all-- 7,a7 publi% 9 ! ,f$]al ,regi/] a li/ ( any approv$ bond gu>antors :o lo/ _! approv$ /atus2 & 7,b7 ma9ta9 an updat$ li/ ( su* gu>antors on ! website ( ! ,corporation4 7e7 ,appeals 7#a7 ,9 g5]al 7,a7 ,appeals ( d5ials ( application ,a bond gu>antor :o submits an application "u subsection 7c77#a7 to become an approv$ bond gu>antor may appeal a decision ( ! ,corporation d5y+ su* application4 7,b7 ,appeals ( d5ials ( b5efits or susp5sions ( p>ticipation ,an approv$ bond gu>antor may appeal a decision ( ! ,corporation susp5d+ or revok+ ! approv$ /atus ( su* gu>antor4 7#b7 ,fil+ ( appeal ,any bond gu>antor :o files an appeal "u p>agraph 7#a7 %all file ! appeal ) ! ,corporation n lat] ?an #ij days aft] ! date on :i* ! p]son receives notice ( ! decision ( ! ,corporation be+ appeal$4 7#c7 ,f9al det]m9ation ,! ,corporation %all make a f9al det]m9ation ) respect to an appeal "u p>agraph 7#a7 n lat] ?an #ahj days aft] ! date on :i* ! appeal is fil$ "u p>agraph 7#b74 7f7 ,limitations on approv$ bond gu>antors ,) respect to any eligible mortgage collat]aliz+ a cov]$ security insur$ "u ?is ,act1 an approv$ bond gu>antor may n provide insurance-- 7#a7 9 satisfaction ( ! cr$it enhancem5t requir$ "u section #b7aa77;,c7 or z an approv$ private mortgage insur] pursuant to section #baa2 & 7#b7 z an approv$ bond gu>antor "u ?is section4 7g7 ,p]mission ,to c>ry out o!r activities ,no?+ 9 ?is ,act prohibits an approv$ bond gu>antor f be+ or controll+ an approv$ issu]1 provid$ t ea* issu] & bond gu>antor1 indep5d5t ( ea* o!r1 meet ! approval /&>ds e/abli%$ by ! ,corporation "u ?is title4 #bae4 ,au?ority to e/abli% ,,fmic ,mutual ,securitization ,company 7a7 ,9 g5]al ,! ,corporation %all e/abli% a mutual corporation to be kn[n z ! ,,fmic ,mutual ,securitization ,company4 7b7 ,purpose ,! purpose ( ! ,,fmic ,mutual ,securitization ,company is to-- 7#a7 develop1 securitize1 sell1 & o!rwise meet ! issu+ ne$s ( cr$it unions1 community & mid-size banks1 & non-depository mortgage orig9ators ) respect to cov]$ securities2 & 7#b7 pur*ase f its memb] p>ticipants = ca%1 on a s+le loan basis1 eligible mortgage loans to securitize 9 a cov]$ security4 7c7 ,sale ( necess>y te*nology ,^u ! ,,fmic c]tification date1 ! ent]prises %all sell to ! ,,fmic ,mutual ,securitization ,company any function1 activity1 infra/ructure1 prop]ty1 includ+ intellectual prop]ty1 plat=m1 or any o!r object or s]vice ( an ent]prise t ! ,corporation det]m9es necess>y = ! ,,fmic ,mutual ,securitization ,company to c>ry out its activities & op]ations4 7d7 ,designation z an approv$ issu] ,! ,,fmic ,mutual ,securitization ,company %all be an approv$ issu] = purposes ( section #bac4 7e7 ,eligibility ,eligibility to p>ticipate z a memb] 9 ! ,,fmic ,mutual ,securitization ,company %all be limit$ to-- 7#a7 insur$ depository in/itutions hav+ less ?an #ae1jjj1jjj1jjj 9 total consolidat$ assets at ! "t ( ! in/itution's initial p>ticipation 9 ! ,company2 or 7#b7 any non-depository mortgage orig9ator hav+ a m9imum net wor? ( #b1ejj1jjj4 7f7 ,gov]nance 7#a7 ,recognition ( important role ( small] in/itutions ,! ,corporation %all take all necess>y /eps to ensure t ! gov]nance provisions ( ! ,,fmic ,mutual ,securitization ,company reflect ! important role 9 ! mortgage m>ket play$ by ! small & mid-siz$ memb] p>ticipants ( ! ,,fmic ,mutual ,securitization ,company4 7#b7 ,e/abli%m5t ( position ( ,director ,!re is e/abli%$ ! position ( ! ,director ( ! ,,fmic ,mutual ,securitization ,company :o %all be ! head ( ! ,company4 7#c7 ,bo>d ( ,directors 7,a7 ,9 g5]al ,! managem5t ( ! ,,fmic ,mutual ,securitization ,company %all be ve/$ 9 a ,bo>d ( ,directors 7h]eaft] ref]r$ to z ! ,mutual ,bo>d71 :i* %all include repres5tatives ( memb] p>ticipants ( ! ,company1 includ+ repres5tatives (-- 7i7 mortgage bank]s2 7ii7 community banks2 & 7iii7 cr$it unions4 7,b7 ,initial appo9tm5t ,! ,corporation %all make initial appo9tm5ts ( ! memb]s ( ! ,mutual ,bo>d4 ,ea* su* initial appo9tm5t %all be = a t]m #a ye>4 7,c7 ,appo9tm5ts ,foll[+ ! initial #a-ye> appo9tm5t ( ! memb]s ( ! ,mutual ,bo>d1 memb] p>ticipants 9 ! ,,fmic ,mutual ,securitization ,company %all elect ! memb]s ( ! ,mutual ,bo>d f )9 ! memb]%ip ( ! ,company4 7,d7 ,adm9i/ration ,! ,mutual ,bo>d %all adm9i/] ! affairs ( ! ,,fmic ,mutual ,securitization ,company fairly & imp>tially & )\t discrim9ation4 7#d7 ,no pref]5ces = size ,memb] p>ticipants ( ! ,,fmic ,mutual ,securitization ,company %all h equal vot+ rights on any matt]s be=e ! ,company1 reg>dless ( ! size ( ! individual memb] p>ticipant4 7g7 ,approval ( memb] p>ticipants 7#a7 ,9 g5]al ,! ,mutual ,bo>d %all develop /&>ds & proc$ures to approve ! application ( memb] p>ticipants 9 ! ,,fmic ,mutual ,securitization ,company4 7#b7 ,cont5t ( /&>ds ,! /&>ds requir$ "u p>agraph 7#a7 %all include /&>ds relat+ to ! safety & s\ndness ( prospective memb] p>ticipants1 includ+ /&>ds reg>d+ ! und]writ+ practices ( su* prospective memb]s4 7#c7 ,coord9ation ) o!r regulators 7,a7 ,consultation ,9 approv+ any prospective memb] to become a memb] p>ticipant 9 ! ,,fmic ,mutual ,securitization ,company1 ! ,mutual ,bo>d may consult & %>e in=mation ) ! prim>y prud5tial regulator ( ! prospective memb]4 7,b7 ,privilege pres]v$ ,in=mation %>$ pursuant to subp>agraph 7,a7 %all n be con/ru$ z waiv+1 de/roy+1 or o!rwise affect+ any privilege or confid5tial /atus t a prospective memb] may claim ) respect to su* in=mation "u ,f$]al or ,/ate law z to any p]son or entity o!r ?an ! ,mutual ,bo>d or its prim>y prud5tial regulator4 7,c7 ,rule ( con/ruction ,no provision ( ?is subsection may be con/ru$ z imply+ or e/abli%+ t-- 7i7 any prospective memb] waives any privilege applicable to in=mation t is %>$ or transf]r$ "u any circum/ance to :i* ?is subsection does n apply2 or 7ii7 any prospective w\ld waive any privilege applicable to any in=mation by submitt+ ! in=mation directly to its prim>y prud5tial regulator1 b = ?is subsection4 7h7 ,fund+ au?ority 7#a7 ,au?ority to e/abli% memb]%ip fees ,! ,mutual ,bo>d %all h ! au?ority to *>ge & collect fees1 & may 9 its discretion increase or decrease su* fee1 on its memb] p>ticipants = memb]%ip 9 ! ,,fmic ,mutual ,securitization ,company1 includ+ to cov] ! co/s (-- 7,a7 ! initial capitalization ( ! ,company2 7,b7 ! pur*ase ( any function1 activity1 infra/ructure1 prop]ty1 includ+ intellectual prop]ty1 plat=m1 or any o!r object or s]vice f an ent]prise pursuant to subsection 7c72 & 7,c7 ! cont9u$ op]ation ( ! ,company4 7#b7 ,limitation ,! fees au?oriz$ "u p>agraph 7#a7-- 7,a7 %all be equitably assess$2 & 7,b7 may be bas$ on ! volume ( eligible mortgages t ! memb] p>ticipant sells to ! ,,fmic ,mutual ,securitization ,company4 7i7 ,coord9ation ( s]vic] approval ,! ,mutual ,bo>d may coord9ate ) ! ,corporation to facilitate ! application process = its memb] p>ticipants to become approv$ s]vic]s ( ! ,corporation pursuant to section #bab4 #baf4 ,additional au?ority relat+ to ov]sight ( m>ket p>ticipants ,9 c>ry+ out its au?orities "u ?is subtitle1 ! ,corporation may1 9 its discretion1 develop1 publi%1 & adopt su* o!r additional /&>ds or requirem5ts z ! ,corporation det]m9es necess>y to ensure-- 7#a7 competition among approv$ private mortgage insur]s1 s]vic]s1 issu]s1 & bond gu>antors & o!r m>ket p>ticipants 9 ! second>y mortgage m>ket2 7#b7 competitive pric+ among approv$ private mortgage insur]s1 s]vic]s1 issu]s1 & bond gu>antors & o!r m>ket p>ticipants 9 ! second>y mortgage m>ket2 & 7#c7 liquidity1 transp>5cy1 & access to mortgage cr$it 9 ! second>y mortgage m>ket4 #bag4 ,civil money p5alties 7a7 ,au?ority ,9 addition to any susp5sion or revocation ( ! approv$ /atus ( an approv$ private mortgage insur]1 s]vic]1 issu]1 or bond gu>antor "u ?is subtitle1 ! ,corporation may1 9 its discretion1 impose a civil money p5alty on any su* approv$ private mortgage insur]1 s]vic]1 issu]1 or bond gu>antor t has fail$ to comply ) or o!rwise violates-- 7#a7 any /&>d adopt$ by ! ,corporation pursuant to ?is subtitle2 or 7#b7 any o!r requirem5t or provision ( ?is ,act1 or any ord]1 condition1 rule1 or regulation issu$ pursuant to ?is ,act1 applicable to su* private mortgage insur]1 s]vic]1 issu]1 or bond gu>antor1 z ! case may be4 7b7 ,proc$ures 7#a7 ,e/abli%m5t ,! ,corporation %all e/abli% /&>ds & proc$ures gov]n+ ! imposition ( civil money p5alties "u ?is section4 ,su* /&>ds & proc$ures-- 7,a7 %all provide = ! ,corporation to notify ! approv$ private mortgage insur]1 s]vic]1 issu]1 or bond gu>antor1 z ! case may be1 9 writ+ ( ! det]m9ation ( ! ,corporation to impose ! p5alty1 :i* %all be made on ! record2 7,b7 %all provide = ! imposition ( a p5alty only aft] ! approv$ private mortgage insur]1 s]vic]1 issu]1 or bond gu>antor1 z ! case may be1 has be5 giv5 an opportunity = a he>+ on ! record2 & 7,c7 may provide = review by ! ,corporation ( any det]m9ation or ord]1 or int]locutory rul+1 aris+ f a he>+4 7#b7 ,factors det]m9+ am\nt ( p5alty ,9 det]m9+ ! am\nt ( a p5alty "u ?is section1 ! ,corporation %all give consid]ation to factors includ+-- 7,a7 ! gravity ( ! (f5se2 7,b7 any hi/ory ( prior (f5ses2 7,c7 ability to pay ! p5alty2 7,d7 injury to ! public2 7,e7 b5efits receiv$2 7,f7 det]r5ce ( future violations2 & 7,g7 su* o!r factors z ! ,corporation may det]m9e1 by regulation1 to be appropriate4 7c7 ,action ,to collect p5alty ,if ! approv$ private mortgage insur]1 s]vic]1 issu]1 or bond gu>antor1 z ! case may be1 fails to comply ) an ord] by ! ,corporation impos+ a civil money p5alty "u ?is section1 ! ,corporation may br+ an action 9 ! ,unit$ ,/ates ,di/rict ,c\rt = ! ,di/rict ( ,columbia to obta9 a monet>y judgm5t aga9/ ! approv$ private mortgage insur]1 s]vic]1 issu]1 or bond gu>antor1 z ! case may be1 & su* o!r relief z may be available4 ,! monet>y judgm5t may1 9 ! c\rt's discretion1 include ! attorneys' fees & o!r exp5ses incurr$ by ! ,unit$ ,/ates 9 connection ) ! action4 ,9 an action "u ?is subsection1 ! validity & appropriat5ess ( ! ord] impos+ ! p5alty %all n be subject to review4 7d7 ,settlem5ts ,! ,corporation may compromise1 modify1 or remit any civil money p5alty :i* may be1 or has be51 impos$ "u ?is section4 7e7 ,deposit ( ,p5alties ,! ,corporation %all use any civil money p5alties collect$ "u ?is section to help fund ! ,mortgage ,insurance ,fund e/abli%$ "u section #bjc4 #bah4 ,protection ( privilege & o!r matt]s relat+ to disclosures by m>ket p>ticipants 7a7 ,in=mation %>+ & ma9t5ance ( privilege ,! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahaa et seq47 is am5d$-- 7#a7 9 section #aa7t77#b77;,a7 7#ab ,u4,s4,c4 #ahba7t77#b77;,a771 by ins]t+ aft] clause 7v7 ! foll[+3 7vii7 ,! ,f$]al ,mortgage ,insurance ,corporation4 2 & 7#b7 9 section #ah7x7 7#ab ,u4,s4,c4 #ahbh7x77-- 7,a7 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 be=e any ,f$]al bank+ ag5cy ea* place t t]m appe>s2 & 7,b7 by /rik+ su* ag5cy ea* place t t]m appe>s & ins]t+ ,corporation1 ag5cy4 7b7 ,p]missible consultation ) ,f$]al bank+ ag5cies 7#a7 ,9 g5]al ,pursuant to its au?ority "u section #ajc7;c71 to facilitate ! consultive process1 ! ,corporation may %>e in=mation ) ! ,f$]al bank+ ag5cies1 or any individual ,f$]al bank+ ag5cy1 or any ,/ate bank sup]visor1 or =eign bank+ au?ority1 on a "o-"t1 regul>1 or p]iodic basis z det]m9$ by ! ,corporation reg>d+ ! capital1 asset & liabilities1 f9ancial condition1 risk managem5t practices or any o!r practice ( any approv$ private mortgage insur]1 s]vic]1 issu]1 or bond gu>antor4 7#b7 ,privilege pres]v$ ,in=mation %>$ by ! ,corporation pursuant to p>agraph 7#a7 %all n be con/ru$ z waiv+1 de/roy+1 or o!rwise affect+ any privilege or confid5tial /atus t any approv$ private mortgage insur]1 s]vic]1 issu]1 or bond gu>antor or any o!r p]son may claim ) respect to su* in=mation "u ,f$]al or ,/ate law z to any p]son or entity o!r ?an su* ag5cies1 ag5cy1 sup]visor1 or au?ority4 7#c7 ,rule ( con/ruction ,no provision ( ?is subsection may be con/ru$ z imply+ or e/abli%+ t-- 7,a7 any p]son waives any privilege applicable to in=mation t is %>$ or transf]r$ "u any circum/ance to :i* ?is subsection does n apply2 or 7,b7 any p]son w\ld waive any privilege applicable to any in=mation by submitt+ ! in=mation directly to ! ,f$]al bank+ ag5cies1 or any individual ,f$]al bank+ ag5cy1 or any ,/ate bank sup]visor1 or =eign bank+ au?ority1 b = ?is subsection4 ,c ,transp>5cy 9 m>ket op]ations #bba4 ,review ( loan docum5ts2 disclosures 7a7 ,9 g5]al ,! ,corporation %all1 by rule-- 7#a7 require t approv$ issu]s-- 7,a7 grant access to private m>ket inve/ors seek+ to take ! fir/ loss position 9 a cov]$ security to all-- 7i7 docum5ts relat+ to eligible mortgage loans collat]aliz+ t cov]$ security2 & 7ii7 s]vic+ reports ( ! approv$ s]vic] relat+ to su* mortgages2 & 7,b7 disclose any o!r mat]ial in=mation t a reasonable inve/or w\ld want to "k1 & make no mat]ial omission ( su* in=mation1 relat+ to eligible mortgage loans collat]aliz+ a cov]$ security2 & 7#b7 e/abli% ! tim+1 frequ5cy1 & mann] 9 :i* su* access & disclosures are made4 7b7 ,privacy protections ,9 prescrib+ ! rules requir$ "u ?is section1 ! ,corporation %all take into consid]ation issues ( consum] privacy & all /atutes1 rules1 & regulations relat$ to privacy ( consum] cr$it in=mation & p]sonally id5tifiable in=mation4 ,su* rules %all expressly prohibit ! id5tification ( specific borr[]s4 #bbb4 ,inve/or immunity ,any private m>ket inve/or t has tak5 ! fir/ loss position 9 a cov]$ security or t has o!rwise inve/$ 9 any cov]$ security insur$ "u ?is ,act %all h immunity & protection f civil liability "u ,f$]al & ,/ate law1 & no cause ( action may be br\ght "u ,f$]al or ,/ate law aga9/ su* inve/or1 ) respect to :e!r or n eligible mortgages t collat]alize a cov]$ security insur$ "u ?is ,act h compli$ ) ! requirem5ts ( ?is ,act1 includ+1 b n limit$ to1 ) respect to any und]writ+ requirem5ts applicable to su* mortgage1 any repres5tations or w>ranties made by an approv$ issu] or an approv$ bond gu>antor ) respect to su* mortgages1 or :e!r or n ! t]ms ( any uni=m securitization agreem5t h be5 met4 #bbc4 ,uni=m securitization agreem5ts 7a7 ,9 g5]al ,! ,corporation %all develop1 adopt1 & publi% /&>d uni=m securitization agreem5ts = cov]$ securities :i* are insur$ "u ?is ,act4 7b7 ,requir$ cont5t ,! /&>d uni=m securitization agreem5ts requir$ to be develop$ "u subsection 7a7 %all include t]ms relat+ to-- 7#a7 pool+ & s]vic+1 includ+ ! developm5t ( uni=m /&>ds & practices-- 7,a7 reg>d+ remittance s*$ules & paym5t delays2 & 7,b7 p]mitt+ ! transf] ( s]vic+ rights1 if su* transf] is det]m9$ to be 9 ! be/ f9ancial int]e/ ( ! inve/or1 z su* int]e/ is calculat$ on a net pres5t value basis2 7#b7 repres5tations & w>ranties1 includ+ repres5tations & w>ranties z to compliance or con=mity ) ! requirem5ts ( ?is ,act2 7#c7 indemnification & rem$ies1 includ+ = ! re/itution or indemnification ( ! ,corporation ) respect to e>ly t]m del9qu5cies ( eligible mortgages collat]aliz+ a cov]$ security2 7#d7 ! qualification1 responsibilities1 & duties ( tru/ees2 & 7#e7 any o!r t]ms or /&>ds ! ,corporation det]m9es necess>y or appropriate4 7c7 ,def9+ repres5tation & w>ranty violations ,9 develop+ ! uni=m securitization agreem5ts requir$ "u subsection 7a71 ! ,corporation %all also develop1 adopt1 & publi% cle> & uni=m /&>ds t def9e & illu/rate :at actions1 or omissions to act1 comprise a violation ( ! repres5tations & w>ranties clauses t are made a "p ( su* agreem5ts4 7d7 ,consultation ,! ,corporation %all "w ) indu/ry gr\ps1 includ+ s]vic]s1 orig9ators1 issu]s1 & mortgage inve/ors to develop ! uni=m securitization agreem5ts requir$ "u subsection 7a74 #bbd4 ,uni=m mortgage database 7a7 ,uni=m ,mortgage ,database ,! ,corporation %all e/abli%1 op]ate1 & ma9ta9 a database = ! collection1 public use1 & dissem9ation ( uni=m loan level in=mation on eligible mortgages relat+ to-- 7#a7 loan *>act]i/ics2 7#b7 borr[] in=mation2 7#c7 ! prop]ty secur+ ! eligible mortgages2 7#d7 loan data requir$ at ! "t ( application = insurance f ! ,corporation "u ?is title2 7#e7 ! quality & consi/5cy ( appraisal & collat]al data on eligible mortgages2 7#f7 indu/ry-wide s]vic+ data /&>ds2 & 7#g7 su* o!r data1 datasets1 in=mation1 facts1 or measurem5ts z ! ,corporation det]m9es appropriate to improve & enhance loan quality & op]ational effici5cies )9 ! second>y mortgage m>ket4 7b7 ,consid]ations ,9 e/abli%+ ! database requir$ "u subsection 7a71 ! ,corporation %all take into consid]ation1 build ^u1 & adopt to ! ext5t ! ,corporation det]m9es appropriate1 ! exi/+ data /&>ds set =? "u ! ,uni=m ,mortgage ,data ,program initiative e/abli%$ by ! ,f$]al ,h\s+ ,f9ance ,ag5cy4 7c7 ,regulations ,! ,corporation %all1 by regulation-- 7#a7 e/abli% ! mann] & =m by :i* any loan level in=mation collect$ "u subsection 7a7 may be access$ by ! public1 includ+ :e!r or n to e/abli% a fee = su* access2 7#b7 require t su* loan level in=mation be made available to ! public 9 a uni=m mann]1 9 a =m design$ = ease & spe$ ( access1 ease & spe$ ( d[nload+1 & ease & spe$ ( use2 & 7#c7 ensure ! protection ( any p]sonally id5tifiable in=mation conta9$ 9 any in=mation1 or mix ( in=mation1 collect$ & made available = public access4 7d7 ,mon?ly update ,! database requir$ "u subsection 7a7 %all be updat$ n less frequ5tly ?an once a mon?4 #bbe4 ,electronic regi/ration ( eligible mortgages 7a7 ,e/abli%m5t ( electronic regi/ration sy/em ,! ,corporation %all e/abli%1 op]ate1 & ma9ta9 an electronic regi/ry sy/em = eligible mortgages t collat]alize a cov]$ security insur$ "u ?is ,act 9 ord] to automate1 c5tralize1 /&>dize1 & improve ! process ( track+ *anges 9 s]vic+ rights & b5eficial own]%ip int]e/s 9 su* eligible mortgages4 7b7 ,consid]ations ,9 e/abli%+ ! electronic regi/ry sy/em requir$ "u subsection 7a71 ! ,corporation %all take into consid]ation1 build ^u1 & adopt to ! ext5t ! ,corporation det]m9es appropriate1 any exi/+ ef=ts ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy or exp]tise among ! private sector to develop a s\nd1 effici5t sy/em = docum5t cu/ody & electronic regi/ration ( mortgages1 notes1 titles1 & li5s4 ,d ,,fmic ,/ructure #bca4 ,(fice ( ,und]writ+ 7a7 ,e/abli%m5t ,!re is e/abli%$ )9 ! ,f$]al ,mortgage ,insurance ,corporation an ,(fice ( ,und]writ+ :i* %all be head$ by ! ,deputy ,director ( ,und]writ+1 :o %all be appo9t$ by ! ,bo>d ( ,directors4 7b7 ,responsibilities ,! ,(fice ( ,und]writ+ %all ensure1 ?r\gh ov]sight1 analysis1 & exam9ation1 t eligible mortgages t collat]alize a cov]$ security insur$ "u ?is ,act comply ) ! requirem5ts ( ?is ,act1 includ+ ) respect to-- 7#a7 ! submission ( complete & accurate loan data on eligible mortgages2 7#b7 ! id5tification ( ineligible mortgage loans2 7#c7 assi/+ l5d]s ) orig9at+ high-quality1 l[]-risk eligible mortgages2 & 7#d7 any o!r activity t ! ,director det]m9es appropriate4 #bcb4 ,(fice ( ,securitization 7a7 ,e/abli%m5t ,!re is e/abli%$ )9 ! ,f$]al ,mortgage ,insurance ,corporation an ,(fice ( ,securitization :i* %all be head$ by ! ,deputy ,director ( ,securitization1 :o %all be appo9t$ by ! ,bo>d ( ,directors4 7b7 ,responsibilities 7#a7 ,9 g5]al ,! ,(fice ( ,securitization %all-- 7,a7 ov]see & sup]vise ! common securitization plat=m develop$ by ! bus9ess entity ann\nc$ by ! ,f$]al ,h\s+ ,f9ance ,ag5cy & e/abli%$ by ! ent]prises1 includ+ by requir+ t ! plat=m h sy/em capabilities to p]mit ! issuance ( multi-l5d] cov]$ securities2 7,b7 ensure t cr$it unions1 community & mid-size banks1 & small non-depository l5d]s h equitable access to any su* plat=m1 includ+ ?r\gh ! developm5t & facilitation ( options = multi-l5d] pools ( eligible mortgages to be securitiz$ & issu$ z cov]$ securities ?r\gh su* plat=m2 & 7,c7 coord9ate & consult ) ! ,f$]al ,home ,loan ,bank ,sy/em to e/abli% a securitization plat=m t addresses ! ne$s ( its memb]s4 7#b7 ,rules = use ( common securitization plat=m 7,a7 ,9 g5]al ,! ,corporation1 act+ ?r\gh ! ,(fice ( ,securitization1 may promulgate rules-- 7i7 reg>d+ ! use ( ! common securitization plat=m describ$ "u p>agraph 7#a77;,a72 & 7ii7 to p]mit securities o!r ?an cov]$ securities to be issu$ ?r\gh su* plat=m = reasonable comp5sation4 7,b7 ,cont5t ( rules ,any rule t may be promulgat$ "u subp>agraph 7,a7 may include a requirem5t t any security to be issu$ ?r\gh ! common securitization plat=m be subject to a uni=m securitization agreem5t develop$ "u section #bbc4 7c7 ,e/abli%m5t ( database ,to provide notice to diff]5t classes ( li5 hold]s ,! ,(fice ( ,securitization %all e/abli%1 op]ate1 & ma9ta9 a database t-- 7#a7 c be access$ by any hold] ( a li5 on an eligible mortgage2 7#b7 id5tifies & tracks if a junior li5 or any o!r subord9ate li5 has be5 issu$ on ! prop]ty secur+ an eligible mortgage2 7#c7 notifies1 to ! ext5t feasible1 any s5ior or fir/ li5 hold] ( ! exi/5ce ( su* junior or subord9ate li52 & 7#d7 in=ms-- 7,a7 ! s5ior or fir/ li5 hold] ( ! mon?ly p]=mance ( ! junior or subord9ate li52 & 7,b7 ! junior or subord9ate li5 hold] ( ! mon?ly p]=mance ( ! s5ior or fir/ li54 #bcc4 ,(fice ( ,f$]al ,home ,loan ,bank ,sup]vision 7a7 ,e/abli%m5t ,!re is e/abli%$ )9 ! ,f$]al ,mortgage ,insurance ,corporation an ,(fice ( ,f$]al ,home ,loan ,bank ,sup]vision :i* %all be head$ by ! ,deputy ,director ( ,f$]al ,home ,loan ,bank ,sup]vision1 :o %all be appo9t$ by ! ,bo>d ( ,directors4 7b7 ,responsibilities ,! ,(fice ( ,f$]al ,home ,loan ,bank ,sup]vision %all-- 7#a7 ov]see1 coord9ate1 & sup]vise ! ,f$]al ,home ,loan ,banks & ! ,f$]al ,home ,loan ,bank ,sy/em1 includ+ ! transition ( all activities transf]r$ to ! ,corporation pursuant to section #cja2 & 7#b7 sup]vise any au?oriz$ subsidi>y ( "o or m ,f$]al ,home ,loan ,banks t is approv$ z an approv$ issu] pursuant to section #bac7;b77#b77;,a77ii71 includ+ ) respect to ! initial capitalization ( any su* subsidi>y4 ,,iii ,transf] ( p[]s1 p]sonnel1 & prop]ty to ,,fmic f ,,fhfa #cja4 ,p[]s & duties transf]r$ 7a7 ,f$]al ,home ,loan ,bank functions transf]r$ 7#a7 ,transf] ( functions ,!re are transf]r$ to ! ,corporation all functions ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy relat+ to-- 7,a7 ! sup]vision ( ! ,f$]al ,home ,loan ,banks & ! ,f$]al ,home ,loan ,bank ,sy/em2 & 7,b7 all rulemak+ au?ority ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy relat+ to ! ,f$]al ,home ,loan ,banks & ! ,f$]al ,home ,loan ,bank ,sy/em4 7#b7 ,p[]s1 au?orities1 rights1 & duties ,! ,corporation %all succe$ to all p[]s1 au?orities1 rights1 & duties t 7 ve/$ 9 ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 includ+ all cons]vator%ip or receiv]%ip au?orities1 on ! day be=e ! transf] date 9 connection ) ! functions & au?orities transf]r$ "u p>agraph 7#a74 7#c7 ,effective date ,! transf] ( functions "u ?is p>agraph %all take effect on ! transf] date4 7b7 ,cont9uation & coord9ation ( c]ta9 actions 7#a7 ,9 g5]al ,all regulations1 ord]s1 det]m9ations1 & resolutions describ$ "u p>agraph 7#b7 %all rema9 9 effect accord+ to ! t]ms ( su* regulations1 ord]s1 det]m9ations1 & resolutions1 & %all be en=ceable by or aga9/ ! ,corporation until modifi$1 t]m9at$1 set aside1 or sup]s$$ 9 accordance ) applicable law by ! ,corporation1 any c\rt ( compet5t jurisdiction1 or op]ation ( law4 7#b7 ,applicability ,a regulation1 ord]1 det]m9ation1 or resolution is describ$ "u ?is subsection if x-- 7,a7 0 issu$1 made1 prescrib$1 or all[$ to become effective by-- 7i7 ! ,f$]al ,h\s+ ,f9ance ,ag5cy2 or 7ii7 a c\rt ( compet5t jurisdiction1 & relates to functions transf]r$ by ?is ,act2 7,b7 relates to ! p]=mance ( functions t are transf]r$ by ?is section2 & 7,c7 is 9 effect on ! transf] date4 7c7 ,disposition ( affairs ,dur+ ! p]iod prec$+ ! transf] date1 ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 = ! purpose ( w9d+ up ! affairs ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy 9 connection ) ! p]=mance ( functions t are transf]r$ by ?is section-- 7#a7 %all manage ! employees ( su* ,ag5cy & provide = ! paym5t ( ! comp5sation & b5efits ( any su* employees :i* accrue be=e ! transf] date2 & 7#b7 may take any o!r action necess>y = ! purpose ( w9d+ up ! affairs ( ! ,(fice4 7d7 ,use ( prop]ty & s]vices 7#a7 ,prop]ty ,! ,corporation may use ! prop]ty & s]vices ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy to p]=m functions :i* h be5 transf]r$ to ! ,corporation until su* "t z ! ,ag5cy is aboli%$ "u section #cjc to facilitate ! ord]ly transf] ( functions transf]r$ "u ?is section1 any o!r provision ( ?is ,act1 or any am5dm5t made by ?is ,act to any o!r provision ( law4 7#b7 ,ag5cy s]vices ,any ag5cy1 dep>tm5t1 or o!r in/rum5tality ( ! ,unit$ ,/ates1 & any successor to any su* ag5cy1 dep>tm5t1 or in/rum5tality1 t 0 provid+ support+ s]vices to ! ,ag5cy be=e ! transf] date 9 connection ) functions t are transf]r$ to ! ,corporation %all-- 7,a7 cont9ue to provide su* s]vices1 on a reimbursable basis1 until ! transf] ( su* functions is complete2 & 7,b7 consult ) any su* ag5cy to coord9ate & facilitate a prompt & reasonable transition4 7e7 ,cont9uation ( s]vices ,! ,corporation may use ! s]vices ( employees & o!r p]sonnel ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 on a reimbursable basis1 to p]=m functions :i* h be5 transf]r$ to ! ,corporation = su* "t z is reasonable to facilitate ! ord]ly transf] ( functions pursuant to ?is section1 any o!r provision ( ?is ,act1 or any am5dm5t made by ?is ,act to any o!r provision ( law4 7f7 ,sav+s provisions 7#a7 ,exi/+ rights1 duties1 & obligations n affect$ ,subsection 7a7 & section #cjc %all n affect ! validity ( any "r1 duty1 or obligation ( ! ,unit$ ,/ates1 ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 or any o!r p]son1 t exi/$ on ! day be=e transf] date4 7#b7 ,cont9uation ( suits ,no action or o!r proce$+ comm5c$ by or aga9/ ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy 9 connection ) ! functions t are transf]r$ to ! ,corporation "u ?is section %all abate by reason ( ! enactm5t ( ?is ,act1 except t ! ,corporation %all be sub/itut$ = ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy z a p>ty to any su* action or proce$+4 7g7 ,con=m+ am5dm5ts 7#a7 ,f$]al ,home ,loan ,bank ,act ,! ,f$]al ,home ,loan ,bank ,act 7#ab ,u4,s4,c4 #adba et seq47 is am5d$-- 7,a7 by /rik+ ! ,director & ins]t+ ! ,corporation ea* place t t]m appe>s2 7,b7 by /rik+ ,! ,director & ins]t+ ,! ,corporation ea* place t t]m appe>s2 7,c7 by /rik+ ,*airman ( ! ,director ( ,gov]nors & ins]t+ ,*airman ( ! ,bo>d ( ,gov]nors ea* place t t]m appe>s2 7,d7 by /rik+ ! ,ag5cy & ins]t+ ! ,corporation ea* place t t]m appe>s2 7,e7 9 section #b1 by /rik+ p>agraphs 7#aa7 & 7#ab7 & ins]t+ ! foll[+3 7#aa7 ,corporation ,! t]m ,corporation means ! ,f$]al ,mortgage ,insurance ,corporation e/abli%$ "u title ,i ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjac4 2 & 7,f7 9 section #aa7l77#e71 9 ! head] to su* p>agraph1 by /rik+ ( ! director4 7#b7 ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ,section #acaf ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib 7#ab ,u4,s4,c4 #deaf7 is am5d$-- 7,a7 9 subsection 7a7-- 7i7 9 ! matt] prec$+ p>agraph 7#a71 by /rik+ ! regulat$ entities & ins]t+ ea* ent]prise2 & 7ii7 9 p>agraph 7#a71 by /rik+ & "u section #bj ( ! ,f$]al ,home ,loan ,bank ,act2 7,b7 9 subsection 7b71 by /rik+ p>agraph 7#b72 7,c7 9 subsection 7c7-- 7i7 by /rik+ any regulat$ entity & ins]t+ any ent]prise2 7ii7 by /rik+ ! regulat$ entity & ins]t+ ! ent]prise2 7iii7 by /rik+ a regulat$ entity & ins]t+ an ent]prise ea* place t t]m appe>s2 7iv7 by /rik+ su* regulat$ entity & ins]t+ su* ent]prise ea* place t t]m appe>s2 & 7v7 by /rik+ su* entity & ins]t+ su* ent]prise2 & 7,d7 9 subsection 7e7-- 7i7 by /rik+ ea* regulat$ entity & ins]t+ ea* ent]prise2 & 7ii7 by /rik+ su* regulat$ entity & ins]t+ su* ent]prise4 7#c7 ,"r to ,f9ancial ,privacy ,act ( #aigh ,section #aaac7o7 ( ! ,"r to ,f9ancial ,privacy ,act ( #aigh 7#ab ,u4,s4,c4 #cdac7o77 is am5d$-- 7,a7 9 ! head+ to ! subsection1 by ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 7,b7 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 & 7,c7 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy's & ins]t+ ,f$]al ,mortgage ,insurance ,corporation's4 7#d7 ,effective date ,! am5dm5ts made by ?is subsection %all take effect on ! transf] date4 #cjb4 ,transf] & rights ( employees ( ! ,,fhfa 7a7 ,transf] ,ea* employee ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy t is employ$ 9 connection ) functions t are transf]r$ to ! ,corporation "u section #cja %all be transf]r$ to ! ,corporation = employm5t1 n lat] ?an ! transf] date1 & su* transf] %all be deem$ a transf] ( function = purposes ( section #cejc ( title #e1 ,unit$ ,/ates ,code4 7b7 ,/atus ( employees ,! transf] ( functions "u ?is title1 & ! aboli%m5t ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy "u section #cjc1 may n be con/ru$ to affect ! /atus ( any transf]r$ employee z an employee ( an ag5cy ( ! ,unit$ ,/ates = purposes ( any o!r provision ( law4 7c7 ,gu>ante$ positions ,ea* employee transf]r$ "u subsection 7a7 %all be gu>ante$ a position ) ! same /atus1 t5ure1 grade1 & pay z t held on ! day imm$iately prec$+ ! transf]4 7d7 ,appo9tm5t au?ority = except$ employees 7#a7 ,9 g5]al ,9 ! case ( an employee occupy+ a position 9 ! except$ s]vice1 any appo9tm5t au?ority e/abli%$ "u law or by regulations ( ! ,(fice ( ,p]sonnel ,managem5t = fill+ su* position %all be transf]r$1 subject to p>agraph 7#b74 7#b7 ,decl9e ( transf] ,! ,corporation may decl9e a transf] ( au?ority "u p>agraph 7#a71 to ! ext5t t su* au?ority relates to a position except$ f ! competitive s]vice because ( its confid5tial1 policymak+1 policy-det]m9+1 or policy-advocat+ "*4 7e7 ,reorganization ,if ! ,corporation det]m9es1 aft] ! end ( ! #a-ye> p]iod beg9n+ on ! transf] date1 t a reorganization ( ! comb9$ work=ce is requir$1 t reorganization %all be deem$ a major reorganization = purposes ( af=d+ affect$ employee retirem5t "u section #hccf7;d77#b7 or #hdad7;b77#a77;,b7 ( title #e1 ,unit$ ,/ates ,code4 7f7 ,employee b5efit programs 7#a7 ,9 g5]al ,any employee ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy accept+ employm5t ) ! ,corporation z a result ( a transf] "u subsection 7a7 may reta91 = #ab mon?s aft] ! date on :i* su* transf] occurs1 memb]%ip 9 any employee b5efit program ( ! ,ag5cy or ! ,corporation1 z applicable1 includ+ insurance1 to :i* su* employee belongs on ! transf] date if-- 7,a7 ! employee does n elect to give up ! b5efit or memb]%ip 9 ! program2 & 7,b7 ! b5efit or program is cont9u$ by ! ,corporation4 7#b7 ,co/ diff]5tial 7,a7 ,9 g5]al ,! diff]5ce 9 ! co/s betwe5 ! b5efits :i* w\ld h be5 provid$ by ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ^? provid$ by ?is section %all be paid by ! ,corporation4 7,b7 ,heal? ,insurance ,if any employee elects to give up memb]%ip 9 a heal? insurance program or ! heal? insurance program is n cont9u$ by ! ,corporation1 ! employee %all be p]mitt$ to select an alt]nate ,f$]al heal? insurance program n lat] ?an #cj days aft] ! date ( su* election or notice1 )\t reg>d to any o!r regul>ly s*$ul$ op5 season4 #cjc4 ,aboli%m5t ( ,,fhfa ,effective ^u ! ,,fmic c]tification date1 ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ! position ( ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy are aboli%$4 #cjd4 ,transf] ( prop]ty & facilities ,effective ^u ! ,,fmic c]tification date all prop]ty ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy %all transf] to ! ,corporation4 #cje4 ,te*nical & con=m+ am5dm5ts 7a7 ,effective date ,! am5dm5ts made by ?is section %all take effect on ! date ( enactm5t ( ?is ,act4 7b7 ,ref]5ces 9 ,f$]al law ,on & aft] ! date ( enactm5t ( ?is ,act1 any ref]5ce 9 ,f$]al law to ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy or ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 9 connection ) any function ( ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy or ! ,f$]al ,h\s+ ,f9ance ,ag5cy transf]r$ "u section #cja1 %all be deem$ a ref]5ce to ! ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation or ! ,f$]al ,mortgage ,insurance ,corporation1 z appropriate & consi/5t ) ! am5dm5ts made by ?is ,act4 7c7 ,title #ah1 ,unit$ ,/ates ,code ,title #ah1 ,unit$ ,/ates ,code1 is am5d$-- 7#a7 9 section #aije1 by ins]t+ or ! ,f$]al ,mortgage ,insurance ,corporation aft] ,f$]al ,h\s+ ,f9ance ,ag5cy2 7#b7 9 section #bab7;c77#b7-- 7,a7 9 subp>agraph 7,f71 by /rik+ 2 & & ins]t+ a semicolon2 7,b7 9 subp>agraph 7,g71 by /rik+ ! p]iod at ! end & ins]t+ 2 &2 & 7,c7 by add+ at ! end ! foll[+3 7,h7 ! ,f$]al ,mortgage ,insurance ,corporation4 2 7#c7 9 section #feg1 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy12 7#d7 9 section #ajjf1 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy12 & 7#e7 9 section #ajad1 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy14 7d7 ,flood ,disa/] ,protection ,act ( #aigc ,section #ajb7;b77#e7 ( ! ,flood ,disa/] ,protection ,act ( #aigc 7#db ,u4,s4,c4 #djab;a7b77#e77 is am5d$ 9 subsection 7b77#e71 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy14 7e7 ,title #e1 ,unit$ ,/ates ,code ,title #e1 ,unit$ ,/ates ,code1 is am5d$-- 7#a7 9 section #ecac1 by ins]t+ ! foll[+ new item aft] ! item relat+ to ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy3 ,director ( ! ,f$]al ,mortgage ,insurance ,corporation4 2 & 7#b7 9 section #cacb7;a77#a77;,d71 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy14 7f7 ,s>banes-,oxley ,act ,section #aje7;b77#e77;,b77ii77,,ii7 ( ! ,s>banes-,oxley ,act ( #bjjb 7#ae ,u4,s4,c4 #gbae7;b77#e77;,b77ii77,,ii77 is am5d$ by ins]t+ or ! ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation aft] ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy4 7g7 ,f$]al ,deposit ,insurance ,act ,! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahaa et seq47 is am5d$-- 7#a7 9 section #g7;a77#b77;,a71 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy1 ea* place t t]m appe>s2 7#b7 9 section #h7;e77#g77;,a77vi71 by ins]t+ 1 ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy2 7#c7 9 section #aa7t77#b77;,a71 by add+ at ! end ! foll[+3 7viii7 ,! ,f$]al ,mortgage ,insurance ,corporation4 2 & 7#d7 9 section #cc7;e71 by ins]t+ 1 ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy4 7h7 ,riegle ,community ,developm5t & ,regulatory ,improvem5t ,act ( #aiid ,section #aag7;e7 ( ! ,riegle ,community ,developm5t & ,regulatory ,improvem5t ,act ( #aiid 7#ab ,u4,s4,c4 #dgaf7;e77 is am5d$ by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy14 7i7 ,,mahra ,act ( #aiig ,section #eag7;b77#d7 ( ! ,multifamily ,assi/$ ,h\s+ ,re=m & ,af=dability ,act ( #aiig 7#db ,u4,s4,c4 #adcg;f note7 is am5d$ by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy14 7j7 ,title #dd1 ,unit$ ,/ates ,code ,section #cejb7e7 ( title #dd1 ,unit$ ,/ates ,code1 is am5d$ by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy14 7k7 ,access to local ,,tv ,act ( #bjjj ,section #ajjd7;d77#b77;,d77iii7 ( ! ,laun*+ ,our ,communities' ,access to ,local ,television ,act ( #bjjj 7#dg ,u4,s4,c4 #aajc7;d77#b77;,d77iii77 is am5d$ by ins]t+ or ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy4 7l7 ,,firrea ,! ,f9ancial ,in/itutions ,re=m1 ,recov]y1 & ,enhancem5t ,act ( #aihi is am5d$-- 7#a7 9 section #abaf-- 7,a7 9 subsection 7a7-- 7i7 9 p>agraph 7#b71 by /rik+ 2 & & ins]t+ a semicolon2 7ii7 9 p>agraph 7#c71 by /rik+ ! p]iod & ins]t+ 2 &2 & 7iii7 by add+ at ! end ! foll[+3 7#d7 ! ,f$]al ,mortgage ,insurance ,corporation4 2 & 7,b7 9 subsection 7c71 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 be=e & ! ,f$]al ,h\s+ ,f9ance ,ag5cy12 7#b7 9 section #djb7;e71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy ea* place t t]m appe>s & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 7#c7 9 section #aabd1 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy1 ea* place t t]m appe>s2 & 7#d7 9 section #aabe7;b71 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy14 7m7 ,,eesa ,! ,em]g5cy ,economic ,/abilization ,act ( #bjjh 7#ab ,u4,s4,c4 #ebja note7 is am5d$-- 7#a7 9 section #ajd7;b7-- 7,a7 9 p>agraph 7#d71 by /rik+ 2 & & ins]t+ a semicolon2 7,b7 9 p>agraph 7#e71 by /rik+ ! p]iod & ins]t+ 2 &2 & 7,c7 by add+ at ! end ! foll[+3 7#f7 ! ,f$]al ,mortgage ,insurance ,corporation4 2 & 7#b7 9 section #aji7;b71 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy14 7n7 ,dodd-,frank ,act ,! ,dodd-,frank ,wall ,/reet ,re=m & ,consum] ,protection ,act 7,public ,law #aaa-bjc7 is am5d$-- 7#a7 9 section #cdb7;g77#a7-- 7,a7 9 subp>agraph 7,h71 by /rik+ 2 & & ins]t+ a semicolon2 7,b7 9 subp>agraph 7,i71 by /rik+ ! p]iod & ins]t+ 2 &2 & 7,c7 by add+ at ! end ! foll[+3 7,j7 ! ,f$]al ,mortgage ,insurance ,corporation4 2 7#b7 9 section #ihi;,e7a77#a71 by add+ at ! end ! foll[+3 7,j7 ,! ,f$]al ,mortgage ,insurance ,corporation4 2 & 7#c7 9 section #adha7;b71 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy14 7o7 ,h\s+ & ,urban-,rural ,recov]y ,act ,section #dfi ( ! ,h\s+ & ,urban-,rural ,recov]y ,act ( #aihc 7#ab ,u4,s4,c4 #agjap-#a7 is am5d$1 9 ! fir/ s5t5ce1 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy14 7p7 ,neighborhood ,re9ve/m5t ,corporation ,act ,section #fjf7;c77#c7 ( ! ,neighborhood ,re9ve/m5t ,corporation ,act 7#db ,u4,s4,c4 #haje7;c77#c77 is am5d$ by ins]t+ 1 ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy4 7q7 ,f$]al ,insurance ,(fice ,act ,section #cac7r77#d7 ( title #ca1 ,unit$ ,/ates ,code1 is am5d$ by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy14 7r7 ,commodity ,ex*ange ,act ,section #a;a7#ci77;,e7 ( ! ,commodity ,ex*ange ,act 7#g ,u4,s4,c4 #a;a7#ci77;,e77 is am5d$-- 7#a7 by /rik+ a regulat$ entity & ins]t+ an ent]prise2 & 7#b7 by ins]t+ be=e ! p]iod at ! end ! ,f$]al ,mortgage ,insurance ,corporation 9 ! case ( a swap deal]1 major swap p>ticipant1 security-bas$ swap deal]1 or major security-bas$ swap p>ticipant t is a ,f$]al ,home ,loan ,bank4 7s7 ,tru? 9 ,l5d+ ,act ,! ,tru? 9 ,l5d+ ,act 7#ae ,u4,s4,c4 #afja et seq47 is am5d$-- 7#a7 section #abi;,h7b77#d71 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy12 & 7#b7 9 section #abi;,e-- 7,a7 9 subsection 7g77#a71 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy12 & 7,b7 9 subsection 7h71 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy14 7t7 ,,ffiec ,! fir/ s5t5ce ( section #ajaa ( ! ,f$]al ,f9ancial ,in/itutions ,exam9ation ,c\ncil ,act ( #aigh 7#ab ,u4,s4,c4 #ccaj7 is am5d$ by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 be=e & ! ,f$]al ,h\s+ ,f9ance ,ag5cy4 ,,iv ,improv+ transp>5cy1 acc\ntability1 & efficacy )9 af=dable h\s+ #dja4 ,af=dable h\s+ allocations 7a7 ,fee & allocation ( am\nts ,subject to subsection 7b71 & 9 addition to any fees = ! provision ( insurance e/abli%$ 9 accordance ) title ,,ii1 9 ea* fiscal ye> ! ,corporation %all-- 7#a7 *>ge & collect a fee 9 an am\nt equal to n less ?an #e basis po9ts & n m ?an #aj basis po9ts = ea* doll> ( ! out/&+ pr9cipal balance ( eligible mortgages collat]aliz+ cov]$ securities = :i* insurance is be+ provid$ "u title ,,ii2 & 7#b7 allocate or o!rwise transf]-- 7,a7 #hj p]c5t ( su* fee am\nts to ! ,secret>y ( ,h\s+ & ,urban ,developm5t to fund ! ,h\s+ ,tru/ ,fund e/abli%$ "u section #acch ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib 7#ab ,u4,s4,c4 #defh72 & 7,b7 #bj p]c5t ( su* fee am\nts to ! ,secret>y ( ! ,treasury to fund ! ,capital ,magnet ,fund e/abli%$ "u section #acci ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib 7#ab ,u4,s4,c4 #defi74 7b7 ,susp5sion ( contributions ,! ,corporation may tempor>ily susp5d allocations "u subsection 7a7 ^u a f9d+ by ! ,corporation t su* allocations are contribut+1 or w\ld contribute1 to ! f9ancial in/ability ( ! ,mortgage ,insurance ,fund e/abli%$ "u section #bjc4 #djb4 ,h\s+ ,tru/ ,fund ,section #acch ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib 7#ab ,u4,s4,c4 #defh7 is am5d$-- 7#a7 9 subsection 7a71 by /rik+ by ! ent]prises "u section #accg & ins]t+ pursuant to section #dja ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjac2 7#b7 by repeal+ subsection 7b72 & 7#c7 9 subsection 7c7-- 7,a7 9 p>agraph 7#a71 by /rik+ ,except z provid$ 9 subsection 7b71 ! & ins]t+ ,!2 7,b7 9 p>agraph 7#d77;,b71 by /rik+ o!r ?an fiscal ye> #bjji2 7,c7 9 p>agraph 7#g7-- 7i7 9 subp>agraph 7,a71 by /rik+ 2 & & ins]t+ a semicolon2 7ii7 9 subp>agraph 7,b77iv7-- 7,i7 by /rik+ section #acb & ins]t+ section #aacb2 & 7,,ii7 by /rik+ ! p]iod at ! end & ins]t+ a semicolon2 & 7iii7 by add+ at ! end ! foll[+3 7,c7 grants & loans1 includ+ ?r\gh ! use ( pilot programs ( suffici5t scale1 to support ! rese>* & developm5t ( su/a9able home[n]%ip & af=dable r5tal programs1 provid$ t su* grant or loan am\nts are us$ only = ! b5efit ( families ^: income does n exce$ #abj p]c5t ( ! area m$ian income z det]m9$ by ! ,secret>y1 ) adju/m5ts = family size2 & 7,d7 provide limit$ cr$it enhancem5t1 & o!r =ms ( cr$it support1 = product & s]vices t-- 7i7 w increase ! rate ( su/a9able home[n]%ip & af=dable r5tal by individuals or families ^: income does n exce$ #abj p]c5t ( ! area m$ian income z det]m9$ by ! ,secret>y1 ) adju/m5ts = family size2 & 7ii7 might n o!rwise be (f]$ or support$ by a pilot program ( suffici5t scale to det]m9e ! viability ( su* products & s]vices 9 ! private m>ket4 2 & 7,d7 9 p>agraph 7#aj7-- 7i7 by am5d+ subp>agraph 7,a7 to read z foll[s3 7,a7 ,ensur+ effici5t use ( grant am\nts 7i7 ,use = c]ta9 eligible activities ,9 ea* fiscal ye>1 ( ! aggregate am\nt allocat$ to a ,/ate or ,/ate designat$ entity "u ?is subsection-- 7,i7 #ce p]c5t %all be us$ = activities "u subp>agraph 7,a7 ( p>agraph 7#g72 7,,ii7 #e p]c5t %all be us$ = activities "u subp>agraph 7,b7 ( p>agraph 7#g72 & 7,,iii7 #fj p]c5t %all be us$ = activities "u subp>agraphs 7,c7 & 7,d7 ( p>agraph 7#g74 7ii7 ,ensur+ b5efits = rural communities 7,i7 ,9 g5]al ,9 ea* fiscal ye>1 ( ! aggregate am\nt allocat$ to a ,/ate or ,/ate designat$ entity "u ?is subsection1 ! ,/ate or ,/ate designat$ entity %all ensure t1 at a m9imum1 su* am\nts are di/ribut$ = ! b5efit ( non5titlem5t areas 9 t ,/ate 9 ! same proportion t ! total am\nt ( non5titlem5t areas 9 t ,/ate be>s to ! total am\nt ( all areas 9 t ,/ate4 7,,ii7 ,t>get$ outrea* to small] communities ,9 c>ry+ out ! requirem5t "u subclause 7,i71 ea* ,/ate or ,/ate designat$ entity %all 9 di/ribut+ am\nts allocat$ to t ,/ate or ,/ate designat$ entity give priority to non5titlem5t areas ) a population ( less ?an #bj1jjj4 7,,iii7 ,def9ition ( non5titlem5t area ,= purposes ( ?is clause1 ! t]m non5titlem5t area has ! same mean+ giv5 t t]m "u section #ajb7;a77#g7 ( ! ,h\s+ & ,community ,developm5t ,act ( #aigd 7#db ,u4,s4,c4 #ecjb7;a77#g774 2 & 7ii7 by /rik+ subp>agraph 7,e74 #djc4 ,capital ,magnet ,fund ,section #acci ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib 7#ab ,u4,s4,c4 #defi7 is am5d$-- 7#a7 9 subsection 7b77#a71 by /rik+ pursuant to section #accg & ins]t+ pursuant to section #dja ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjac2 & 7#b7 9 subsection 7h71 by /rik+ p>agraph 7#g74 #djd4 ,additional taxpay] protections 7a7 ,ensur+ b5efits support citiz5s & lawful p]man5t resid5ts ,! ,secret>y ( ,h\s+ & ,urban ,developm5t & ! ,secret>y ( ! ,treasury1 respectively1 %all ensure t grant am\nts allocat$ to cov]$ grantees1 allocat$ by cov]$ grantees to eligible recipi5ts1 or allocat$ to individuals by su* eligible recipi5ts are us$ = ! b5efit ( only lawful p]man5t resid5ts & citiz5s ( ! ,unit$ ,/ates 9 c>ry+ out ! activities (-- 7#a7 ! ,h\s+ ,tru/ ,fund2 & 7#b7 ! ,capital ,magnet ,fund4 7b7 ,n ,to be us$ = political activities ,consi/5t ) ! exi/+ requirem5ts "u sections #acch7;c77#aj77;,d7 & section #acci7;h77#e7 ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib1 ! ,secret>y ( ,h\s+ & ,urban ,developm5t & ! ,secret>y ( ! ,treasury1 respectively1 %all ensure t grant am\nts allocat$ by cov]$ grantees to eligible recipi5ts or allocat$ to individuals by su* eligible recipi5ts are n us$ =-- 7#a7 political activities2 7#b7 advocacy2 7#c7 lobby+1 :e!r directly or ?r\gh o!r p>ties2 7#d7 influ5c+ ! selection1 nom9ation1 election1 or appo9tm5t ( "o or m c&idates to any ,f$]al1 ,/ate or local (fice2 7#e7 p]sonal c\nsel+ s]vices2 7#f7 travel exp5ses2 & 7#g7 prep>+ or provid+ advice on tax returns4 7c7 ,p5alties 7#a7 ,civil money p5alty ,if an eligible recipi5t or any o!r individual 9 receipt ( grant am\nts describ$ by ?is section violates any provision ( subsection 7a7 or 7b71 ! ,secret>y ( ,h\s+ & ,urban ,developm5t or ! ,secret>y ( ! ,treasury1 z ! case may be1 may impose a civil p5alty on su* recipi5t or individual1 z ! case may be1 ( n m ?an #a1jjj1jjj = ea* violation4 7#b7 ,crim9al p5alties ,:oev]1 be+ subject to ! provisions ( subsection 7a7 or 7b71 kn[+ly p>ticipates1 directly or indirectly1 9 any mann] 9 conduct t results 9 a violation ( su* provisions %all1 not)/&+ section #cega ( title #ah1 ,unit$ ,/ates ,code1 be f9$ n m ?an #a1jjj1jjj = ea* violation1 imprison$ = n m ?an #e ye>s1 or bo?4 7#c7 ,rule ( con/ruction ,! p5alties impos$ "u p>agraphs 7#a7 or 7#b7 %all be 9 addition to any o!r available civil rem$y or any o!r available crim9al p5alty & may be impos$ :e!r or n ! ,secret>y ( ,h\s+ & ,urban ,developm5t or ! ,secret>y ( ! ,treasury1 z ! case may be1 imposes o!r adm9i/rative sanctions4 7d7 ,def9ition ,z us$ 9 ?is section-- 7#a7 ! t]m cov]$ grantee means-- 7,a7 = purposes ( ! ,h\s+ ,tru/ ,fund1 a ,/ate or ,/ate designat$ entity2 & 7,b7 = purposes ( ! ,capital ,magnet ,fund1 an eligible grantee z describ$ "u section #acci7;e7 ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib2 7#b7 ! t]m eligible recipi5t means-- 7,a7 = purposes ( ! ,h\s+ ,tru/ ,fund1 a recipi5t z describ$ "u section #acch7;c77#i7 ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiibt2 & 7,b7 = purposes ( ! ,capital ,magnet ,fund1 a recipi5t ( assi/ance f ! ,capital ,magnet ,fund2 7#c7 ! t]m ,capital ,magnet ,fund means ! ,capital ,magnet ,fund e/abli%$ "u section #acci ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib 7#ab ,u4,s4,c4 #defi72 & 7#d7 ! t]m ,h\s+ ,tru/ ,fund means ! ,h\s+ ,tru/ ,fund e/abli%$ "u section #acch ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib 7#ab ,u4,s4,c4 #defh74 ,v ,w9d ,d[n ( ,fannie ,mae & ,fr$die ,mac #eja4 ,repeal ( ,,gse *>t]s 7a7 ,fannie ,mae ,effective on ! ,,fmic c]tification date1 ! *>t] ( ! ,f$]al ,national ,mortgage ,association is repeal$ & ! ,f$]al ,national ,mortgage ,association %all h no au?ority to conduct new bus9ess "u su* *>t]1 except t ! provisions ( su* *>t] 9 effect imm$iately be=e su* repeal %all cont9ue to apply ) respect to ! rights & obligations ( any hold]s (-- 7#a7 out/&+ debt obligations ( ! ,f$]al ,national ,mortgage ,association1 includ+ any-- 7,a7 bonds1 deb5tures1 notes1 or o!r simil> in/rum5ts2 7,b7 capital lease obligations2 or 7,c7 obligations 9 respect ( lett]s ( cr$it1 bank]s' acceptances1 or o!r simil> in/rum5ts2 or 7#b7 mortgage-back$ securities gu>ante$ by ! ,f$]al ,national ,mortgage ,association4 7b7 ,fr$die ,mac ,effective on ! ,,fmic c]tification date1 ! *>t] ( ! ,f$]al ,home ,loan ,mortgage ,corporation is repeal$ & ! ,f$]al ,home ,loan ,mortgage ,corporation %all h no au?ority to conduct new bus9ess "u su* *>t]1 except t ! provisions ( su* *>t] 9 effect imm$iately be=e su* repeal %all cont9ue to apply ) respect to ! rights & obligations ( any hold]s (-- 7#a7 out/&+ debt obligations ( ! ,f$]al ,home ,loan ,mortgage ,corporation1 includ+ any-- 7,a7 bonds1 deb5tures1 notes1 or o!r simil> in/rum5ts2 7,b7 capital lease obligations2 or 7,c7 obligations 9 respect ( lett]s ( cr$it1 bank]s' acceptances1 or o!r simil> in/rum5ts2 or 7#b7 mortgage-back$ securities gu>ante$ by ! ,f$]al ,home ,loan ,mortgage ,corporation4 7c7 ,exi/+ gu>antee obligations 7#a7 ,explicit gu>antee ,! full fai? & cr$it ( ! ,unit$ ,/ates is pl$g$ to ! paym5t ( all am\nts :i* may be requir$ to be paid "u any obligation describ$ "u subsections 7a7 & 7b74 7#b7 ,cont9u$ divid5d paym5ts ,not)/&+ section #ejb or any o!r provision ( law1 & subject to section #fja1 provision #b7;a7 7relat+ to ,divid5d ,paym5t ,dates & ,divid5d ,p]iods7 & provision #b7;c7 7relat+ to ,divid5d ,rates & ,divid5d ,am\nt7 ( ! ,s5ior ,pref]r$ ,/ock ,pur*ase ,agreem5t1 or any provision ( any c]tificate 9 connection ) su* ,agreem5t creat+ or designat+ ! t]ms1 p[]s1 pref]5ces1 privileges1 limitations1 or any o!r conditions ( ! ,v>iable ,liquidation ,pref]5ce ,s5ior ,pref]r$ ,/ock ( an ent]prise issu$ pursuant to su* ,agreem5t-- 7,a7 %all n be am5d$1 re/at$1 or o!rwise *ang$ to r$uce ! rate or am\nt ( divid5ds 9 effect pursuant to su* ,agreem5t z ( ! ,?ird ,am5dm5t to su* ,agreem5t dat$ ,augu/ #ag1 #bjab1 except t any am5dm5t to su* ,agreem5t to facilitate ! sale ( assets ( ! ent]prises to facilitate compliance ) ! provisions ( section #ejb7;b7 %all be p]mitt$2 & 7,b7 %all rema9 9 effect until ! gu>antee obligations describ$ "u subsections 7a77#b7 & 7b77#b7 are fully ext+ui%$4 7#c7 ,applicability ,not)/&+ section #ejb1 all gu>antee fee am\nts d]iv$ f ! s+le-family mortgage gu>antee bus9ess ( ! ent]prises 9 exi/5ce z ( ! ,,fmic c]tification date %all be subject to ! t]ms ( ! ,s5ior ,pref]r$ ,/ock ,pur*ase ,agreem5t4 7d7 ,f$]al ,safety & ,s\ndness ,act 7#a7 ,9 g5]al ,! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib 7#ab ,u4,s4,c4 #deja et seq47 is am5d$-- 7,a7 9 section #acjc-- 7i7 9 p>agraph 7#b71 by /rik+ ',f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 7ii7 9 p>agraph 7#c71 by /rik+ means & all t foll[s ?r\gh ! p]iod at ! end1 & ins]t+ means ! ,f$]al ,home ,loan ,bank ,act42 7iii7 by repeal+ p>agraph 7#d72 & 7iv7 9 p>agraph 7#i71 by /rik+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,bo>d ( ,directors ( ! ,f$]al ,mortgage ,insurance ,corporation2 7,b7 by repeal+ section #acac;,a2 & 7,c7 by repeal+ section #acag7;d74 7#b7 ,effective date ,! am5dm5ts made by p>agraph 7#a7 %all take effect on ! ,,fmic c]tification date4 #ejb4 ,w9d d[n 7a7 ,w9d d[n 7#a7 ,au?ority ( ,,fhfa ,beg9n+ on ! date ( enactm5t ( ?is ,act & end+ on ! ,,fmic c]tification date1 ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 9 consultation ) ! ,corporation & ! ,secret>y ( ! ,treasury1 %all take su* action1 & may prescribe su* regulations & proc$ures1 z may be necess>y to w9d d[n ! op]ations ( ! ent]prises 9 an ord]ly mann] t complies ) ! requirem5ts ( ?is ,act & any am5dm5ts made by ?is ,act4 7#b7 ,limitation ,not)/&+ any au?ority grant$ to ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy "u p>agraph 7#a71 ! sale1 transf]1 ex*ange1 or o!r disposition ( any asset subject to ! w9d d[n requir$ "u ?is section %all be prohibit$1 if ! ,corporation-- 7,a7 9 its discretion det]m9es t su* sale1 transf]1 ex*ange1 or disposition w\ld mat]ially int]f]e ) ! ability ( ! ,corporation to c>ry out ! requirem5ts ( ?is ,act2 & 7,b7 notifies1 9 writ+1 ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy )9 #ad days ( su* det]m9ation4 7#c7 ,rule ( con/ruction ,not)/&+ any au?ority grant$ to ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy "u p>agraph 7#a71 ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy-- 7,a7 %all h no au?ority to sell1 transf]1 ex*ange1 or o!rwise dispose ( any gu>antee obligations describ$ "u subsections 7a77#b7 & 7b77#b7 ( section #eja2 & 7,b7 %all h no rights1 claims1 or title to1 nor any au?ority to sell1 transf]1 ex*ange1 or o!rwise dispose (1 gu>antee fee am\nts d]iv$ f ! s+le-family mortgage gu>antee bus9ess ( ! ent]prises 9 exi/5ce z ( ! ,,fmic c]tification date4 7b7 ,division ( assets & liabilities2 au?ority ,to e/abli% hold+ corporation & dissolution tru/ fund ,! action & proc$ures requir$ "u subsection 7a7-- 7#a7 %all include ! e/abli%m5t & execution ( plans to provide = an equitable division1 di/ribution1 & liquidation ( ! assets & liabilities ( an ent]prise1 includ+ any infra/ructure1 prop]ty1 includ+ intellectual prop]ty1 plat=ms1 or any o!r ?+ or object ( value1 provid$ su* plan complies ) ! requirem5ts ( ?is ,act & any am5dm5ts made by ?is ,act2 & 7#b7 may provide = e/abli%m5t (-- 7,a7 a hold+ corporation organiz$ "u ! laws ( any ,/ate ( ! ,unit$ ,/ates or ! ,di/rict ( ,columbia = ! purpose ( w9d+ d[n an ent]prise2 & 7,b7 "o or m tru/s to :i* to transf]-- 7i7 out/&+ debt obligations ( an ent]prise2 or 7ii7 out/&+ mortgages held = ! purpose ( collat]aliz+ mortgage-back$ securities gu>ante$ by an ent]prise4 7c7 ,rec\pm5t by s5ior pref]r$ %>ehold]s 7#a7 ,9 g5]al ,subject to ! requirem5ts ( ?is ,act1 any proce$s f ! w9d d[n ( an ent]prise %all be paid fir/ to ! s5ior pref]r$ %>ehold]s ( ea* su* ent]prise1 !n to ! pref]r$ %>ehold]s ( ea* su* ent]prise1 & !n to ! common %>ehold]s ( ea* su* ent]prise4 7#b7 ,jo9t det]m9ation ,! am\nt ( any proce$s to be paid pursuant to p>agraph 7#a7 %all be jo9tly det]m9$ by ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 ! ,corporation1 & ! ,secret>y ( ! ,treasury4 7#c7 ,maximum return to %>ehold]s ,! w9d d[n ( ea* ent]prise requir$ "u ?is section %all be manag$ by ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 9 consultation ) ! ,corporation & ! ,secret>y ( ! ,treasury1 to obta9 resolutions t maximize ! return = ! s5ior pref]r$ %>ehold]s "u p>agraph 7#a71 to ! ext5t t su* resolutions-- 7,a7 are consi/5t ) ! goal ( support+ a s\nd1 /able1 & liquid h\s+ m>ket2 7,b7 are consi/5t ) applicable ,f$]al & ,/ate law2 7,c7 comply ) ! requirem5ts ( ?is ,act & any am5dm5ts made by ?is ,act2 & 7,d7 protect ! taxpay]4 7#d7 ,sale ( c]ta9 assets z a go+ conc]n ,except z provid$ 9 section #fja or else:]e z requir$ 9 ?is ,act1 if ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 9 consultation ) ! ,corporation & ! ,secret>y ( ! ,treasury1 det]m9es t ! sale ( any l9e ( bus9ess1 or any function1 activity1 or s]vice ( an ent]prise z a go+ conc]n w maximize ! return = ! s5ior pref]r$ %>ehold]s z requir$ "u p>agraph 7#c71 ! ,director may conduct su* sale1 provid$ t-- 7,a7 "u no circum/ance1 %all su* sale transf]1 convey1 or au?orize1 or be deem$ to transf]1 convey1 or au?orize1 any gu>antee or ,f$]al support1 assi/ance1 or back+1 implicit or explicit1 relat$ to any su* l9e ( bus9ess1 function1 activity1 or s]vice2 & 7,b7 su* sale does n imp$e or o!rwise int]f]e ) ! ability ( ! ,f$]al ,mortgage ,insurance ,corporation to c>ry out ! functions & requirem5ts ( ?is ,act4 7#e7 ,rule ( con/ruction ,= purposes ( ?is subsection1 ! t]m proce$s does n include any gu>antee fee am\nts d]iv$ f ! s+le-family mortgage gu>antee bus9ess ( ! ent]prises 9 exi/5ce z ( ! ,,fmic c]tification date4 #ejc4 ,align+ purpose ( cons]vator%ip ) ,,fmic 7a7 ,p[] z cons]vator ,section #acfg7;b77#b77;,d7 ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib 7#ab ,u4,s4,c4 #dfag7;b77#b77;,d77 is am5d$ to read z foll[s3 7,d7 ,p[] z cons]vator ,aft] ! date ( enactm5t ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjac ! ,ag5cy %all1 z cons]vator1 take su* actions z are necess>y-- 7i7 to ensure ! effici5t1 effective1 & exp$iti\s w9d d[n ( ! ent]prises2 7ii7 to manage ! affairs1 assets1 & obligations ( ! ent]prises & to op]ate ! ent]prises 9 compliance ) ! requirem5ts ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjac2 7iii7 to assi/ ! ,f$]al ,mortgage ,insurance ,corporation1 9 a consultative capacity1 9 c>ry+ out ! requirem5ts "u ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjac2 & 7iv7 to ma9ta9 liquidity & /ability 9 ! second>y mortgage m>ket until su* z "t z ! *>t]s ( ! ent]prises are revok$ pursuant to title ,v ( su* ,act4 4 7b7 ,rule ( con/ruction ,no?+ 9 ?is ,act1 or any am5dm5ts made by ?is ,act1 except z may be explicitly provid$ = 9 ?is ,act1 or any am5dm5t made by ?is ,act1 %all be deem$ to alt] ! p[]s1 au?orities1 rights1 & duties t are ve/$ 9 ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ) respect to its sup]vision & regulation ( ! ent]prises4 #ejd4 ,con=m+ loan limits 7a7 ,9 g5]al ,beg9n+ on ! date ( enactm5t ( ?is ,act1 ! limitations gov]n+ ! maximum orig9al pr9cipal obligation ( conv5tional mortgages t may be pur*as$ by ! ,f$]al ,national ,mortgage ,association & ! ,f$]al ,home ,loan ,mortgage ,corporation1 ref]r$ to 9 section #cjb7;b77#b7 ( ! ,f$]al ,national ,mortgage ,association ,*>t] ,act 7#ab ,u4,s4,c4 #agag7;b77#b77 & section #cje7;a77#b7 ( ! ,f$]al ,home ,loan ,mortgage ,corporation ,act 7#ab ,u4,s4,c4 #aded7;a77#b771 respectively1 %all n exce$ #dag1jjj = a mortgage secur$ by a s+le-family resid5ce1 #ecc1hej = a mortgage secur$ by a #b-;family resid5ce1 #fde1cjj = a mortgage secur$ by a #c-;family resid5ce1 & #hja1iej = a mortgage secur$ by a #d-;family resid5ce1 except t su* maximum limitations %all be adju/$ effective ,janu>y #a ( ea* ye> beg9n+ aft] ! date ( enactm5t ( ?is ,act1 subject to ! limitations 9 ?is p>agraph4 ,ea* adju/m5t %all be made by add+ to ea* su* am\nt 7z x may h be5 previ\sly adju/$7 a p]c5tage !re( equal to ! p]c5tage increase1 dur+ ! mo/ rec5t #ab-mon? or #d-qu>t] p]iod end+ be=e ! "t ( det]m9+ su* annual adju/m5t1 9 ! h\s+ price index ma9ta9$ pursuant to section #acbb ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib 7#ab ,u4,s4,c4 #dedb74 ,if ! *ange 9 su* h\se price index dur+ ! mo/ rec5t #ab-mon? or #d-qu>t] p]iod end+ be=e ! "t ( det]m9+ su* annual adju/m5t is a decrease1 !n no adju/m5t %all be made = ! next ye>1 & ! next adju/m5t %all take into acc\nt prior decl9es 9 ! h\se price index1 s t any adju/m5t %all reflect ! net *ange 9 ! h\se price index s9ce ! la/ adju/m5t4 ,decl9es 9 ! h\se price index %all be accumulat$ & !n r$uce increases until subsequ5t increases exce$ prior decl9es4 7b7 ,special exception = ,alaska1 ,hawaii1 ,guam1 & ,,usvi ,! limitations set =? "u subsection 7a7 %all be increas$ by n to exce$ #ej p] c5tum ) respect to prop]ties locat$ 9 ,alaska1 ,guam1 ,hawaii1 & ! ,virg9 ,isl&s4 7c7 ,high-,co/ area limit ,! limitations set =? "u subsection 7a7 %all also be increas$1 ) respect to prop]ties ( a p>ticul> size locat$ 9 any area = :i* #aae p]c5t ( ! m$ian h\se price = su* size resid5ce exce$s ! limitation "u subsection 7a7 = su* size resid5ce-- 7#a7 = ! fir/ ye> foll[+ ! date ( enactm5t ( ?is ,act1 to ! less] ( #aej p]c5t ( su* limitation = su* size resid5ce or ! am\nt t is equal to #aae p]c5t ( ! m$ian h\se price 9 su* area = su* size resid5ce2 7#b7 = ! second ye> foll[+ ! date ( enactm5t ( ?is ,act1 to ! less] ( #ade p]c5t ( su* limitation = su* size resid5ce or ! am\nt t is equal to #aae p]c5t ( ! m$ian h\se price 9 su* area = su* size resid5ce2 7#c7 = ! ?ird ye> foll[+ ! date ( enactm5t ( ?is ,act1 to ! less] ( #ace p]c5t ( su* limitation = su* size resid5ce or ! am\nt t is equal to #aae p]c5t ( ! m$ian h\se price 9 su* area = su* size resid5ce2 7#d7 = ! f\r? ye> foll[+ ! date ( enactm5t ( ?is ,act1 to ! less] ( #acj p]c5t ( su* limitation = su* size resid5ce or ! am\nt t is equal to #aae p]c5t ( ! m$ian h\se price 9 su* area = su* size resid5ce2 & 7#e7 = ! fif? ye> foll[+ ! date ( enactm5t ( ?is ,act1 & ea* ye> !reaft]1 to ! less] ( #abe p]c5t ( su* limitation = su* size resid5ce or ! am\nt t is equal to #aae p]c5t ( ! m$ian h\se price 9 su* area = su* size resid5ce4 #eje4 ,portfolio r$uction 7a7 ,graduat$ r$uction 7#a7 ,9 g5]al ,ea* ent]prise %all n own1 z ( any applicable date1 mortgage assets 9 excess (-- 7,a7 z ( ,decemb] #ca1 #bjac1 #eeb1ejj1jjj1jjj2 & 7,b7 on ,decemb] #ca ( ea* ye> !reaft] until ! ,,fmic c]tification date1 #he p]c5t ( ! aggregate am\nt ( ! mortgage assets t ! ent]prise 0 p]mitt$ to own z ( ,decemb] #ca ( ! imm$iately prec$+ cal5d> ye>4 7#b7 ,reta9$ portfolio to facilitate ord]ly w9d d[n ,on ,decemb] #ca ( ! ye> 9 :i* ! ,,fmic c]tification date occurs1 ! ,corporation %all e/abli% an all[able am\nt ( ent]prise own$ mortgage assets 9 an am\nt equal to ! am\nt necess>y to facilitate-- 7,a7 ! ord]ly w9d d[n ( ! ent]prises2 & 7,b7 appropriate loss mitigation on any legacy gu>antees ( ! ent]prises4 7b7 ,mortgage assets def9$ ,= purposes ( ?is section1 ! t]m mortgage assets means1 ) respect to an ent]prise1 assets ( su* ent]prise consi/+ ( mortgages1 mortgage loans1 mortgage-relat$ securities1 p>ticipation c]tificates1 mortgage-back$ comm]cial pap]1 obligations ( real e/ate mortgage inve/m5t conduits & simil> assets1 9 ea* case to ! ext5t su* assets w\ld appe> on ! balance %eet ( su* ent]prise 9 accordance ) g5]ally accept$ acc\nt+ pr9ciples 9 effect 9 ! ,unit$ ,/ates z ( ,septemb] #g1 #bjjh 7z set =? 9 ! op9ions & pron\ncem5ts ( ! ,acc\nt+ ,pr9ciples ,bo>d & ! ,am]ican ,in/itute ( ,c]tifi$ ,public ,acc\ntants & /atem5ts & pron\ncem5ts ( ! ,f9ancial ,acc\nt+ ,/&>ds ,bo>d f "t to "t2 & )\t giv+ any effect to any *ange t may be made aft] ,septemb] #g1 #bjjh1 9 respect ( ,/atem5t ( ,f9ancial ,acc\nt+ ,/&>ds ,no4 #adj or any simil> acc\nt+ /&>d74 #ejf4 ,repeal ( m&atory h\s+ goals 7a7 ,repeal ( h\s+ goals ,! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib is am5d$ by /rik+ sections #acca ?r\gh #accf 7#ab ,u4,s4,c4 #defa-f74 7b7 ,con=m+ am5dm5ts ,! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib 7#ab ,u4,s4,c4 #deja et seq47 is am5d$-- 7#a7 9 section #acjc7bh71 by /rik+ 1 &1 = ! purposes & all t foll[s ?r\gh designat$ disa/] areas2 7#b7 9 section #acbd7;b77#a77;,a71 by /rik+ clauses 7i71 7ii71 & 7iv72 7#c7 9 section #acda-- 7,a7 9 subsection 7a7-- 7i7 9 p>agraph 7#a71 by ins]t+ or aft] ! semicolon at ! end2 7ii7 9 p>agraph 7#b71 by /rik+ ! semicolon at ! end & ins]t+ a p]iod2 & 7iii7 by /rik+ p>agraphs 7#c7 & 7#d72 & 7,b7 9 subsection 7b77#b7-- 7i7 9 subp>agraph 7,a71 by ins]t+ or aft] ! semicolon at ! end2 7ii7 by /rik+ subp>agraphs 7,b7 & 7,c72 & 7iii7 by r$esignat+ subp>agraph 7,d7 z subp>agraph 7,b72 7#d7 9 section #acde7;a7-- 7,a7 9 p>agraph 7#a71 by ins]t+ or aft] ! semicolon at ! end2 7,b7 9 p>agraph 7#b71 by /rik+ ! semicolon at ! end & ins]t+ a p]iod2 & 7,c7 by /rik+ p>agraphs 7#c7 & 7#d72 & 7#e7 9 section #acga7;a77#b71 by /rik+ ) any h\s+ goal e/abli%$ "u subp>t ,b ( "p #b ( subtitle ,a ( ?is title1 ) section #accf or #accg ( ?is title14 ,,vi ,improvem5ts to function+ ( h\s+ m>ket #fja4 ,cont9uation ( multifamily bus9ess ( ! ent]prises 7a7 ,9 g5]al ,not)/&+ any provision ( title ,v1 or any o!r provision ( law1 effective on ! ,,fmic c]tification date1 all functions1 activities1 infra/ructure1 prop]ty1 includ+ intellectual prop]ty1 plat=ms1 or any o!r object or s]vice ( an ent]prise relat+ to ! ma9t5ance & op]ation ( ! multifamily gu>antee bus9ess ( an ent]prise %all be transf]r$1 )\t co/1 to ! ,corporation4 7b7 ,au?ority ( ,director ,! ,corporation is au?oriz$1 ^u su* t]ms & conditions z x may deem appropriate1 to gu>antee ! timely paym5t ( pr9cipal ( & int]e/1 on any mortgage on multifamily h\s+ pur*as$ by ! ,corporation pursuant to ! transf] ( an ent]prise's multifamily gu>antee bus9ess "u subsection 7a74 7c7 ,limitation on ongo+ op]ation ( multifamily bus9ess ,9 c>ry+ out ! multifamily gu>antee bus9ess ( an ent]prise transf]r$ pursuant to subsection 7a71 ! ,corporation %all ensure t any su* bus9ess cont9ues to op]ate1 z applicable1 consi/5t )-- 7#a7 ! ,delegat$ ,und]writ+ & ,s]vic+ ,l5d] ,program e/abli%$ by ! ,f$]al ,national ,mortgage ,association2 & 7#b7 ! ,program ,plus ,l5d] ,program e/abli%$ by ! ,f$]al ,home ,loan ,mortgage ,corporation1 especially ! ,s]ies ,k ,/ructur$ ,pass-,?r\gh ,c]tificates (f]$ by ! ent]prise4 7d7 ,explicit gu>antee ,! full fai? & cr$it ( ! ,unit$ ,/ates is pl$g$ to ! paym5t ( all am\nts :i* may be requir$ to be paid "u any gu>anty-- 7#a7 issu$ by ! ,corporation pursuant to ?is subsection2 & 7#b7 obligation assum$ by ! ,corporation pursuant to ! transf] ( an ent]prise's multifamily gu>antee bus9ess "u subsection 7a74 7e7 ,gu>antee fee 7#a7 ,9 g5]al ,! ,corporation %all collect a reasonable fee = any gu>anty "u ?is subsection & %all make su* *>ges z x may det]m9e to be reasonable = ! analysis ( any tru/ or o!r security arrangem5t propos$ by an issu] ( a security back$ by multifamily mortgages gu>ante$ "u ?is section4 7#b7 ,deposit into ,mortgage ,insurance ,fund ,any gu>antee fee am\nts collect$ "u ?is subsection %all be deposit$ 9 ! ,mortgage ,insurance ,fund4 #fjb4 ,multiple l5d] issues ,) respect to ! dwell+ ( a borr[] t s]ves z security = an eligible mortgage1 if ! borr[] ent]s into any cr$it transaction t w\ld result 9 ! creation ( a new mortgage or o!r li5 on su* dwell+ :]e ! loan-to-value ratio ( su* cr$it transaction am\nt is #hj p]c5t or m1 ! cr$itor ( su* new mortgage or o!r li5 %all seek & obta9 ! approval ( ! cr$itor ( ! s5ior eligible mortgage loan be=e any su* cr$it transaction becomes valid & en=ceable4 #fjc4 ,,gao report on full privatization ( second>y mortgage m>ket 7a7 ,,gao report ,n lat] ?an #h ye>s aft] ! date ( enactm5t ( ?is ,act1 ! ,comptroll] ,g5]al ( ! ,unit$ ,/ates %all submit a report to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives on ! feasibility ( ma9ta9+ a fully privatiz$ second>y mortgage m>ket1 includ+ recomm5dations on h[ to be/ c>ry out any displacem5t ( ! insurance model e/abli%$ "u ?is ,act4 7b7 ,corporation plan ,to transition to a fully private second>y mortgage m>ket 7#a7 ,requir$ submission to ,congress ,n lat] ?an #f mon?s aft] ! date on :i* ! report requir$ "u subsection 7a7 is submitt$1 ! ,corporation %all submit to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives a plan to transition to a fully privatiz$ second>y mortgage m>ket4 7#b7 ,requir$ cont5t ( plan ,! plan requir$ to be submitt$ "u p>agraph 7#a7 %all describe1 *ronicle1 & specify all ! legislative1 adm9i/rative1 & regulatory actions necess>y to c>ry out a transition to a fully private second>y mortgage m>ket1 includ+ all actions necess>y to dissolve ! ,corporation & successfully displace ! insurance model e/abli%$ "u ?is ,act4 ,,vii ,g5]al provisions #gja4 ,au?ority to issue regulations ,! ,corporation may prescribe su* regulations & issue su* guidel9es1 ord]s1 requirem5ts1 or /&>ds z are necess>y to c>ry out ?is ,act1 or any am5dm5t made by ?is ,act4 #gjb4 ,fair value acc\nt+ ,9 any evaluation1 ov]sight1 audit1 or analysis by ! ,corporation ( ! co/ ( ! ,mortgage ,insurance ,fund1 ! insurance or gu>antee activities ( ! ,corporation requir$ "u ?is ,act1 includ+ any fee or *>ge 9 connection ) ! provision ( su* insurance or gu>antee1 or ! f9ancial transactions ( ! ,corporation1 ! ,corporation %all conduct any su* evaluation1 ov]sight1 audit1 or analysis bas$ on ! fair-value accrual acc\nt+ me?od4 #gjc4 ,rule ( con/ruction ,no?+ 9 ?is ,act %all be con/ru$ to prohibit or o!rwise re/rict ! ability ( a hold] ( any loss position 9 any cov]$ security insur$ "u ?is ,act f re/ructur+1 retran*+1 or resecuritiz+ su* position4 #gjd4 ,sev]ability ,if any provision ( ?is ,act or ! application ( any provision ( ?is ,act to any p]son or circum/ance1 is held invalid1 ! application ( su* provision to o!r p]sons or circum/ances1 & ! rema9d] ( ?is ,act1 %all n be affect$ !reby4 #a4 ,%ort title2 table ( cont5ts 7a7 ,%ort title ,?is ,act may be cit$ z ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad4 7b7 ,table ( cont5ts ,! table ( cont5ts = ?is ,act is z foll[s3 ,sec4 #a4 ,%ort title2 table ( cont5ts4,sec4 #b4 ,def9itions4,,title ,i--,elim9ation ( ,fannie ,mae & ,fr$die ,mac,sec4 #aja4 ,elim9ation ( ,fannie ,mae & ,fr$die ,mac4,,title ,,ii--,f$]al ,mortgage ,insurance ,corporation,sec4 #bja4 ,e/abli%m5t4,sec4 #bjb4 ,managem5t ( ,corporation4,sec4 #bjc4 ,advisory ,committee4,sec4 #bjd4 ,(fice ( ! ,inspector ,g5]al4,sec4 #bje4 ,/aff1 exp]ts1 & consultants4,sec4 #bjf4 ,reports2 te/imony2 audits4,sec4 #bjg4 ,specific (fices4,sec4 #bjh4 ,(fice ( ,consum] & ,m>ket ,access4,sec4 #bji4 ,(fice ( ,multifamily ,h\s+4,sec4 #baj4 ,equitable access = l5d]s & borr[]s4,sec4 #baa4 ,(fice ( ,taxpay] ,protection4,,title ,,iii--,duties & responsibilities ( ! ,f,m,i,c,subtitle ,a--,duties & authorities,sec4 #cja4 ,duties & responsibilities4,sec4 #cjb4 ,/&>ds = cr$it risk-%>+ me*anisms4,sec4 #cjc4 ,insurance2 ,mortgage ,insurance ,fund4,sec4 #cjd4 ,loan limits2 ,h\s+ ,price ,index4,sec4 #cje4 ,au?ority to protect taxpay]s 9 unusual & exig5t m>ket conditions4,sec4 #cjf4 ,g5]al p[]s4,sec4 #cjg4 ,exemptions4,sec4 #cjh4 ,regulatory consultation & coord9ation4,sec4 #cji4 ,au?ority to issue regulations4,sec4 #caj4 ,equival5cy 9 protection ( ! ,mortgage ,insurance ,fund4,subtitle ,b--,approval & sup]vision ( approv$ entities = s+le-family activities,sec4 #caa4 ,approval & sup]vision ( gu>antors4,sec4 #cab4 ,approval & sup]vision ( aggregators4,sec4 #cac4 ,approval ( private mortgage insur]s4,sec4 #cad4 ,approval ( s]vic]s4,sec4 #cae4 ,au?ority to e/abli% & approve small l5d] mutuals4,sec4 #caf4 ,sup]visory actions relat$ to capital & solv5cy4,sec4 #cag4 ,own]%ip1 acquisitions1 & op]ations ( cov]$ entities4,subtitle ,c--,securitization ,plat=m & ,transp>5cy 9 ,m>ket ,operations,p,a,r,t ,i--,securitization ,platform,sec4 #cba4 ,e/abli%m5t ( ! ,securitization ,plat=m4,sec4 #cbb4 ,managem5t ( ! ,plat=m4,sec4 #cbc4 ,memb]%ip 9 ! ,plat=m4,sec4 #cbd4 ,fees4,sec4 #cbe4 ,purposes & obligations ( ! ,plat=m4,sec4 #cbf4 ,uni=m securitization agreem5ts = cov]$ securities & requir$ contractual t]ms = noncov]$ securities4,sec4 #cbg4 ,approval & /&>ds = collat]al risk manag]s4,,"p ,,ii--,transp>5cy 9 m>ket operations,sec4 #cca4 ,review ( loan docum5ts2 disclosures4,sec4 #ccb4 ,national mortgage database4,sec4 #ccc4 ,work+ gr\p on electronic regi/ration ( mortgage loans4,sec4 #ccd4 ,multiple l5d] issues4,sec4 #cce4 ,requir$ h>monization ( /&>ds )9 eligible mortgage crit]ia4,,title ,,iv--,,fhfa & ,,fmic ,transition,sec4 #dja4 ,def9itions4,sec4 #djb4 ,,fhfa transition4,sec4 #djc4 ,transf] & rights ( employees ( ! ,,fhfa4,sec4 #djd4 ,transition ,committee4,sec4 #dje4 ,transition assessm5ts4,sec4 #djf4 ,transf] ( p[]s & duties on ! sy/em c]tification date2 cont9uation & coord9ation ( c]ta9 actions4,sec4 #djg4 ,te*nical & con=m+ am5dm5ts relat+ to aboli%m5t ( ,,fhfa4,sec4 #djh4 ,repeal ( m&atory h\s+ goals4,,title ,v--,improv+ transp>5cy1 acc\ntability1 & efficacy )9 af=dable housing,sec4 #eja4 ,af=dable h\s+ allocations4,sec4 #ejb4 ,h\s+ ,tru/ ,fund4,sec4 #ejc4 ,capital ,magnet ,fund4,sec4 #ejd4 ,m>ket ,access ,fund4,sec4 #eje4 ,additional taxpay] protections4,sec4 #ejf4 ,promot+ af=dable h\s+ inve/m5t4,,title ,,vi--,transition & t]m9ation ( ,fannie ,mae & ,fr$die ,mac,sec4 #fja4 ,m9imum h\s+ f9ance sy/em crit]ia to be met prior to sy/em c]tification date4,sec4 #fjb4 ,transition ( ! h\s+ f9ance sy/em4,sec4 #fjc4 ,resolution au?ority2 te*nical am5dm5ts4,sec4 #fjd4 ,w9d d[n4,sec4 #fje4 ,portfolio r$uction4,sec4 #fjf4 ,ov]sight ( transition ( ! h\s+ f9ance sy/em4,sec4 #fjg4 ,au?ority to e/abli% provisional /&>ds4,sec4 #fjh4 ,initial fund level = ! ,mortgage ,insurance ,fund4,sec4 #fji4 ,,gao report on full privatization ( second>y mortgage m>ket4,,title ,,vii--,multifamily,sec4 #gja4 ,e/abli%m5t ( multifamily subsidi>ies4,sec4 #gjb4 ,disposition ( multifamily bus9esses4,sec4 #gjc4 ,approval & sup]vision ( multifamily gu>antors4,sec4 #gjd4 ,multifamily h\s+ requirem5t4,sec4 #gje4 ,e/abli%m5t ( small multifamily prop]ty program4,sec4 #gjf4 ,multifamily h\s+ /udy4,sec4 #gjg4 ,multifamily plat=m /udy4,sec4 #gjh4 ,%ort-t]m resid5tial h\s+4,,title ,,viii--,g5]al provisions,sec4 #hja4 ,rule ( con/ruction4,sec4 #hjb4 ,sev]ability4,sec4 #hjc4 ,transf] notification "u ,,tila4,sec4 #hjd4 ,inve/m5t au?ority to support rural infra/ructure4,sec4 #hje4 ,consolidation ( simil> h\s+ assi/ance programs4,sec4 #hjf4 ,bureau ( ,consum] ,f9ancial ,protection review2 ,,gao report4,sec4 #hjg4 ,det]m9ation ( budget>y effects4 #b4 ,def9itions ,z us$ 9 ?is ,act1 ! foll[+ def9itions %all apply3 7#a7 ,affiliate ,! t]m affiliate means any p]son t controls1 is controll$ by1 or is "u common control ) ano!r p]son4 7#b7 ,af=dable r5tal h\s+ ,! t]m af=dable r5tal h\s+ means a r5tal h\s+ unit t is consid]$ af=dable = extremely l[-1 v l[-1 l[-1 & mod]ate-income families if ! r5t *>g$1 includ+ utilities or a utility all[ance1 does n exce$ #cj p]c5t ( ! respective income limit 9 t m>ket area = extremely l[-1 v l[-1 l[-1 or mod]ate-income families1 respectively1 ( ! size appropriate = ! numb] ( b$rooms 9 ! unit1 z e/abli%$ by ! ,secret>y ( ,h\s+ & ,urban ,developm5t4 7#c7 ,ag5cy transf] date ,! t]m ag5cy transf] date means ! date t is #f mon?s aft] ! date ( enactm5t ( ?is ,act4 7#d7 ,appropriate ,f$]al bank+ ag5cy ,! t]m appropriate ,f$]al bank+ ag5cy has ! same mean+ z 9 section #c7q7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahac7q771 & includes ! ,national ,cr$it ,union ,adm9i/ration 9 ! case ( any cr$it union4 7#e7 ,approv$ aggregator ,! t]m approv$ aggregator means an entity t is approv$ by ! ,corporation pursuant to section #cab4 7#f7 ,approv$ entity ,! t]m approv$ entity means-- 7,a7 an approv$ gu>antor2 7,b7 an approv$ multifamily gu>antor2 7,c7 an approv$ aggregator2 7,d7 an approv$ private mortgage insur]2 & 7,e7 an approv$ s]vic]4 7#g7 ,approv$ gu>antor ,! t]m approv$ gu>antor means an entity t is approv$ by ! ,corporation pursuant to section #caa4 7#h7 ,approv$ multifamily gu>antor ,! t]m approv$ multifamily gu>antor means an entity t is approv$ by ! ,corporation pursuant to section #gjc4 7#i7 ,approv$ private mortgage insur] ,! t]m approv$ private mortgage insur] means an entity t is approv$ by ! ,corporation pursuant to section #cac4 7#aj7 ,approv$ s]vic] ,! t]m approv$ s]vic] means an entity t is approv$ by ! ,corporation pursuant to section #cad4 7#aa7 ,area ,! t]m area means a metropolitan /ati/ical area1 a micropolitan /ati/ical area1 & a noncore area1 z su* areas may be e/abli%$ by ! ,(fice ( ,managem5t & ,budget4 7#ab7 ,bo>d2 ,bo>d ( ,directors ,! t]ms ,bo>d & ,bo>d ( ,directors mean ! ,bo>d ( ,directors ( ! ,f$]al ,mortgage ,insurance ,corporation1 unless ! context o!rwise requires4 7#ac7 ,*airp]son ,! t]m ,*airp]son means ! ,*airp]son ( ,bo>d ( ,directors ( ! ,f$]al ,mortgage ,insurance ,corporation1 unless ! context o!rwise requires4 7#ad7 ,*>t] ,! t]m *>t] means-- 7,a7 ) respect to ! ,f$]al ,national ,mortgage ,association1 ! ,f$]al ,national ,mortgage ,association ,*>t] ,act 7#ab ,u4,s4,c4 #agaf et seq472 & 7,b7 ) respect to ! ,f$]al ,home ,loan ,mortgage ,corporation1 ! ,f$]al ,home ,loan ,mortgage ,corporation ,act 7#ab ,u4,s4,c4 #adea et seq474 7#ae7 ,community ,developm5t ,f9ancial ,in/itution ,! t]m ,community ,developm5t ,f9ancial ,in/itution has ! same mean+ z 9 section #ajc ( ! ,riegle ,community ,developm5t & ,regulatory ,improvem5t ,act ( #aiid 7#ab ,u4,s4,c4 #dgjb74 7#af7 ,community l& tru/ ,! t]m community l& tru/ means a nonpr(it organization or ,/ate or local gov]nm5t t owns real prop]ty & leases ! l& ?r\gh home[n]%ip programs t-- 7,a7 use a gr\nd lease to-- 7i7 make real prop]ty af=dable to l[- or mod]ate-income borr[]s2 & 7ii7 /ipulate a preemptive option to pur*ase ! real prop]ty f ! home own] at resale s t ! af=dability ( ! real prop]ty is pres]v$ = successive l[- & mod]ate-income borr[]s2 7,b7 monitor prop]ties to ensure af=dability is pres]v$ ov] resales2 & 7,c7 support home[n]s to promote successful home[n]%ip & prev5t =eclosure4 7#ag7 ,corporation ,! t]m ,corporation means ! ,f$]al ,mortgage ,insurance ,corporation e/abli%$ "u title ,,ii4 7#ah7 ,cov]$ entity ,! t]m cov]$ entity means-- 7,a7 an approv$ gu>antor2 7,b7 an approv$ multifamily gu>antor2 & 7,c7 an approv$ aggregator t is nei!r an insur$ depository in/itution nor an affiliate ( an insur$ depository in/itution4 7#ai7 ,cov]$ gu>antee transaction 7,a7 ,def9ition ,! t]m cov]$ gu>antee transaction means a transaction1 z t t]m %all be def9$ by ! ,corporation by regulation1 involv+ ! agreem5t to gu>antee-- 7i7 any eligible mortgage loan2 7ii7 any pool ( su* eligible mortgage loans2 or 7iii7 ! paym5t ( pr9cipal & int]e/ on cov]$ securities collat]aliz$ by eligible mortgage loans be=e paym5ts insur$ by ! ,corporation are made4 7,b7 ,rules ( con/ruction ,a cov]$ gu>antee transaction-- 7i7 %all n be con/ru$ to be-- 7,i7 a contract = sale ( a commodity = future deliv]y or a swap "u ! ,commodity ,ex*ange ,act2 or 7,,ii7 a contract ( insurance or re9surance "u any ,f$]al or ,/ate law regulat+ ! sale1 und]writ+1 provision1 or brok]age ( insurance2 7ii7 %all n be subject to any requirem5t ( ! ,commodity ,ex*ange ,act2 & 7iii7 %all n be subject to any requirem5t impos$ "u ,/ate law p]ta9+ to ! sale1 und]writ+1 provision1 or brok]age ( insurance or re9surance4 7#bj7 ,cov]$ m>ket-bas$ risk-%>+ transaction 7,a7 ,def9ition ,! t]m cov]$ m>ket-bas$ risk-%>+ transaction means any private m>ket transaction1 z t t]m %all be def9$ by ! ,corporation by regulation1 involv+ a cov]$ security issu$ subject to a /&>d risk-%>+ me*anism1 product1 contract1 or o!r security agreem5t approv$ by ! ,corporation "u section #cjb4 7,b7 ,rules ( con/ruction ,a cov]$ m>ket-bas$ risk-%>+ transaction-- 7i7 %all n be con/ru$ to be a contract ( insurance or re9surance "u any ,f$]al or ,/ate law regulat+ ! sale1 und]writ+1 provision1 or brok]age ( insurance2 & 7ii7 %all n be subject to any requirem5t impos$ "u ,/ate law p]ta9+ to ! sale1 und]writ+1 provision1 or brok]age ( insurance or re9surance4 7#ba7 ,cov]$ security ,! t]m cov]$ security means-- 7,a7 a s+le-family cov]$ security2 & 7,b7 a multifamily cov]$ security4 7#bb7 ,cr$it risk-%>+ me*anism ,! t]m cr$it risk-%>+ me*anism means any me*anism1 product1 /ructure1 contract1 or security agreem5t by :i* a private m>ket hold] assumes ! fir/ loss position1 or any "p ( su* position1 associat$ ) ! pool ( eligible mortgage loans collat]aliz+ a cov]$ security1 or by :i* an approv$ gu>antor or approv$ multifamily gu>antor manages ! cr$it risk relat$ to gu>antees provid$ = cov]$ securities4 7#bc7 ,,csp ,! t]m ,,csp means ! securitization infra/ructure ann\nc$ by ! ,f$]al ,h\s+ ,f9ance ,ag5cy on ,octob] #d1 #bjab1 & develop$ by ! ent]prises :ile "u cons]vator%ip1 "u ! au?ority ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy pursuant to ! ,safety & ,s\ndness ,act1 & commonly ref]r$ to z ! common securitization plat=m4 7#bd7 ,days ,! t]m days means-- 7,a7 ) respect to any p]iod ( "t less ?an or equal to #aj days1 bus9ess days2 & 7,b7 ) respect to any p]iod ( "t great] ?an #aj days1 cal5d> days4 7#be7 ,depository in/itution hold+ company ,! t]m depository in/itution hold+ company has ! same mean+ z section #c7w77#a7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahac7w77#a774 7#bf7 ,eligible borr[] ,! t]m eligible borr[] means a borr[] :o-- 7,a7 applies = an eligible mortgage loan2 & 7,b7 meets ! /&>ds requir$ ( a borr[] to be approv$ = an eligible mortgage loan4 7#bg7 ,eligible mortgage loan ,! t]m eligible mortgage loan means-- 7,a7 an eligible s+le-family mortgage loan2 & 7,b7 an eligible multifamily mortgage loan4 7#bh7 ,eligible multifamily mortgage loan ,! t]m eligible multifamily mortgage loan means a comm]cial real e/ate loan-- 7,a7 secur$ by a prop]ty )-- 7i7 #e or m resid5tial units2 or 7ii7 #b or m resid5tial units1 if ! requirem5t "u clause 7i7 is waiv$ by ! ,corporation = purposes ( c>ry+ out a demon/ration or pilot program2 7,b7 ! prim>y s\rce ( repaym5t = :i* is expect$ to be d]iv$ f r5tal income g5]at$ by ! prop]ty2 7,c7 ! t]m ( :i* may n be less ?an #e ye>s b n m ?an #dj ye>s1 except t ! t]m may be less ?an #e ye>s subject to /&>ds set by ! ,corporation2 7,d7 t satisfies any additional und]writ+ crit]ia e/abli%$ by ! ,corporation to balance support+ access to capital ) manag+ cr$it risk to ! ,mortgage ,insurance ,fund1 includ+-- 7i7 a maximum loan-to-value ratio2 7ii7 a m9imum debt s]vice cov]age ratio2 & 7iii7 consid]ations = re/rictive or special uses ( a prop]ty1 includ+ non-resid5tial uses1 prop]ties = s5iors1 manufactur$ h\s+1 & af=dability re/rictions1 & ! impact ( su* uses on clauses 7i7 & 7ii72 & 7,e7 t satisfies any additional und]writ+ crit]ia t may be e/abli%$ by ! ,corporation4 7#bi7 ,eligible s+le-family mortgage loan ,! t]m eligible s+le-family mortgage loan means-- 7,a7 a loan t-- 7i7 has be5 orig9at$ 9 compliance ) m9imum /&>ds issu$ by ! ,corporation by regulation1 provid$ t su* /&>ds-- 7,i7 are uni=m & equal 9 k9d1 nature1 & application reg>dless (-- 7aa7 ! orig9ator ( ! mortgage loan2 or 7bb7 ! role p]=m$ by an approv$ entity ) respect to ! mortgage loan2 7,,ii7 are1 to ! greate/ ext5t possible1 sub/antially simil> to ! regulations issu$ by ! ,bureau ( ,consum] ,f9ancial ,protection "u section #abi;,c7b7 ( ! ,tru? 9 ,l5d+ ,act 7#ae ,u4,s4,c4 #afci;c72 & 7,,iii7 p]mit-- 7aa7 resid5tial real e/ate loans secur$ by a prop]ty ) #a to #d s+le-family units1 includ+ units t are n own]-occupi$2 7bb7 loans secur$ by manufactur$ homes1 z def9$ 9 section #fjc7f7 ( ! ,national ,manufactur$ ,h\s+ ,con/ruction & ,safety ,/&>ds ,act ( #aigd 7#db ,u4,s4,c4 #edjb7f772 7cc7 resid5tial real e/ate loans secur$ by a prop]ty ) #a to #d s+le-family units t are orig9at$ by a ,/ate h\s+ f9ance ag5cy1 z def9$ 9 section #ajf ( ! ,h\s+ & ,urban ,developm5t ,act ( #aifh 7#ab ,u4,s4,c4 #agjax72 7dd7 loans orig9at$ by a ,community ,developm5t ,f9ancial ,in/itution2 7ee7 loans orig9at$ by a mission-bas$ nonpr(it l5d]2 7ff7 loans secur$ by real prop]ty 9 a p]man5tly af=dable home[n]%ip program or community l& tru/2 & 7gg7 loans to entities t provide non-own] occupi$ r5tal h\s+ ) c>e provid]s = individuals ) intellectual & developm5tal disabilities2 7ii7 has a maximum orig9al pr9cipal obligation am\nt t does n exce$ ! applicable loan limitation e/abli%$ "u section #cjd2 7iii7 has an out/&+ pr9cipal balance at ! "t ( pur*ase ( insurance available "u title ,,ii t does n exce$ #hj p]c5t ( ! value ( ! prop]ty secur+ ! loan1 unless-- 7,i7 = su* p]iod & "u su* circum/ances z ! ,corporation may require1 ! sell] agrees to repur*ase or replace ! loan ^u dem& ( ! ,corporation 9 ! ev5t ! loan is 9 default2 7,,ii7 an approv$ private mortgage insur] gu>antees or insures-- 7aa7 n less ?an #ab p]c5t ( ! unpaid pr9cipal balance ( ! loan1 acc\nt+ = any d[n paym5t requir$ "u clause 7iv71 = loans 9 :i* ! unpaid pr9cipal balance exce$s #hj p]c5t b n m ?an #he p]c5t ( ! value ( ! prop]ty secur+ ! loan2 7bb7 n less ?an #be p]c5t ( ! unpaid pr9cipal balance ( ! loan1 acc\nt+ = any d[n paym5t requir$ "u clause 7iv71 = loans 9 :i* ! unpaid pr9cipal balance exce$s #he p]c5t b n m ?an #ij p]c5t ( ! value ( ! prop]ty secur+ ! loan2 7cc7 n less ?an #cj p]c5t ( ! unpaid pr9cipal balance ( ! loan1 acc\nt+ = any d[n paym5t requir$ "u clause 7iv71 = loans 9 :i* ! unpaid pr9cipal balance exce$s #ij p]c5t b n m ?an #ie p]c5t ( ! value ( ! prop]ty secur+ ! loan2 & 7dd7 n less ?an #ce p]c5t ( ! unpaid pr9cipal balance ( ! loan1 acc\nt+ = any d[n paym5t requir$ "u clause 7iv71 = loans 9 :i* ! unpaid pr9cipal balance exce$s #ie p]c5t ( ! value ( ! prop]ty secur+ ! loan2 or 7,,iii7 t portion ( ! unpaid pr9cipal balance ( ! loan :i* exce$s #hj p]c5t ( ! value ( ! prop]ty secur+ ! loan is subject to o!r cr$it enhancem5t t-- 7aa7 meets /&>ds comp>able to ! /&>ds requir$ ( private mortgage insur]s "u subclause 7,,ii72 & 7bb7 is approv$ by ! ,corporation2 7iv7 has a d[n paym5t t is-- 7,i7 = a fir/-"t homebuy]1 z t t]m %all be def9$ by ! ,corporation by regulation1 equal to n less ?an #c4e p]c5t ( ! pur*ase price ( ! prop]ty secur+ ! loan2 or 7,,ii7 = non fir/-"t homebuy]s1 equal to-- 7aa7 n less ?an #c4e p]c5t ( ! pur*ase price ( ! prop]ty secur+ ! loan1 if su* pur*ase occurs prior to ! sy/em c]tification date or less ?an #a ye> aft] ! sy/em c]tification date2 7bb7 n less ?an #d p]c5t ( ! pur*ase price ( ! prop]ty secur+ ! loan1 if su* pur*ase occurs dur+ ! p]iod t beg9s #a ye> aft] ! sy/em c]tification date & ends less ?an #b ye>s aft] ! sy/em c]tification date2 7cc7 n less ?an #d4e p]c5t ( ! pur*ase price ( ! prop]ty secur+ ! loan1 if su* pur*ase occurs dur+ ! p]iod t beg9s #b ye>s aft] ! sy/em c]tification date & ends less ?an #c ye>s aft] ! sy/em c]tification date2 or 7dd7 n less ?an #e p]c5t ( ! pur*ase price ( ! prop]ty secur+ ! loan1 if su* pur*ase occurs dur+ any p]iod aft] ! p]iod set =? 9 item 7cc72 7v7 satisfies /&>ds relat$ to e/abli%+ title or m>ketability ( title1 z may be requir$ by ! ,corporation1 :i* /&>ds may include ! requir$ pur*ase ( title insurance on ! prop]ty secur+ ! loan2 7vi7 conta9s su* t]ms & provisions ) respect to insurance1 prop]ty ma9t5ance1 repairs1 alt]ations1 paym5t ( taxes1 default1 res]ves1 del9qu5cy *>ges1 =eclosure proce$+s1 anticipation ( maturity1 additional & second>y li5s1 & o!r matt]s1 includ+ matt]s t set =? t]ms & provisions = e/abli%+ escr[ acc\nts1 p]=m+ f9ancial assessm5ts1 or limit+ ! am\nt ( any paym5t made available "u ! loan z ! ,corporation may prescribe2 & 7vii7 conta9s su* o!r t]ms1 *>act]i/ics1 or und]writ+ crit]ia z ! ,corporation1 9 consultation ) ! ,bureau ( ,consum] ,f9ancial ,protection1 may det]m9e necess>y or appropriate2 or 7,b7 a loan ref9anc$ pursuant to ! au?ority grant$ "u section #cje7;i74 7#cj7 ,ent]prise ,! t]m ent]prise means-- 7,a7 ! ,f$]al ,national ,mortgage ,association & any affiliate !re(2 & 7,b7 ! ,f$]al ,home ,loan ,mortgage ,corporation & any affiliate !re(4 7#ca7 ,extremely l[-income ,! t]m extremely l[-income means-- 7,a7 9 ! case ( own]-occupi$ units1 income n 9 excess ( #cj p]c5t ( ! m$ian income ( ! area2 & 7,b7 9 ! case ( r5tal units1 income n 9 excess ( #cj p]c5t ( ! m$ian income ( ! area1 ) adju/m5ts = small] & l>g] families1 z det]m9$ by ! ,secret>y ( ,h\s+ & ,urban ,developm5t4 7#cb7 ,f$]al ,home ,loan ,bank ,! t]m ,f$]al ,home ,loan ,bank means a bank e/abli%$ "u ! au?ority ( ! ,f$]al ,home ,loan ,bank ,act 7#ab ,u4,s4,c4 #adba et seq474 7#cc7 ,f$]al ,home ,loan ,bank ,sy/em ,! t]m ,f$]al ,home ,loan ,bank ,sy/em means ! ,f$]al ,home ,loan ,banks & ! ,(fice ( ,f9ance & any au?oriz$ subsidi>y ( "o or m ,f$]al ,home ,loan ,banks4 7#cd7 ,,fhfa relat$ t]ms 7,a7 ,f$]al ,h\s+ ,f9ance ,ag5cy ,! t]m ,f$]al ,h\s+ ,f9ance ,ag5cy %all mean-- 7i7 prior to ! ag5cy transf] date1 ! ,f$]al ,h\s+ ,f9ance ,ag5cy e/abli%$ "u section #acaa ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #deaa72 7ii7 on & aft] ! ag5cy transf] date b prior to ! sy/em c]tification date1 ! ,f$]al ,h\s+ ,f9ance ,ag5cy e/abli%$ )9 ! ,corporation "u title ,,iv2 & 7iii7 on & aft] ! sy/em c]tification date1 ! ,corporation4 7,b7 ,,fhfa ,director ,! t]m ,,fhfa ,director has ! same mean+ z ! t]m ,director 9 section #dja7a74 7#ce7 ,f$]al regulatory ag5cies ,! t]m-- 7,a7 ,f$]al regulatory ag5cy means1 individually1 ! ,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve ,sy/em1 ! ,(fice ( ! ,comptroll] ( ! ,curr5cy1 ! ,f$]al ,deposit ,insurance ,corporation1 ! ,bureau ( ,consum] ,f9ancial ,protection1 ! ,national ,cr$it ,union ,adm9i/ration1 ! ,securities & ,ex*ange ,commission1 ! ,commodity ,futures ,trad+ ,commission1 & ! ,f$]al ,h\s+ ,f9ance ,ag5cy2 & 7,b7 ,f$]al regulatory ag5cies means all ( ! ag5cies ref]r$ to 9 subp>agraph 7,a71 collectively4 7#cf7 ,fir/ loss position ,! t]m fir/ loss position means1 ) reg>d to a cov]$ security-- 7,a7 ei!r-- 7i7 ! fully-fund$ position to :i* any cr$it loss on su* cov]$ security result+ f ! nonp]=mance ( und]ly+ mortgage loans w accrue & be absorb$1 to ! full ext5t ( ! hold]'s int]e/ 9 su* position2 or 7ii7 ! gu>antee provid$ by an approv$ gu>antor or approv$ multifamily gu>antor ) respect to an eligible s+le-family mortgage loan1 pool ( eligible s+le-family mortgage loans1 or a s+le-family cov]$ security or eligible multifamily mortgage loan1 pool ( eligible multifamily mortgage loans1 or a multifamily cov]$ security1 z applicable2 & 7,b7 ! position or gu>antee describ$ "u subp>agraph 7,a71 z applicable1 :i* is requir$ to absorb any initial cr$it loss on a cov]$ security prior to ! ,corporation becom+ obligat$ to make any paym5t ( insurance 9 accordance ) ?is ,act4 7#cg7 ,,hud-approv$ h\s+ c\nsel+ ag5cy ,! t]m ,,hud-approv$ h\s+ c\nsel+ ag5cy means an ag5cy c]tifi$ by ! ,secret>y ( ,h\s+ & ,urban ,developm5t "u section #ajf7;e7 ( ! ,h\s+ & ,urban ,developm5t ,act ( #aifh 7#ab ,u4,s4,c4 #agjax7e774 7#ch7 ,insur$ depository in/itution ,! t]m insur$ depository in/itution means-- 7,a7 an insur$ depository in/itution1 z def9$ "u section #c ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahac72 & 7,b7 an insur$ cr$it union1 z def9$ "u section #aja ( ! ,f$]al ,cr$it ,union ,act 7#ab ,u4,s4,c4 #ageb74 7#ci7 ,issu] ,= a noncov]$ security1 ! t]m issu] %all h ! same mean+ z "u ! ,securities ,act ( #aicc 7#ae ,u4,s4,c4 #gg;b7 & ! rules & regulations promulgat$ !reund]4 ,! ,plat=m %all n be deem$ to be an issu] ( noncov]$ securities = purposes ( ! ,securities ,act ( #aicc4 7#dj7 ,l[-income ,! t]m l[-income means-- 7,a7 9 ! case ( own]-occupi$ units1 income n 9 excess ( #hj p]c5t ( m$ian income ( ! area2 & 7,b7 9 ! case ( r5tal units1 income n 9 excess ( #hj p]c5t ( m$ian income ( ! area1 ) adju/m5ts = small] & l>g] families1 z det]m9$ by ! ,secret>y ( ,h\s+ & ,urban ,developm5t4 7#da7 ,m>ket p>ticipant ,! t]m m>ket p>ticipant means any-- 7,a7 approv$ entity2 7,b7 private m>ket hold]2 & 7,c7 memb] ( ! ,securitization ,plat=m4 7#db7 ,m$ian income ,! t]m m$ian income means1 ) respect to an area1 ! unadju/$ m$ian family income = ! area1 z det]m9$ & publi%$ annually by ! ,secret>y ( ,h\s+ & ,urban ,developm5t4 7#dc7 ,mission-bas$ nonpr(it l5d] ,! t]m mission-bas$ nonpr(it l5d] means an organization t-- 7,a7 is exempt f taxation pursuant to section #eja7;c77#c7 ( ! ,int]nal ,rev5ue ,code ( #aihf2 7,b7 makes-- 7i7 resid5tial real e/ate loans = ! purpose ( promot+ or facilitat+ home[n]%ip = poor or l[- or mod]ate-income1 disabl$1 or o!r disadvantag$ p]sons or families2 or 7ii7 real e/ate loans = ! purpose ( promot+ or facilitat+ af=dable r5tal h\s+ = l[-income p]sons or families & subject to any o!r additional crit]ia e/abli%$ by ! ,corporation2 7,c7 sets int]e/ rates on su* loans t-- 7i7 are l[] ?an ! bank prime loan rate1 z det]m9$ "u ! ,f$]al ,res]ve ,/ati/ical ,release ( select$ int]e/ rates 7commonly ref]r$ to z ! ,h4#ae7 by ! ,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve ,sy/em1 = ! la/ day ( ! mo/ rec5t weekly release ( su* rates2 or 7ii7 are1 aft] adju/+ = inflation1 no-int]e/ loans or loans ) int]e/ rates at or bel[ ! int]e/ rates = mortgage loans g5]ally available 9 ! m>ket2 7,d7 except z describ$ "u subp>agraph 7,b71 does n engage 9 ! bus9ess ( a mortgage orig9ator or mortgage brok]2 7,e7 conducts its activities 9 a mann] t s]ves public or *>itable purposes2 7,f7 receives fund+ & rev5ue & *>ges fees 9 a mann] t does n inc5tivize ! organization or its employees to act o!r ?an 9 ! be/ int]e/s ( its cli5ts2 7,g7 comp5sates employees 9 a mann] t does n inc5tivize employees to act o!r ?an 9 ! be/ int]e/s ( its cli5ts2 & 7,h7 meets su* o!r requirem5ts z ! ,corporation det]m9es appropriate4 7#dd7 ,mod]ate-income ,! t]m mod]ate-income means 7,a7 9 ! case ( own]-occupi$ units1 income n 9 excess ( m$ian income ( ! area2 & 7,b7 9 ! case ( r5tal units1 income n 9 excess ( m$ian income ( ! area1 ) adju/m5ts = small] & l>g] families1 z det]m9$ by ! ,secret>y ( ,h\s+ & ,urban ,developm5t4 7#de7 ,mortgage aggregator ,! t]m mortgage aggregator means a p]son t-- 7,a7 arranges1 9 connection ) a s+le-family cov]$ security1 a cr$it-risk %>+ me*anism t is approv$ by ! ,corporation pursuant to section #cjb2 7,b7 issues su* s+le-family cov]$ security ?r\gh ! ,securitization ,plat=m2 7,c7 does n orig9ate eligible s+le-family mortgage loans2 & 7,d7 is n affiliat$ ) a p]son t actively engages 9 ! bus9ess ( orig9at+ eligible s+le-family mortgage loans4 7#df7 ,mortgage-back$ security ,! t]m mortgage-back$ security means an asset-back$ security1 z def9$ 9 section #c7;a7 ( ! ,securities ,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4 #gh;c7a771 t is collat]aliz$ by-- 7,a7 a mortgage loan1 includ+ any resid5tial real e/ate loan or comm]cial real e/ate loan2 or 7,b7 a collat]aliz$ mortgage obligation ( mortgage-back$ securities4 7#dg7 ,mortgage orig9ator ,! t]m mortgage orig9ator has ! same mean+ z 9 section #ajc7;cc77#b7 ( ! ,tru? 9 ,l5d+ ,act 7#ae ,u4,s4,c4 #afjb7;cc77#b774 7#dh7 ,multifamily bus9ess ,! t]m multifamily bus9ess means ! activities & processes ( ! ent]prises (-- 7,a7 pur*as+1 sell+1 l5d+ on ! security (1 or o!rwise deal+ 9 multifamily mortgage loans2 7,b7 securitiz+ a pool ( multifamily mortgage loans2 & 7,c7 issu+ multifamily securities4 7#di7 ,multifamily cov]$ security ,! t]m multifamily cov]$ security means a multifamily mortgage-back$ security-- 7,a7 collat]aliz$ by eligible multifamily mortgage loans2 & 7,b7 t is insur$ by ! ,corporation pursuant to section #cjc4 7#ej7 ,multifamily mortgage-back$ security ,! t]m multifamily mortgage-back$ security means a mortgage-back$ security collat]aliz$ by comm]cial real e/ate loans secur$ by prop]ties ) #e or m resid5tial units 9 accordance ) ! requirem5ts ( ?is ,act4 7#ea7 ,noncov]$ security ,! t]m noncov]$ security means any mortgage-back$ security o!r ?an a cov]$ security4 7#eb7 ,noneligible mortgage loan ,! t]m noneligible mortgage loan means any mortgage loan o!r ?an an eligible mortgage loan4 7#ec7 ,(fice ( ,f9ance ,! t]m ,(fice ( ,f9ance means ! ,(fice ( ,f9ance 9 ! ,f$]al ,home ,loan ,bank ,sy/em4 7#ed7 ,p]man5tly af=dable home[n]%ip program ,! t]m p]man5tly af=dable home[n]%ip program includes programs adm9i/]$ by community l& tru/s1 nonpr(it organizations1 or ,/ate or local gov]nm5ts t-- 7,a7 use a gr\nd lease1 de$ re/riction1 subord9ate loan1 or simil> legal me*anism to-- 7i7 make real prop]ty af=dable to l[- or mod]ate-income borr[]s2 & 7ii7 /ipulate a preemptive option to pur*ase ! real prop]ty f ! home[n] at resale to pres]ve ! af=dability ( ! real prop]ty = successive l[- & mod]ate-income borr[]s2 7,b7 monitor prop]ties to ensure af=dability is pres]v$ ov] resales2 & 7,c7 support home[n]s to promote successful home[n]%ip & prev5t =eclosure4 7#ee7 ,p]son ,! t]m p]son means an individual1 corporation1 company 7includ+ a limit$ liability company or jo9t /ock company71 association 7incorporat$ or un9corporat$71 mutual or coop]ative organization1 p>tn]%ip1 tru/1 e/ate1 society1 or any o!r legal entity4 7#ef7 ,plat=m2 ,securitization ,plat=m ,! t]ms ,plat=m & ,securitization ,plat=m mean ! securitization infra/ructure e/abli%$ "u "p ,i ( subtitle ,c ( title ,,iii4 7#eg7 ,plat=m ,directors ,! t]m ,plat=m ,directors means ! bo>d ( directors ( ! ,securitization ,plat=m4 7#eh7 ,plat=m security ,! t]m ,plat=m security means a mortgage-back$ security issu$ ?r\gh ! ,securitization ,plat=m4 7#ei7 ,private label mortgage-back$ securities m>ket ,! t]m private label mortgage-back$ securities m>ket means ! m>ket 9 :i* noncov]$ securities are issu$1 b\ght1 & sold4 7#fj7 ,private m>ket hold] ,! t]m private m>ket hold] means ! hold] or hold]s1 o!r ?an an approv$ gu>antor or an approv$ multifamily gu>antor1 ( ! fir/ loss position ) respect to eligible mortgage loans collat]aliz+ any cov]$ security insur$ 9 accordance ) ?is ,act4 7#fa7 ,regulat$ entity ,! t]m regulat$ entity means-- 7,a7 ! ,f$]al ,national ,mortgage ,association & any affiliate !re(2 7,b7 ! ,f$]al ,home ,loan ,mortgage ,corporation & any affiliate !re(2 7,c7 any ,f$]al ,home ,loan ,bank2 & 7,d7 ! ,securitization ,plat=m4 7#fb7 ,resid5tial real e/ate loan ,! t]m resid5tial real e/ate loan includes any-- 7,a7 real e/ate mortgage loan2 7,b7 p]sonal prop]ty loan secur$ solely by ! home itself2 7,c7 hybrid l&-home loan = a manufactur$ home1 z def9$ 9 section #fjc7f7 ( ! ,national ,manufactur$ ,h\s+ ,con/ruction & ,safety ,/&>ds ,act ( #aigd 7#db ,u4,s4,c4 #edjb7f771 to :i* ! requirem5ts ( p>agraph 7#bi77;,a77v7 %all n apply2 & 7,d7 mortgage loan secur$ by real prop]ty 9 a community l& tru/ or p]man5tly af=dable home[n]%ip program4 7#fc7 ,safety & ,s\ndness ,act ,! t]m ,safety & ,s\ndness ,act means ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib 7#ab ,u4,s4,c4 #deja et seq474 7#fd7 ,s5ior ,pref]r$ ,/ock ,pur*ase ,agreem5t ,! t]m ,s5ior ,pref]r$ ,/ock ,pur*ase ,agreem5t means-- 7,a7 ! ,am5d$ & ,re/at$ ,s5ior ,pref]r$ ,/ock ,pur*ase ,agreem5t1 dat$ ,septemb] #bf1 #bjjh1 z su* ,agreem5t has be5 am5d$ on ,may #f1 #bjji1 ,decemb] #bd1 #bjji1 & ,augu/ #ag1 #bjab1 respectively1 & z su* ,agreem5t may be fur!r am5d$ & re/at$1 ent]$ into betwe5 ! ,dep>tm5t ( ! ,treasury & ea* ent]prise1 z applicable2 & 7,b7 any provision ( any c]tificate 9 connection ) su* ,agreem5t creat+ or designat+ ! t]ms1 p[]s1 pref]5ces1 privileges1 limitations1 or any o!r conditions ( ! ,v>iable ,liquidation ,pref]5ce ,s5ior ,pref]r$ ,/ock ( an ent]prise issu$ or sold pursuant to su* ,agreem5t4 7#fe7 ,s+le-family activities ,! t]m s+le-family activities means ! activities & processes ( ! ,corporation 9 provid+ insurance = s+le-family cov]$ securities z provid$ 9 ?is ,act4 7#ff7 ,s+le-family cov]$ security ,! t]m s+le-family cov]$ security means a s+le-family mortgage-back$ security-- 7,a7 collat]aliz$ by eligible s+le-family mortgage loans2 & 7,b7 t is insur$ by ! ,corporation pursuant to section #cjc4 7#fg7 ,small mortgage l5d] ,! t]m small mortgage l5d] means a community bank1 cr$it union1 mid-siz$ bank1 non-depository in/itution1 ,community ,developm5t ,f9ancial ,in/itution1 mission-bas$ nonpr(it l5d]1 or h\s+ f9ance ag5cy t orig9ates resid5tial real e/ate loans or comm]cial real e/ate loans4 7#fh7 ,/&>diz$ cov]$ security2 /&>diz$ security = s+le-family cov]$ securities ,! t]ms /&>diz$ cov]$ security & /&>diz$ s+le-family cov]$ security mean a s+le-family cov]$ security t is-- 7,a7 issu$ ?r\gh ! ,plat=m2 & 7,b7 9 a =m1 & includes ! /&>diz$ & uni=m t]ms = ! security & transaction t h be51 develop$ by ! ,plat=m ,directors & approv$ by ! ,corporation = use across v>i\s issuances4 7#fi7 ,/&>diz$ noncov]$ security2 /&>diz$ security = s+le-family noncov]$ securities ,! t]ms /&>diz$ noncov]$ security & /&>diz$ s+le-family noncov]$ security mean a s+le-family noncov]$ security t is-- 7,a7 issu$ ?r\gh ! ,plat=m2 & 7,b7 9 a =m1 & includes ! /&>diz$ & uni=m t]ms = ! security & transaction t h be51 develop$ by ! ,plat=m ,directors = use across v>i\s issuances4 7#gj7 ,/ate ,! t]m ,/ate means any ,/ate1 t]ritory1 or possession ( ! ,unit$ ,/ates1 ! ,di/rict ( ,columbia1 ! ,commonweal? ( ,pu]to ,rico1 ! ,commonweal? ( ! ,nor!rn ,m>iana ,isl&s1 ,guam1 ,am]ican ,samoa1 or ! ,unit$ ,/ates ,virg9 ,isl&s or any ,f$]ally recogniz$ ,indian tribe1 z def9$ by ! ,secret>y ( ! ,int]ior "u section #ajd7;a7 ( ! ,f$]ally ,recogniz$ ,indian ,tribe ,li/ ,act ( #aiid 7#be ,u4,s4,c4 #dgi;a-#a7;a774 7#ga7 ,sy/em c]tification date ,! t]m sy/em c]tification date means ! date on :i* ! ,bo>d ( ,directors c]tifies t ! requirem5ts ( section #fja h be5 met4 7#gb7 ,v l[-income 7,a7 ,9 g5]al ,! t]m v l[-income means-- 7i7 9 ! case ( own]-occupi$ units1 families hav+ incomes n great] ?an #ej p]c5t ( ! m$ian income ( ! area2 & 7ii7 9 ! case ( r5tal units1 families hav+ incomes n great] ?an #ej p]c5t ( ! m$ian income ( ! area1 ) adju/m5ts = small] & l>g] families1 z det]m9$ by ! ,secret>y ( ,h\s+ & ,urban ,developm5t4 7,b7 ,rule ( con/ruction ,= purposes ( ! ,h\s+ ,tru/ ,fund e/abli%$ "u section #acch ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #defh71 ! ,capital ,magnet ,fund e/abli%$ "u section #acci ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #defi71 & ! ,m>ket ,access ,fund e/abli%$ "u section #ejd1 ! t]m v l[-income means-- 7i7 9 ! case ( own]-occupi$ units1 income 9 excess ( #cj p]c5t b n great] ?an #ej p]c5t ( ! m$ian income ( ! area2 & 7ii7 9 ! case ( r5tal units1 income 9 excess ( #cj p]c5t b n great] ?an #ej p]c5t ( ! m$ian income ( ! area1 ) adju/m5ts = small] & l>g] families1 z det]m9$ by ! ,secret>y ( ,h\s+ & ,urban ,developm5t4 ,i ,elim9ation ( ,fannie ,mae & ,fr$die ,mac #aja4 ,elim9ation ( ,fannie ,mae & ,fr$die ,mac 7a7 ,fannie ,mae ,effective on ! ag5cy transf] date1 ! ,corporation %all take all /eps necess>y to dissolve & elim9ate ! ,f$]al ,national ,mortgage ,association pursuant to ! provisions ( ?is ,act4 ,! *>t] = ! ,f$]al ,national ,mortgage ,association %all be repeal$ pursuant to title ,,vi4 7b7 ,fr$die ,mac ,effective on ! ag5cy transf] date1 ! ,corporation %all take all /eps necess>y to dissolve & elim9ate ! ,f$]al ,home ,loan ,mortgage ,corporation pursuant to ! provisions ( ?is ,act4 ,! *>t] = ! ,f$]al ,home ,loan ,mortgage ,corporation %all be repeal$ pursuant to title ,,vi4 ,,ii ,f$]al ,mortgage ,insurance ,corporation #bja4 ,e/abli%m5t 7a7 ,e/abli%m5t ,effective on ! ag5cy transf] date1 !re is e/abli%$ ! ,f$]al ,mortgage ,insurance ,corporation1 :i* is *>g$ ) ensur+ ! safety & s\ndness (1 & compliance ) laws & regulations1 fair access to f9ancial s]vices1 & fair treatm5t ( cu/om]s by ! in/itutions & o!r p]sons subject to its jurisdiction & :i* %all h ! p[]s h]e9aft] grant$4 7b7 ,purpose ,! purpose ( ! ,corporation %all be to-- 7#a7 facilitate a liquid1 transp>5t1 & resili5t s+le-family & multifamily mortgage cr$it m>ket by support+ a robu/ second>y mortgage m>ket1 includ+ dur+ ! transition to ! new h\s+ f9ance sy/em2 7#b7 provide insurance on any mortgage-back$ security t satisfies ! requirem5ts "u ?is ,act to become a cov]$ security2 7#c7 monitor & sup]vise approv$ entities to ! ext5t provid$ 9 ?is ,act2 7#d7 sup]vise ! regulat$ entities2 7#e7 facilitate ! broad availability ( mortgage cr$it & second>y mortgage m>ket f9anc+ ?r\gh fluctuations 9 ! bus9ess cycle = eligible s+le-family & multifamily l5d+ across all-- 7,a7 regions2 7,b7 localities2 7,c7 in/itutions2 7,d7 prop]ty types1 includ+ h\s+ s]v+ r5t]s2 & 7,e7 eligible borr[]s2 7#f7 ensure cont9u$1 widespread availability ( an af=dable1 long-t]m1 fix$ rate1 prepayable mortgage1 su* z a #cj-ye> fix$ rate mortgage2 & 7#g7 pres]ve & ma9ta9 a liquid =w>d execution m>ket = eligible s+le-family mortgage loans & s+le-family cov]$ securities1 su* z ! ,to-,be-,ann\nc$ m>ket4 7c7 ,g5]al sup]visory & regulatory au?ority 7#a7 ,9 g5]al ,ea* approv$ entity %all1 to ! ext5t provid$ 9 ?is ,act1 be subject to ! sup]vision & regulation ( ! ,corporation4 7#b7 ,regulat$ entities2 ,(fice ( ,f9ance ,! ,corporation %all h g5]al regulatory au?ority ov] ea* regulat$ entity & ! ,(fice ( ,f9ance1 & %all ex]cise su* g5]al regulatory au?ority to ensure t ! purposes ( ?is ,act1 any am5dm5ts made by ?is ,act1 & any o!r applicable law z to :i* ! ,corporation has responsibility "u ?is ,act are c>ri$ out4 7d7 ,f$]al /atus ,! ,corporation %all be an indep5d5t ag5cy & an in/rum5tality ( ! ,f$]al ,gov]nm5t4 7e7 ,succession ,! ,corporation %all h succession until dissolv$ by an ,act ( ,congress4 7f7 ,pr9cipal (fice ,! ,corporation %all ma9ta9 its pr9cipal (fice 9 ! ,di/rict ( ,columbia & %all be deem$1 = purposes ( v5ue 9 civil actions1 to be a resid5t !re(4 7g7 ,au?ority to e/abli% o!r (fices ,! ,corporation may e/abli% su* o!r (fices 9 su* o!r place or places z ! ,corporation may deem necess>y or appropriate 9 ! conduct ( its bus9ess4 7h7 ,prohibition ,! ,corporation %all n engage 9 mortgage loan orig9ation4 #bjb4 ,managem5t ( ,corporation 7a7 ,bo>d ( ,directors 7#a7 ,memb]s ,! managem5t ( ! ,corporation %all be ve/$ 9 a ,bo>d ( ,directors consi/+ ( #e memb]s :o %all be appo9t$ by ! ,presid5t1 by & ) ! advice & cons5t ( ! ,s5ate1 f among individuals :o-- 7,a7 are citiz5s ( ! ,unit$ ,/ates2 & 7,b7 h demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 & practical1 discipl9>y1 vocational1 or regulatory exp]i5ce work+ 91 h\s+ & h\s+ f9ance4 7#b7 ,political affiliation ,n m ?an #c ( ! memb]s ( ! ,bo>d ( ,directors may be memb]s ( ! same political p>ty4 7#c7 ,duties ,! ,bo>d ( ,directors %all advise ! ,*airp]son reg>d+ ov]all /rategies & policies to c>ry out ! duties & purposes ( ?is ,act4 7b7 ,*airp]son & ,vice ,*airp]son 7#a7 ,*airp]son 7,a7 ,designation #a ( ! memb]s appo9t$ pursuant to subsection 7a77#a7 %all be designat$ by ! ,presid5t to s]ve z ,*airp]son ( ! ,bo>d ( ,directors4 7,b7 ,t]m ,except z provid$ 9 subsection 7c77#a77;,a71 ! ,*airp]son %all be appo9t$ = a t]m ( #e ye>s1 unless remov$ be=e ! end ( su* t]m by ! ,presid5t "u subp>agraph 7,c74 7,c7 ,removal = cause ,! ,presid5t may remove ! ,*airp]son = ineffici5cy1 neglect ( duty1 or malfeasance 9 (fice4 7,d7 ,duties & au?orities 7i7 ,9 g5]al ,! ,*airp]son-- 7,i7 %all-- 7aa7 be ! active executive (fic] ( ! ,corporation1 subject to sup]vision by ! ,bo>d ( ,directors2 7bb7 ov]see ! prud5tial op]ations ( ea* regulat$ entity2 & 7cc7 ensure t ea* approv$ entity & regulat$ entity op]ates 9 a safe & s\nd mann]1 includ+-- 7,,aa7 ?r\gh ! ma9t5ance ( adequate capital1 /&>ds1 & int]nal controls2 & 7,,bb7 by ensur+ compliance ) ! rules1 regulations1 guidel9es1 & ord]s issu$ pursuant to ?is ,act2 & 7,,ii7 may ex]cise su* incid5tal p[]s z may be necess>y or appropriate to assi/ ! ,corporation 9 fulfill+ ! duties & responsibilities ( ! ,corporation 9 ! sup]vision & regulation ( ea* approv$ entity & regulat$ entity4 7ii7 ,delegation ,! ,*airp]son may delegate to (fic]s & employees ( ! ,corporation any ( ! functions1 p[]s1 or duties ( ! ,*airp]son1 z ! ,*airp]son consid]s appropriate4 7#b7 ,vice ,*airp]son 7,a7 ,designation #a ( ! memb]s appo9t$ pursuant to subsection 7a77#a7 %all be designat$ by ! ,presid5t to s]ve z ,vice ,*airp]son ( ! ,bo>d ( ,directors4 7,b7 ,t]m ,except z provid$ 9 subsection 7c77#a77;,b71 ! ,vice ,*airp]son %all be appo9t$ = a t]m ( #e ye>s1 unless remov$ be=e ! end ( su* t]m by ! ,presid5t "u subp>agraph 7,c74 7,c7 ,removal = cause ,! ,presid5t may remove ! ,vice ,*airp]son = ineffici5cy1 neglect ( duty1 or malfeasance 9 (fice4 7#c7 ,act+ ,*airp]son 7,a7 ,dur+ vacancy 9 ! position ( ,*airp]son ,except z provid$ 9 section #djb1 9 ! ev5t ( a vacancy 9 ! position ( ,*airp]son ( ! ,bo>d ( ,directors or dur+ ! abs5ce or disability ( ! ,*airp]son1 ! ,vice ,*airp]son %all act z ,*airp]son4 7,b7 ,dur+ vacancies 9 ! position ( ,*airp]son & ,vice ,*airp]son ,except z provid$ 9 section #djb1 9 ! ev5t ( vacancies 9 ! positions ( ,*airp]son & ,vice ,*airp]son1 or dur+ ! abs5ce or disability ( bo? ! ,*airp]son & ! ,vice ,*airp]son1 ! ,presid5t %all designate #a ( ! o!r memb]s appo9t$ pursuant to subsection 7a77#a7 z ,act+ ,*airp]son4 7,c7 ,ret5tion ( au?ority ,any p]son confirm$ to s]ve z ,*airp]son1 or act+ z ,*airp]son1 :e!r designat$ to act z su* by ! ,presid5t "u ?is p>agraph or act+ 9 su* capacity by op]ation ( ?is p>agraph or section #djb1 %all = ! p]iod t su* p]son is s]v+ z ,*airp]son or act+ z ,*airp]son-- 7i7 act = all purposes z ! ,*airp]son2 & 7ii7 h all ! rights1 duties1 p[]s1 & responsibilities ( ! ,*airp]son4 7c7 ,/agg]$ t]ms2 t]m cont9uation 7#a7 ,t]ms 7,a7 ,t]m ( initial ,*airp]son ,! initial memb] ( ! ,bo>d ( ,directors appo9t$ pursuant to subsection 7a77#a7 & designat$ z ,*airp]son "u subsection 7b77#a7 %all s]ve a t]m ( #cj mon?s4 7,b7 ,t]m ( initial ,vice ,*airp]son ,! initial memb] ( ! ,bo>d ( ,directors appo9t$ pursuant to subsection 7a77#a7 & designat$ z ,vice ,*airp]son "u subsection 7b77#b7 %all s]ve a t]m ( #cj mon?s4 7,c7 ,t]m ( o!r appo9t$ memb]s #a ( ! o!r initial memb]s ( ! ,bo>d ( ,directors appo9t$ pursuant to subsection 7a77#a7 & n designat$ z ,*airp]son or ,vice ,*airp]son "u subsection 7b7 %all s]ve a t]m ( #cj mon?s & ! o!r #b initial memb]s %all s]ve a t]m ( #d ye>s4 7,d7 ,all o!r t]ms ,aft] ! expiration ( ! initial t]ms "u subp>agraphs 7,a7 ?r\gh 7,c71 all subsequ5t memb]s ( ! ,bo>d ( ,directors appo9t$ pursuant to subsection 7a77#a7 %all s]ve = a t]m ( #e ye>s4 7#b7 ,cont9uation ( s]vice ,ea* memb] ( ! ,bo>d ( ,directors appo9t$ pursuant to subsection 7a77#a71 includ+ any memb] appo9t$ to s]ve z ,*airp]son or ,vice ,*airp]son1 may cont9ue to s]ve aft] ! expiration ( ! t]m ( (fice to :i* su* memb] 0 appo9t$ until ! expiration ( ! next session ( ,congress subsequ5t to ! expiration ( said fix$ t]m ( (fice4 7d7 ,vacancy2 mann] ( fulfillm5t ,any vacancy on ! ,bo>d ( ,directors %all be fill$ 9 ! mann] 9 :i* ! orig9al appo9tm5t 0 made1 & ! p]son appo9t$ to fill su* vacancy %all be appo9t$ only = ! rema9d] ( su* t]m4 7e7 ,comp5sation ( memb]s 7#a7 ,*airp]son ,! ,*airp]son %all receive comp5sation at ! rate prescrib$ = ,level ,,ii ( ! ,executive ,s*$ule "u section #ecac ( title #e1 ,unit$ ,/ates ,code4 7#b7 ,o!r appo9t$ memb]s ,all memb]s ( ! ,bo>d ( ,directors n describ$ 9 p>agraph 7#a7 %all receive comp5sation at ! rate prescrib$ = ,level ,,iii ( ! ,executive ,s*$ule "u section #ecad ( title #e1 ,unit$ ,/ates ,code4 7f7 ,ineligibility = o!r (fices dur+ s]vice2 po/s]vice re/riction 7#a7 ,re/rictions dur+ s]vice ,no memb] ( ! ,bo>d ( ,directors may1 dur+ ! "t su* memb] is s]v+ 9 su* capacity & = ! #b-ye> p]iod beg9n+ on ! date su* memb] ceases to s]ve z a memb] ( ! ,bo>d ( ,directors-- 7,a7 be an (fic]1 employee1 or director ( any-- 7i7 insur$ depository in/itution2 7ii7 insur$ depository in/itution hold+ company2 7iii7 ,f$]al ,res]ve bank2 7iv7 regulat$ entity2 7v7 approv$ entity2 or 7vi7 non-bank f9ancial in/itution or company t orig9ates eligible mortgage loans2 or 7,b7 hold /ock or h b5eficial own]%ip 9 any-- 7i7 insur$ depository in/itution2 7ii7 insur$ depository in/itution hold+ company2 7iii7 regulat$ entity2 7iv7 approv$ entity2 or 7v7 non-bank f9ancial in/itution or company t orig9ates eligible mortgage loans4 7#b7 ,c]tification ,^u tak+ (fice1 ea* memb] ( ! ,bo>d ( ,directors %all c]tify "u oa? t su* memb] has compli$1 & w comply1 ) ?is subsection & su* c]tification %all be fil$ ) ! secret>y ( ! ,bo>d ( ,directors4 7g7 ,/atus ( directors1 (fic]s1 & employees 7#a7 ,9 g5]al ,a memb] ( ! ,bo>d ( ,directors1 (fic]1 or employee ( ! ,corporation has no liability "u ! ,securities ,act ( #aicc 7#ae ,u4,s4,c4 #gg;b et seq47 ) respect to any claim aris+ out ( or result+ f any act or omission by su* p]son )9 ! scope ( su* p]son's employm5t 9 connection ) any transaction involv+ ! disposition ( assets 7or any int]e/s 9 any assets or any obligations back$ by any assets7 by ! ,corporation4 ,?is subsection %all n be con/ru$ to limit p]sonal liability = crim9al acts or omissions1 willful or malici\s misconduct1 acts or omissions = private ga91 or any o!r acts or omissions outside ! scope ( su* p]son's employm5t4 7#b7 ,effect on o!r law ,?is subsection does n affect-- 7,a7 any o!r immunities & protections t may be available to su* p]son "u applicable law ) respect to su* transactions2 or 7,b7 any o!r "r or rem$y aga9/ ! ,corporation1 aga9/ ! ,unit$ ,/ates "u applicable law1 or aga9/ any p]son o!r ?an a p]son describ$ 9 p>agraph 7#a7 p>ticipat+ 9 su* transactions4 7#c7 ,rule ( con/ruction ,?is subsection %all n be con/ru$ to limit or alt] 9 any way ! immunities t are available "u applicable law = ,f$]al (ficials & employees n describ$ 9 ?is subsection4 7h7 ,indep5d5ce 7#a7 ,9 g5]al ,ea* memb] ( ! ,bo>d ( ,directors %all be indep5d5t 9 p]=m+ 8 or h] duties4 7#b7 ,indep5d5ce det]m9ation ,9 ord] to be consid]$ indep5d5t = purposes ( ?is subsection1 a memb] ( ! ,bo>d ( ,directors-- 7,a7 may n1 o!r ?an 9 8 or h] capacity z a memb] ( ! ,bo>d ( ,directors or any committee !re(-- 7i7 accept any consult+1 advisory1 or o!r comp5satory fee f ! ,corporation2 or 7ii7 be a p]son associat$ ) ! ,corporation or ) any affiliate ( ! ,corporation2 & 7,b7 %all be disqualifi$ f any delib]ation involv+ any transaction ( ! ,corporation 9 :i* ! memb] has a f9ancial int]e/ 9 ! outcome ( ! transaction4 7i7 ,adm9i/ration ,except z may be o!rwise provid$ 9 ?is ,act1 ! ,bo>d ( ,directors %all adm9i/] ! affairs ( ! ,corporation fairly & imp>tially & )\t discrim9ation4 7j7 ,vot+ ,a majority vote ( all memb]s ( ! ,bo>d ( ,directors is necess>y to resolve all vot+ issues ( ! ,corporation4 7k7 ,meet+s ,! ,bo>d ( ,directors %all meet 9 accordance ) ! bylaws ( ! ,corporation-- 7#a7 at ! call ( ! ,*airp]son2 & 7#b7 n less frequ5tly ?an once ea* qu>t]4 7l7 ,quorum #c memb]s ( ! ,bo>d ( ,directors !n 9 (fice %all con/itute a quorum4 7m7 ,bylaws ,a majority ( ! memb]s ( ! ,bo>d ( ,directors may am5d ! bylaws ( ! ,corporation4 #bjc4 ,advisory ,committee 7a7 ,e/abli%m5t 7#a7 ,9 g5]al ,! ,corporation %all e/abli% an ,advisory ,committee = ! purpose ( advis+ ! ,(fice ( ,consum] & ,m>ket ,access & ! ,bo>d ( ,directors on developm5ts 9 ! prim>y & second>y mortgage m>kets t h mat]ial effects on ! ongo+ mission ( ! ,corporation4 7#b7 ,duties ,! ,advisory ,committee %all provide advice & recomm5dations to ! ,(fice ( ,consum] & ,m>ket ,access & ! ,bo>d ( ,directors z to mat]ial developm5ts 9 ! foll[+ areas3 7,a7 ,h\s+ prices & af=dability4 7,b7 ,! effectiv5ess ( consum] protections 9 ! h\s+ m>ket4 7,c7 ,volume & *>act]i/ics ( eligible mortgage loan orig9ations4 7,d7 ,! condition ( ! r5tal h\s+ m>ket4 7,e7 ,small l5d] p>ticipation 9 ! second>y mortgage m>ket4 7,f7 ,access to cr$it 9 rural & und]s]v$ communities4 7,g7 ,competition among approv$ entities4 7,h7 ,fair1 equitable1 & nondiscrim9atory access to mortgage cr$it = individuals & communities4 7b7 ,composition & qualifications 7#a7 ,9 g5]al ,! ,advisory ,committee %all be compos$ ( #ad memb]s z foll[s3 7,a7 #a memb] :o %all h a demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 & practical1 discipl9>y1 vocational1 or regulatory exp]i5ce work+ )1 non-depository mortgage orig9ators hav+ less ?an #aj1jjj1jjj1jjj 9 total assets4 7,b7 #a memb] :o %all h a demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 & practical1 discipl9>y1 vocational1 or regulatory exp]i5ce work+ )1 cr$it unions hav+ less ?an #aj1jjj1jjj1jjj 9 total assets4 7,c7 #a memb] :o %all h a demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 & practical1 discipl9>y1 vocational1 or regulatory exp]i5ce work+ )1 banks hav+ less ?an #aj1jjj1jjj1jjj 9 total assets4 7,d7 #a memb] :o %all h a demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 & practical1 discipl9>y1 vocational1 or regulatory exp]i5ce work+ )1 banks hav+ m ?an #ejj1jjj1jjj1jjj 9 total assets4 7,e7 #a memb] :o %all h a demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 & practical1 discipl9>y1 vocation1 or regulatory exp]i5ce work+ )1 regional banks hav+ m ?an #aj1jjj1jjj1jjj & less ?an #ejj1jjj1jjj1jjj 9 total assets4 7,f7 #a memb] :o %all h a demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 & practical1 discipl9>y1 vocational1 or regulatory exp]i5ce ) private mortgage insurance4 7,g7 #a memb] :o %all h a demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 & practical1 discipl9>y1 vocational1 or regulatory exp]i5ce ) securitization4 7,h7 #a memb] :o %all h a demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 & practical1 discipl9>y1 vocational1 or regulatory exp]i5ce ) inve/or protection & in/itutional inve/ors4 7,i7 #a memb] :o %all h a demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 or practical1 discipl9>y1 or vocational exp]i5ce ) consum] protection4 7,j7 #a memb] :o %all h a demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 or practical1 discipl9>y1 or vocational exp]i5ce ) policies & programs to support su/a9able home[n]%ip4 7,k7 #a memb] :o %all h a demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 or practical1 discipl9>y1 or vocational exp]i5ce ) multifamily h\s+ developm5t4 7,l7 #a memb] :o %all h a demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 or practical1 discipl9>y1 or vocational exp]i5ce ) af=dable r5tal h\s+4 7,m7 #a memb] :o %all h a demon/rat$ te*nical1 academic1 or pr(essional und]/&+ (1 or practical1 discipl9>y1 or vocational exp]i5ce ) asset managem5t4 7,n7 #a memb] :o %all h a demon/rat$ pr(essional und]/&+ ( & vocational exp]i5ce ) ,/ate bank1 non-bank1 or insurance regulation4 7#b7 ,exp]i5ce ) rural h\s+ ,( ! memb]s ( ! ,advisory ,committee id5tifi$ "u subp>agraphs 7,b7 & 7,c7 ( p>agraph 7#a71 at lea/ #a %all be requir$ to h practical1 discipl9>y1 or vocational exp]i5ce work+ 9 rural areas & ) rural borr[]s4 7#c7 ,exp]i5ce ) fair l5d+ ,( ! memb]s ( ! ,advisory ,committee id5tifi$ "u p>agraph 7#a71 at lea/ #a %all be requir$ to h demon/rat$ practical1 academic1 discipl9>y1 or vocational exp]i5ce ) fair l5d+ practices & policies & programs t promote fair1 equitable1 & nondiscrim9atory access to cr$it 9 und]s]v$ m>kets4 7c7 ,memb] selection ,memb]s ( ! ,advisory ,committee %all be appo9t$ to ! ,committee by ! ,*airp]son1 subject to approval by a majority ( ! ,bo>d ( ,directors4 7d7 ,meet+s ,! ,advisory ,committee %all meet no less frequ5tly ?an once dur+ ea* cal5d> qu>t]4 #bjd4 ,(fice ( ! ,inspector ,g5]al 7a7 ,(fice ( ,inspector ,g5]al 7#a7 ,e/abli%m5t ,on ! ag5cy transf] date1 !re is e/abli%$ ! ,(fice ( ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation4 7#b7 ,head ( (fice 7,a7 ,9 g5]al ,! head ( ! ,(fice ( ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation %all be ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation1 :o %all be appo9t$ by ! ,presid5t1 by & ) ! advice & cons5t ( ! ,s5ate1 9 accordance ) section #c7;a7 ( ! ,inspector ,g5]al ,act ( #aigh 7#e ,u4,s4,c4 ,app474 7,b7 ,transitional provision ,not)/&+ subp>agraph 7,a71 dur+ ! p]iod beg9n+ on ! ag5cy transf] date & end+ on ! date on :i* ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation is confirm$1 ! p]son s]v+ z ! ,inspector ,g5]al or ! ,act+ ,inspector ,g5]al = ! ,(fice ( ! ,inspector ,g5]al )9 ! ,f$]al ,h\s+ ,f9ance ,ag5cy on ! date t is #a day prior to ! ag5cy transf] date %all act = all purposes z1 & ) ! full p[]s (1 ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation4 7#c7 ,(fice ( ! ,inspector ,g5]al au?orities ,beg9n+ on ! ag5cy transf] date1 ! au?ority ( ! ,(fice ( ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation %all include all rights & responsibilities ( ! ,(fice ( ! ,inspector ,g5]al ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy z su* rights & responsibilities exi/$ on ! date t is #a day prior to ! ag5cy transf] date4 7b7 ,provision ( prop]ty & facilities ,! ,*airp]son %all provide ! ,(fice ( ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation )-- 7#a7 appropriate & adequate (fice space at ea* c5tral & field (fice location e/abli%$ by ! ,corporation1 toge!r ) su* equipm5t1 (fice supplies1 & communications facilities & s]vices z may be necess>y = ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation to op]ate su* (fices2 & 7#b7 ! necess>y ma9t5ance s]vices =-- 7,a7 any (fice provid$ "u p>agraph 7#a72 & 7,b7 ! equipm5t & facilities locat$ 9 any su* (fice4 7c7 ,hir+ ( employees1 exp]ts1 & consultants ,not)/&+ p>agraphs 7#g7 & 7#h7 ( section #f7;a7 ( ! ,inspector ,g5]al ,act ( #aigh 7#e ,u4,s4,c4 ,app471 ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation may select1 appo9t1 & employ su* (fic]s & employees z may be necess>y-- 7#a7 = c>ry+ out ! functions1 p[]s1 & duties ( ! ,(fice ( ! ,inspector ,g5]al2 & 7#b7 to obta9 ! tempor>y or int]mitt5t s]vices ( exp]ts or consultants or an organization ( exp]ts or consultants1 subject to ! applicable laws & regulations t gov]n su* selections1 appo9tm5ts1 & employm5t1 & ! obta9+ ( su* s]vices1 )9 ! ,corporation4 7d7 ,submission ( budget 7#a7 ,9 g5]al ,= ea* fiscal ye>1 ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation %all transmit a budget e/imate & reque/ = funds to ! ,*airp]son4 7#b7 ,requir$ cont5t ,! budget reque/ requir$ "u p>agraph 7#a7 %all-- 7,a7 specify-- 7i7 ! aggregate am\nt ( funds reque/$ = su* fiscal ye> = ! op]ations ( ! ,(fice ( ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation2 & 7ii7 ! am\nt reque/$ = all tra9+ ne$s1 includ+ a c]tification f ! ,inspector ,g5]al t ! am\nt reque/$ satisfies all tra9+ requirem5ts = ! ,(fice ( ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation = t fiscal ye>2 & 7,b7 specifically-- 7i7 id5tify & specify any res\rces necess>y to support ! ,c\ncil ( ! ,inspectors ,g5]al on ,integrity & ,effici5cy2 & 7ii7 ju/ify ! ne$ = any res\rces id5tifi$ & specifi$ "u clause 7i74 7e7 ,am5dm5ts to ,inspector ,g5]al ,act ( #aigh ,! ,inspector ,g5]al ,act ( #aigh 7#e ,u4,s4,c4 ,app47 is am5d$-- 7#a7 9 section #f7;e77#c71 by ins]t+ ,f$]al ,mortgage ,insurance ,corporation aft] ,f$]al ,em]g5cy ,managem5t ,ag5cy2 7#b7 9 section #h;,g7a77#b71 by /rik+ ! ,f$]al ,h\s+ ,f9ance ,bo>d2 & 7#c7 9 section #ab-- 7,a7 9 p>agraph 7#a71 by /rik+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation2 & 7,b7 9 p>agraph 7#b71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation4 7f7 ,effective date ,! am5dm5ts made by ?is section %all take effect on ! ag5cy transf] date4 #bje4 ,/aff1 exp]ts1 & consultants 7a7 ,comp5sation 7#a7 ,9 g5]al ,! ,bo>d ( ,directors may appo9t & fix ! comp5sation ( su* (fic]s1 attorneys1 economi/s1 exam9]s1 & o!r employees z may be necess>y = c>ry+ out ! functions ( ! ,corporation4 7#b7 ,rates ( pay ,rates ( basic pay & ! total am\nt ( comp5sation & b5efits = all employees ( ! ,corporation may be-- 7,a7 set & adju/$ by ! ,bo>d ( ,directors )\t reg>d to ! provisions ( *apt] #ea or sub*apt] ,,iii ( *apt] #ec ( title #e1 ,unit$ ,/ates ,code2 & 7,b7 reasonably increas$1 not)/&+ any limitation set =? 9 p>agraph 7#c71 if ! ,bo>d ( ,directors det]m9es su* increases are necess>y to attract & hire qualifi$ employees4 7#c7 ,p>ity ,! ,bo>d ( ,directors may provide additional comp5sation & b5efits to employees ( ! ,corporation1 ( ! same type ( comp5sation or b5efits t are !n be+ provid$ by any ag5cy ref]r$ to "u section #abjf ( ! ,f9ancial ,in/itutions ,re=m1 ,recov]y1 & ,en=cem5t ,act ( #aihi 7#ab ,u4,s4,c4 #ahcc;b7 or1 if n !n be+ provid$1 c\ld be provid$ by su* an ag5cy "u applicable provisions ( law1 rule1 or regulation4 ,9 sett+ & adju/+ ! total am\nt ( comp5sation & b5efits = employees1 ! ,bo>d ( ,directors %all consult ) & seek to ma9ta9 comp>ability ) ! ag5cies ref]r$ to "u section #abjf ( ! ,f9ancial ,in/itutions ,re=m1 ,recov]y1 & ,en=cem5t ,act ( #aihi 7#ab ,u4,s4,c4 #ahcc;b74 7b7 ,detail ( gov]nm5t employees ,^u ! reque/ ( ! ,bo>d ( ,directors1 any ,f$]al ,gov]nm5t employee may be detail$ to ! ,corporation )\t reimbursem5t f ! ,corporation1 & su* detail %all be )\t int]ruption or loss ( civil s]vice /atus or privilege4 7c7 ,exp]ts & consultants ,! ,corporation may procure ! s]vices ( exp]ts & consultants z ! ,corporation consid]s necess>y or appropriate4 7d7 ,te*nical & pr(essional advisory committees ,! ,bo>d ( ,directors may appo9t su* special advisory1 te*nical1 or pr(essional committees z may be useful 9 c>ry+ out ! functions ( ! ,corporation4 #bjf4 ,reports2 te/imony2 audits 7a7 ,reports 7#a7 ,9 g5]al ,aft] ! sy/em c]tification date1 ! ,corporation %all submit1 on an annual basis1 to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives a writt5 report ( its op]ations1 activities1 budget1 receipts1 & exp5ditures = ! prec$+ #ab-mon? p]iod4 7#b7 ,cont5ts ( report ,! report requir$ "u subsection 7a7 %all include-- 7,a7 an analysis (-- 7i7 ) respect to ! ,mortgage ,insurance ,fund e/abli%$ "u section #cjc7;e7-- 7,i7 ! curr5t f9ancial condition ( ! ,mortgage ,insurance ,fund2 7,,ii7 ! exposure ( ! ,mortgage ,insurance ,fund to economic conditions & an analysis ( any /ress te/s conduct$ ) respect to ! ,fund2 7,,iii7 an e/imate ( ! res\rces ne$$ = ! ,mortgage ,insurance ,fund to a*ieve ! purposes ( ?is ,act2 & 7,,iv7 any f9d+s1 conclusions1 & recomm5dations = legislative & adm9i/rative actions consid]$ appropriate to ! future activities ( ! ,corporation2 7ii7 :e!r or n ! actual res]ve ratio ( ! ,mortgage ,insurance ,fund met-- 7,i7 ! res]ve ratio set = ! prec$+ #ab-mon? p]iod2 or 7,,ii7 ! res]ve ratio goals e/abli%$ 9 section #cjc7;e77#g72 7iii7 ! detail$ plan ( ! ,corporation to ensure t ! goals set = ! res]ve ratio = ! ,mortgage ,insurance ,fund are met & ma9ta9$ = ! next #ab-mon? p]iod2 7iv7 ! /ate ( ! private label mortgage-back$ securities m>ket1 includ+ ! submission ( a reasonable set ( adm9i/rative1 regulatory1 & legislative proposals on h[ to limit ! ,f$]al ,gov]nm5t's footpr9t 9 ! second>y mortgage m>ket2 7v7 h[ & ! ext5t to :i* ! ,corporation & ! ,small ,l5d] ,mutual e/abli%$ "u section #cae7;a77#a7 has fulfill$ its obligations to ensure t community & mid-size banks1 cr$it unions1 & o!r small l5d]s h equitable & mean+ful access to ! second>y mortgage m>ket2 & 7vi7 ! report requir$ "u section #bjh7;b77#b77;,b72 7,b7 a discussion ( ! significant problems fac$ by consum]s 9 %opp+ = or obta9+ mortgage cr$it or s]vices2 7,c7 a ju/ification ( ! ,corporation's budget = ! prec$+ #ab-mon? p]iod2 7,d7 a li/ ( ! significant rules & ord]s adopt$ by ! ,corporation1 z well z o!r significant initiatives conduct$ by ! ,corporation1 dur+ ! prec$+ #ab-mon? p]iod & ! plan ( ! ,corporation = rules1 ord]s1 or o!r initiatives to be und]tak5 dur+ ! next #ab-mon? p]iod2 7,e7 a li/1 ) a brief /atem5t ( ! issues1 ( ! public sup]visory & en=cem5t actions to :i* ! ,corporation 0 a p>ty dur+ ! prec$+ #ab-mon? p]iod2 7,f7 ! actions ( ! ,corporation tak5 reg>d+ rules1 ord]s1 & sup]visory actions ) respect to cov]$ entities2 & 7,g7 an assessm5t ( significant actions by ,/ate attorneys g5]al or ,/ate regulators relat+ to ,f$]al law )9 ! ,corporation's jurisdiction4 7b7 ,te/imony ,aft] ! sy/em c]tification date1 ! ,*airp]son %all appe> annually be=e ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives to provide te/imony on ! report submitt$ "u subsection 7a74 7c7 ,reports to ! ,(fice ( ,managem5t & ,budget 7#a7 ,f9ancial op]at+ plans & =eca/s ,! ,corporation %all provide to ! ,director ( ! ,(fice ( ,managem5t & ,budget copies ( !-- 7,a7 ,corporation's f9ancial op]at+ plans & =eca/s z prep>$ by ! ,corporation 9 ! ord9>y c\rse ( its op]ations2 & 7,b7 qu>t]ly reports ( ! ,corporation's f9ancial condition & results ( op]ations z prep>$ by ! ,corporation 9 ! ord9>y c\rse ( its op]ations4 7#b7 ,rule ( con/ruction ,?is subsection %all n be con/ru$ to-- 7,a7 require any obligation on ! "p ( ! ,corporation to consult )1 or obta9 ! cons5t or approval (1 ! ,director ( ! ,(fice ( ,managem5t & ,budget ) respect to any reports1 plans1 =eca/s1 or o!r in=mation ref]r$ to 9 p>agraph 7#a72 or 7,b7 au?orize any jurisdiction or ov]sight by ! ,director ( ! ,(fice ( ,managem5t & ,budget ov] ! affairs or op]ations ( ! ,corporation4 7d7 ,audit 7#a7 ,annual audit ,! ,comptroll] ,g5]al ( ! ,unit$ ,/ates %all annually audit-- 7,a7 ! f9ancial transactions ( ! ,corporation2 & 7,b7 ! ,mortgage ,insurance ,fund4 7#b7 ,audit+ /&>ds ,! audit requir$ "u ?is subsection %all be complet$ 9 accordance ) ! ,unit$ ,/ates g5]ally accept$ gov]nm5t audit+ /&>ds z may be prescrib$ by ! ,comptroll] ,g5]al4 7#c7 ,place ( audit ,! audit requir$ "u ?is subsection %all be conduct$ at ! place or places :]e acc\nts ( ! ,corporation are normally kept4 7#d7 ,access ,not)/&+ any o!r provision ( law1 ^u reque/ & 9 su* reasonable =m z ! ,comptroll] ,g5]al may reque/1 ! ,comptroll] ,g5]al %all h access to-- 7,a7 any records1 books1 acc\nts1 docum5ts1 reports1 files1 pap]s1 prop]ty1 or o!r in=mation "u ! control ( or us$ by ! ,corporation2 7,b7 any records or o!r in=mation "u ! control ( a p]son or entity act+ on behalf ( or "u ! au?ority ( ! ,corporation1 to ! ext5t t su* records or o!r in=mation are relevant to an audit requir$ "u ?is subsection2 & 7,c7 ! (fic]s1 directors1 employees1 f9ancial advisors1 /aff1 work+ gr\ps1 & ag5ts & repres5tatives ( ! ,corporation 7relat+ to ! activities on behalf ( ! ,corporation ( su* ag5t or repres5tative74 7#e7 ,rule ( con/ruction ,all records1 books1 acc\nts1 docum5ts1 reports1 files1 pap]s1 prop]ty1 or o!r in=mation ref]r$ to 9 p>agraph 7#d7 %all rema9 9 ! possession & cu/ody ( ! ,corporation4 7#f7 ,copies ,! ,comptroll] ,g5]al may1 z ! ,comptroll] ,g5]al consid]s appropriate1 make & reta9 copies ( ! records1 books1 acc\nts1 docum5ts1 reports1 files1 pap]s1 prop]ty1 or o!r in=mation to :i* ! ,comptroll] ,g5]al is grant$ access "u p>agraph 7#c74 7#g7 ,report 7,a7 ,submission to ,congress ,! ,comptroll] ,g5]al %all submit to ,congress a report ( ea* annual audit conduct$ "u ?is subsection n lat] ?an six & "o-half mon?s foll[+ ! close ( ! ye> cov]$ by su* audit4 7,b7 ,requir$ cont5t ,! report requir$ "u subp>agraph 7,a7 %all-- 7i7 set =? ! scope ( ! audit2 & 7ii7 include-- 7,i7 ! /atem5t ( assets & liabilities1 z well z any surplus or deficit2 7,,ii7 ! /atem5t ( income & exp5ses2 7,,iii7 ! /atem5t ( s\rces & application ( funds2 7,,iv7 su* comm5ts & in=mation z ! ,comptroll] ,g5]al may deem necess>y to in=m ,congress ( ! f9ancial op]ations & condition ( ! ,corporation & ! ,mortgage ,insurance ,fund1 toge!r ) su* recomm5dations ) respect !reto z ! ,comptroll] ,g5]al may deem advisable2 & 7,v7 a description ( any program1 exp5diture1 or o!r f9ancial transaction or und]tak+ obs]v$ 9 ! c\rse ( ! audit1 :i*1 9 ! op9ion ( ! ,comptroll] ,g5]al1 has be5 c>ri$ on or made )\t au?ority ( law4 7,c7 ,copies ,a copy ( ea* report requir$ "u subp>agraph 7,a7 %all be furni%$ to ! ,presid5t & to ! ,*airp]son at ! "t su* report is submitt$ to ,congress4 7#h7 ,assi/ance & co/s 7,a7 ,p]mitt$ use ( outside assi/ance ,= ! purpose ( conduct+ an audit "u ?is subsection1 ! ,comptroll] ,g5]al may employ by contract1 )\t reg>d to section #cgji ( ! ,revis$ ,/atutes ( ! ,unit$ ,/ates 7#da ,u4,s4,c4 #faja71 pr(essional s]vices ( firms & organizations ( c]tifi$ public acc\ntants = tempor>y p]iods or = special purposes4 7,b7 ,co/ ( audit cov]$ by ,corporation 7i7 ,9 g5]al ,^u ! reque/ ( ! ,comptroll] ,g5]al1 ! ,*airp]son %all transf] to ! ,comptroll] ,g5]al f funds available ! am\nt reque/$ by ! ,comptroll] ,g5]al to cov] ! reasonable co/s ( any audit & report conduct$ by ! ,comptroll] ,g5]al pursuant to ?is subsection4 7ii7 ,cr$it ( funds ,! ,comptroll] ,g5]al %all cr$it funds transf]r$ "u clause 7i7 to ! acc\nt at ! ,unit$ ,/ates ,treasury e/abli%$ = sal>ies & exp5ses ( ! ,gov]nm5t ,acc\ntability ,(fice1 & su* am\nts %all be available ^u receipt & )\t fiscal ye> limitation to cov] ! full co/s ( ! audit & report4 #bjg4 ,specific (fices 7a7 ,e/abli%m5t 7#a7 ,g5]al au?ority ,! ,corporation-- 7,a7 %all e/abli% )9 ! ,corporation any (fice requir$ to be e/abli%$ by ?is ,act2 7,b7 may e/abli% su* o!r (fices or sub(fices z are necess>y & prop] = ! function+ ( ! ,corporation2 & 7,c7 may elim9ate or consolidate any (fice or sub(fice e/abli%$ "u subp>agraph 7,b74 7#b7 ,appo9tm5ts ,except z may o!rwise be specifically provid$1 ! head ( any (fice e/abli%$ pursuant to p>agraph 7#a7 %all be appo9t$ by ! ,bo>d ( ,directors4 7b7 ,und]writ+ ,! ,corporation %all e/abli% an ,(fice ( ,und]writ+ 9 ! ,corporation1 ^: functions %all include ensur+ t eligible s+le-family mortgage loans t collat]alize s+le-family cov]$ securities insur$ "u ?is ,act comply ) ! requirem5ts ( ?is ,act & m9imize risk to ! ,mortgage ,insurance ,fund4 7c7 ,securitization ,! ,corporation %all e/abli% an ,(fice ( ,securitization 9 ! ,corporation1 ^: functions %all include-- 7#a7 ov]see+ & sup]vis+ ! ,securitization ,plat=m e/abli%$ "u "p ,i ( subtitle ,c ( title ,,iii2 & 7#b7 ensur+ t small mortgage l5d]s h equitable access to-- 7,a7 ! ,securitization ,plat=m1 includ+ ?r\gh ! developm5t & facilitation ( options su* z multi-gu>antor pools & multi-l5d] pools ( eligible s+le-family mortgage loans to be securitiz$ & issu$ z s+le-family cov]$ securities ?r\gh su* ,plat=m2 & 7,b7 any small l5d] mutual e/abli%$ or approv$ "u section #cae4 7d7 ,f$]al ,home ,loan ,banks 7#a7 ,9 g5]al ,^u ! sy/em c]tification date1 ! ,corporation %all e/abli% an ,(fice ( ,f$]al ,home ,loan ,bank ,sup]vision 9 ! ,corporation1 ^: functions %all include-- 7,a7 ov]see+1 coord9at+1 & sup]vis+ ! ,f$]al ,home ,loan ,banks & ! ,f$]al ,home ,loan ,bank ,sy/em2 7,b7 sup]vis+ any au?oriz$ subsidi>y ( #a or m ,f$]al ,home ,loan ,banks t is an approv$ aggregator pursuant to section #cab7m71 includ+ ) respect to ! capitalization ( any su* subsidi>y2 7,c7 s]v+ z ! c5tral po9t ( coord9ation )9 ! ,corporation ) respect to any regulations or regulatory actions relat+ to ! role ( a ,f$]al ,home ,loan ,bank1 or subsidi>y or jo9t (fice !re(1 z a cov]$ entity2 & 7,d7 monitor+ :e!r any regulation or regulatory action tak5 ) respect to a ,f$]al ,home ,loan ,bank1 or subsidi>y or jo9t (fice !re(1 approv$ "u section #cab 9 its role z a cov]$ entity does n adv]sely impact ! traditional liquidity & advance mission ( ! ,f$]al ,home ,loan ,banks & ,f$]al ,home ,loan ,bank ,sy/em4 7#b7 ,transf] ( functions ,effective on ! sy/em c]tification date1 !re are transf]r$ to ! ,(fice ( ,f$]al ,home ,loan ,bank ,sup]vision 9 ! ,corporation all functions ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation relat+ to-- 7,a7 ! sup]vision ( ! ,f$]al ,home ,loan ,banks & ! ,f$]al ,home ,loan ,bank ,sy/em2 & 7,b7 all rulemak+ au?ority ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation relat+ to ! ,f$]al ,home ,loan ,banks & ! ,f$]al ,home ,loan ,bank ,sy/em4 #bjh4 ,(fice ( ,consum] & ,m>ket ,access 7a7 ,e/abli%m5t ,! ,corporation %all e/abli% an ,(fice ( ,consum] & ,m>ket ,access 9 ! ,corporation1 ^: functions %all include ! responsibilities set =? "u subsection 7b74 7b7 ,responsibilities 7#a7 ,adm9i/]+ ! ,m>ket ,access ,fund ,! ,(fice ( ,consum] & ,m>ket ,access %all adm9i/] ! ,m>ket ,access ,fund e/abli%$ "u section #ejd4 7#b7 ,monitor+1 coord9at+1 & facilitat+ ! ne$s ( und]s]v$ m>kets 7,a7 ,9 g5]al ,! ,(fice ( ,consum] & ,m>ket ,access %all-- 7i7 monitor1 on a macro level1 ! national1 regional1 & area s+le-family & multifamily h\s+ f9ance m>kets to id5tify und]s]v$ m>kets1 communities1 & consum]s 9 accordance ) ! m>ket segm5ts id5tifi$ & def9$ "u section #baj2 7ii7 coord9ate ) ,f$]al & ,/ate ag5cies reg>d+ exi/+ policies & initiatives t address-- 7,i7 ! h\s+ ne$s ( und]s]v$ m>kets1 communities1 & consum]s2 & 7,,ii7 ! af=dable h\s+ ne$s ( m>kets1 communities1 & consum]s2 & 7iii7 provide in=mation on bus9ess practices & te*nical assi/ance to m>ket p>ticipants reg>d+ communities id5tifi$ z und]s]v$ ) reg>ds to address+ ! h\s+ ne$s ( consum]s 9 t community4 7,b7 ,annual /ate ( cov]$ securities m>ket report 7i7 ,9 g5]al ,! ,(fice ( ,consum] & ,m>ket ,access %all1 on an annual basis1 submit a report to ,congress on ! /ate ( ! cov]$ securities m>ket1 & make su* report available to ! public4 7ii7 ,requir$ cont5t ,! report requir$ "u clause 7i7 %all include-- 7,i7 an assessm5t ( ! ext5t to :i* ! cov]$ securities m>ket is provid+ liquidity to eligible borr[]s 9 all segm5ts ( ! mortgage orig9ation prim>y m>ket1 includ+ und]s]v$ segm5ts id5tifi$ & def9$ by ! ,corporation "u section #baj2 & 7,,ii7 recomm5dations = su* legislative1 regulatory1 or adm9i/rative actions z may be necess>y to address any defici5cies 9 ! availability ( mortgage cr$it 9 any m>ket or region id5tifi$ pursuant to clause 7i7 via exi/+ ,f$]al programs or ! cov]$ securities m>ket4 7iii7 ,reliance on public data ,9 prep>+ ea* report requir$ "u ?is subp>agraph1 ! ,(fice ( ,consum] & ,m>ket ,access-- 7,i7 %all use1 to ! maximum ext5t practicable1 publicly available data & data o!rwise collect$ "u ?is ,act2 & 7,,ii7 %all n include or review any confid5tial in=mation or in=mation collect$ by ! ,corporation z "p ( its sup]visory or exam9ation au?orities t is confid5tial4 7,c7 ,inc5tive /udy ,! ,(fice ( ,consum] & ,m>ket ,access %all1 on a bi5nial basis1 conduct a /udy on inc5tives to enc\rage mortgage l5d]s & mortgage orig9ators to address ! h\s+ ne$s ( und]s]v$ m>kets & communities4 7,d7 ,inclusion 9 annual report ,! ,corporation %all include ! report requir$ 9 subp>agraph 7,b7 & ! /udy requir$ 9 subp>agraph 7,c7 9 ! annual report requir$ "u section #bjf4 7,e7 ,consultation ,! ,(fice ( ,consum] & ,m>ket ,access %all consult ) ! ,f$]al ,home ,loan ,banks & any small l5d] mutual e/abli%$ or approv$ "u section #cae on approa*es1 me?ods1 & practices design$ to address ! h\s+ ne$s ( und]s]v$ m>kets & communities4 #bji4 ,(fice ( ,multifamily ,h\s+ ,! ,corporation %all e/abli% an ,(fice ( ,multifamily ,h\s+ 9 ! ,corporation1 ^: functions %all include-- 7#a7 develop+1 adopt+1 & publi%+ specific eligibility crit]ia to ensure t eligible multifamily mortgage loans t collat]alize multifamily cov]$ securities insur$ "u ?is ,act comply ) ! requirem5ts ( ?is ,act2 & 7#b7 p]=m+ any o!r activity relat+ to ! multifamily h\s+ f9ance sy/em t ! ,corporation may det]m9e appropriate to fulfill ! requirem5ts ( ?is ,act4 #baj4 ,equitable access = l5d]s & borr[]s 7a7 ,equitable access 9 und]s]v$ m>ket segm5ts 7#a7 ,9 g5]al ,subject to subsection 7b71 ! ,corporation %all seek to support ! prim>y mortgage m>ket = eligible mortgage loans on an equitable1 nondiscrim9atory1 & non-exclusion>y basis to help ensure t all eligible borr[]s h access to mortgage cr$it1 includ+ und]s]v$ segm5ts ( ! prim>y mortgage m>ket z id5tifi$ & def9$ by ! ,corporation "u p>agraph 7#b74 7#b7 ,und]s]v$ m>ket segm5ts ,! ,corporation %all1 by regulation1 id5tify & def9e n m ?an #h segm5ts ( ! prim>y mortgage m>ket 9 :i* l5d]s & eligible borr[]s h be5 det]m9$ to lack equitable access to ! h\s+ f9ance sy/em facilitat$ by ! ,corporation4 ,! regulation requir$ "u ?is p>agraph %all set =? ! crit]ia by :i* ! ,corporation id5tifi$ su* und]s]v$ m>ket segm5ts4 ,! id5tifi$ und]s]v$ m>ket segm5ts requir$ to be id5tifi$ & def9$ "u ?is p>agraph may include ! foll[+3 7,a7 ,hi/orically und]s]v$ communities1 includ+ rural & urban areas4 7,b7 ,manufactur$ h\s+4 7,c7 ,small balance loans4 7,d7 ,l[- & mod]ate-income cr$itwor?y borr[]s4 7,e7 ,pres]vation ( exi/+ h\s+ /ock creat$ by ,/ate or ,f$]al laws4 7,f7 ,af=dable r5tal h\s+4 7#c7 ,reports on s]v+ und]s]v$ m>ket segm5ts 7,a7 ,annual reports ,! ,corporation %all require t ea* approv$ gu>antor & approv$ aggregator engag$ 9 a cov]$ gu>antee transaction or 9 a cov]$ m>ket-bas$ risk-%>+ transaction submit on annual basis a public report describ+ ! actions tak5 by su* approv$ gu>antor or approv$ aggregator dur+ ! ye>1 consi/5t ) its bus9ess judgm5t1 to provide cr$it to ! und]s]v$ m>ket segm5ts id5tifi$ & def9$ by ! ,corporation pursuant to ?is subsection1 includ+ corporate practices design$ to s]ve su* id5tifi$ m>ket segm5ts4 ,! annual report requir$ "u ?is subp>agraph %all be approv$ by ! bo>d ( directors & sign$ by ! *ief executive (fic] ( ! approv$ gu>antor or approv$ aggregator submitt+ ! report4 7,b7 ,report template ,! ,corporation may e/abli% an optional template = ! annual report requir$ "u subp>agraph 7,a74 7,c7 ,report n subject to prior review or approval ,an annual report requir$ "u subp>agraph 7,a7 %all n be subject to prior review or approval by ! ,corporation4 7,d7 ,coord9ation ) o!r ,f$]al & ,/ate ag5cies ,! ,corporation %all1 9 e/abli%+ ! requirem5ts = ! annual report requir$ "u subp>agraph 7,a71 coord9ate ) o!r ,f$]al & ,/ate ag5cies1 z necess>y1 to r$uce duplicative report+ requirem5ts4 7b7 ,limitations 7#a7 ,limitation on use ( au?orities & in=mation ,9 c>ry+ out ?is title1 ! ,corporation %all n int]f]e ) ! ex]cise ( bus9ess judgm5t ( an approv$ aggregator or approv$ gu>antor 9 det]m9+ :i* specific mortgage loans to include 9 a cov]$ gu>antee transaction or a cov]$ m>ket-bas$ risk-%>+ transaction1 includ+ ?r\gh ! ,corporation's use (-- 7,a7 ! approval process = a gu>antor or an aggregator e/abli%$ "u subtitle ,b ( title ,,iii2 7,b7 its g5]al sup]visory & exam9ation au?orities "u subtitle ,b ( title ,,iii2 or 7,c7 in=mation collect$ "u ?is section1 section #eja1 or section #bjh4 7#b7 ,rule ( con/ruction ,no?+ 9 ?is subsection %all prev5t ! imposition ( ! v>iable inc5tive-bas$ fees au?oriz$ 9 section #eja nor %all x exempt cov]$ entities f compliance ) ! ,fair ,h\s+ ,act 7#db ,u4,s4,c4 #cfja et seq47 & ! ,equal ,cr$it ,opportunity ,act 7#ae ,u4,s4,c4 #afia et seq47 z requir$ 9 section #djh7;d74 7#c7 ,consi/5cy ) safety & s\ndness ,! ,corporation %all take appropriate measures design$ to ensure t ! requirem5ts "u ?is section are implem5t$ 9 a mann] consi/5t ) safety & s\ndness pr9ciples4 #baa4 ,(fice ( ,taxpay] ,protection 7a7 ,e/abli%m5t ,! ,corporation %all e/abli% an ,(fice ( ,taxpay] ,protection ^: functions %all include ! responsibilities set =? "u subsection 7b74 7b7 ,responsibilities 7#a7 ,/udy on m>ket conc5tration & ! impact ( ! ,,fmic gu>antee ,! ,(fice ( ,taxpay] ,protection %all1 on a semi-annual basis1 conduct a /udy & submit to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives a report on-- 7,a7 m>ket conc5tration 9 ! second>y mortgage m>kets1 includ+ ! exposure ( ! ,mortgage ,insurance ,fund to ! top #aj l>ge/ approv$ aggregators & approv$ gu>antors1 z measur$ by ! total out/&+ pr9cipal balance at orig9ation ( eligible s+le-family mortgage loans collat]aliz+ s+le-family cov]$ securities = :i* su* aggregator or gu>antor has obta9$ insurance provid$ "u ?is ,act 9 ! previ\s #f mon?s2 7,b7 ! g5]al /ate ( und]writ+ /&>ds 9 ! orig9ation ( eligible s+le-family mortgage loans & ! effect ( insurance provid$ "u ?is ,act on su* und]writ+ /&>ds2 7,c7 :e!r ! insurance provid$ "u ?is ,act produces a subsidy to any approv$ entity or approv$ entities2 7,d7 a comp>ison ( ! treatm5t 9 ! second>y mortgage m>kets ( mortgage-back$ securities gu>ante$ by ! ,gov]nm5t ,national ,mortgage ,association & s+le-family cov]$ securities insur$ "u ?is ,act1 :i* %all include-- 7i7 a discussion ( ! *>act]i/ics (-- 7,i7 mortgage loans collat]aliz+ mortgage-back$ securities gu>ante$ by ! ,gov]nm5t ,national ,mortgage ,association2 & 7,,ii7 eligible s+le-family mortgage loans collat]aliz+ s+le-family cov]$ securities insur$ "u ?is ,act2 & 7ii7 an analysis ( any actions tak5 9 ! second>y mortgage m>kets to manipulate ! gu>antee provid$ by ! ,gov]nm5t ,national ,mortgage ,association & ! insurance provid$ "u ?is ,act to ! advantage ( ! second>y mortgage m>kets2 & 7,e7 :at /eps ! ,corporation has tak5 to m9imize any pot5tial long-t]m co/s to ! taxpay]s & ! ,mortgage ,insurance ,fund relat+ to risks id5tifi$ 9 subp>agraphs 7,a7 ?r\gh 7,d74 7#b7 ,annual report on taxpay] protection & ! exposure ( ! ,mortgage ,insurance ,fund 7,a7 ,9 g5]al ,! ,(fice ( ,taxpay] ,protection %all1 on an annual basis1 submit a report to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives conta9+ ! in=mation requir$ "u subp>agraph 7,b74 7,b7 ,requir$ cont5t ,! report requir$ "u subp>agraph 7,a7 %all-- 7i7 include an analysis ( ! adequacy (-- 7,i7 ! fir/ loss position requir$ "u ?is ,act1 includ+ ! suffici5cy ( any p]missible risk-%>+ or risk mitigation p]mitt$ z a sub/itute = equity capital int5d$ to cov] ! initial cr$it losses on a cov]$ security prior to use ( any am\nts 9 ! ,mortgage ,insurance ,fund1 ! ability ( ! fir/ loss position to absorb cr$it loss on cov]$ securities1 & to protect taxpay]s2 & 7,,ii7 ! p]=mance ( eligible s+le-family mortgage loans collat]aliz+ s+le-family cov]$ securities insur$ "u ?is ,act bas$ ^u curr5t und]writ+ /&>ds & h[ t p]=mance diff]s f ! p]=mance ( noneligible mortgage loans bas$ ^u ! und]writ+ /&>ds = su* noneligible mortgage loans1 includ+ ) respect to-- 7aa7 debt to income ratio2 7bb7 loan to value ratios2 7cc7 cr$it hi/ory2 7dd7 loan docum5tation2 7ee7 occupancy /atus2 7ff7 cr$it enhancem5ts2 7gg7 h\s+ c\nsel+ by a ,,hud-approv$ h\s+ c\nsel+ ag5cy2 7hh7 loan paym5ts2 7ii7 ! purpose ( ! loan1 su* z to ref9ance or pur*ase a home2 7jj7 ! type ( loan product1 su* z a #cj-ye> fix$ int]e/ rate mortgage loan1 a #ae-ye> fix$ int]e/ rate mortgage loan1 or an adju/able int]e/ rate mortgage loan2 7kk7 ! mortgage loan orig9ation *annel2 & 7ll7 su* o!r und]writ+ crit]ia t w\ld be useful to ! ,director ( ,taxpay] ,protection2 & 7ii7 provide recomm5dations = su* legislative1 regulatory1 or adm9i/rative actions to-- 7,i7 address any ne$ to fur!r limit ov]exposure ( ! ,mortgage ,insurance ,fund to any #a approv$ entity or bus9ess practice2 7,,ii7 fo/] & enc\rage a robu/ private second>y mortgage m>ket = noneligible mortgage loans & mortgage-back$ securities t are n gu>ante$ by ! ,gov]nm5t ,national ,mortgage ,association2 & 7,,iii7 assi/ ! ,corporation 9 protect+ taxpay]s1 includ+ a recomm5dation z to :e!r a c\nt]-cyclical increase ( ! res]ve ratio ( ! ,mortgage ,insurance ,fund or ( ! capital /&>ds requir$ ( individual approv$ gu>antors is necess>y to protect taxpay]s4 7#c7 ,annual report on sy/em-wide lev]age ,! ,(fice ( ,taxpay] ,protection %all1 on an annual basis1 submit to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives a report on sy/em-wide lev]age 9 ! second>y mortgage m>ket4 7#d7 ,annual report on e>ly paym5t defaults ,! ,(fice ( ,taxpay] ,protection %all1 on an annual basis1 submit to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives a report on e>ly paym5t defaults on eligible s+le-family mortgage loans = ! prec$+ ye>1 :i* %all include any eligible s+le-family mortgage loan t becomes del9qu5t or t is 9 default )9 #bd mon?s ( ! orig9ation ( ! loan4 7#e7 ,inclusion 9 annual report ,! ,corporation %all include ! reports requir$ "u p>agraphs 7#b7 & 7#c7 9 ! annual report requir$ "u section #bjf4 7#f7 ,reliance on public data ,9 prep>+ ea* report requir$ "u ?is section1 ! ,(fice ( ,taxpay] ,protection-- 7,a7 %all use1 to ! maximum ext5t practicable1 publicly available data & data o!rwise collect$ "u ?is ,act2 & 7,b7 %all n include or review any confid5tial in=mation or in=mation collect$ by ! ,corporation z "p ( its sup]visory or exam9ation au?orities t is confid5tial4 ,,iii ,duties & responsibilities ( ! ,,fmic ,a ,duties & au?orities #cja4 ,duties & responsibilities 7a7 ,duties ,! pr9cipal duties ( ! ,corporation %all be to-- 7#a7 c>ry out ?is ,act 9 a mann] t fulfills ! purposes ( ! ,corporation z describ$ 9 section #bja7;b72 7#b7 m9imize any pot5tial long-t]m co/ to ! taxpay]1 includ+ ?r\gh ! use ( ! ,mortgage ,insurance ,fund1 ! assessm5t ( insurance fees1 & ! approval ( approv$ entities & cr$it risk-%>+ me*anisms2 7#c7 facilitate fair access to ! second>y mortgage m>ket = small mortgage l5d]s orig9at+ eligible s+le-family & multifamily mortgage loans1 includ+ ?r\gh ! e/abli%m5t1 approval1 & ov]sight ( small l5d] mutuals2 7#d7 ensure integrity & discipl9e 9 ! mortgage m>ket1 p>ticul>ly by monitor+ ! safety & s\ndness ( regulat$ entities & approv$ entities2 7#e7 ensure t approv$ entities ma9ta9 ! capacity to fur!r ! requirem5ts ( ! ,corporation pursuant to section #bja7;b77#e7 & t approv$ gu>antors1 approv$ multifamily gu>antors1 & approv$ aggregators are 9 compliance ) section #baj7;a77#c72 7#f7 promote ! /&>dization ( ! second>y mortgage m>ket ?r\gh ! use ( uni=m securitization agreem5ts1 s]vic+ agreem5ts1 & ! ,securitization ,plat=m2 7#g7 increase transp>5cy 9 s+le-family & multifamily mortgage m>kets1 includ+ ?r\gh ! ,national ,mortgage ,database2 & 7#h7 ensure cont9u$1 widespread availability ( an af=dable1 long-t]m1 fix$ rate1 prepayable mortgage1 su* z a #cj-ye> fix$ rate mortgage4 7b7 ,scope ( au?ority ,! au?ority ( ! ,corporation %all include ! au?ority to ex]cise su* incid5tal p[]s z may be necess>y or appropriate to fulfill ! duties & responsibilities ( ! ,corporation set =? 9 ?is ,act4 7c7 ,delegation ( au?ority ,! ,bo>d ( ,directors may delegate to any duly au?oriz$ employee or repres5tative any p[] ve/$ 9 ! ,corporation by law4 #cjb4 ,/&>ds = cr$it risk-%>+ me*anisms 7a7 ,approval 7#a7 ,au?ority ,! ,corporation %all develop1 adopt1 & publi%1 aft] notice & comm5t1 /&>ds = ! consid]ation &1 z appropriate1 ! approval ( cr$it risk-%>+ me*anisms t %all require t ! fir/ loss position ( private m>ket hold]s on s+le-family cov]$ securities is-- 7,a7 adequate to cov] losses t might be incurr$ 9 a p]iod ( economic /ress1 includ+ national & regional home price decl9es1 su* z ^? obs]v$ dur+ mod]ate to sev]e recessions 9 ! ,unit$ ,/ates2 & 7,b7 n less ?an #aj p]c5t ( ! pr9cipal or face value ( ! s+le-family cov]$ security at ! "t ( issuance4 7#b7 ,fraud prohibition 7,a7 ,prohibition ,x %all be unlawful = any p]son to int5tionally create & issue any in/rum5t or security z a fir/ loss position on a s+le-family cov]$ security t su* p]son kn[s or 9 ! ex]cise ( reasonable c>e %\ld h kn[n does n satisfy ! requirem5ts ( ?is section4 7,b7 ,p5alty ,violations ( subp>agraph 7,a7 %all be puni%able 9 accordance ) section #acdc ( title #ah1 ,unit$ ,/ates ,code4 7b7 ,approval ( cr$it risk-%>+ me*anisms 7#a7 ,consid]ations = approval ( v>i\s me*anisms ,9 approv+ cr$it risk-%>+ me*anisms "u subsection 7a71 ! ,corporation %all-- 7,a7 consid] proposals t include cr$it-l9k$ /ructures or o!r in/rum5ts t are design$ to absorb cr$it losses on s+le-family cov]$ securities2 7,b7 consid] any cr$it risk-%>+ me*anisms und]tak5 by ! ent]prises2 7,c7 ensure t ! fir/ loss position is fully fund$ to meet ! requirem5ts ( subsection 7a77#a77;,b72 7,d7 ensure t ea* type ( propos$ me*anism-- 7i7 enables ! ,corporation to v]ify t ! fir/ loss position is fully fund$2 7ii7 m9imizes any pot5tial long-t]m co/ to ! taxpay]2 7iii7 accommodates ! availability ( mortgage cr$it on equal & transp>5t t]ms 9 ! second>y mortgage m>ket =-- 7,i7 small mortgage l5d]s2 & 7,,ii7 l5d]s f all geographic locations1 includ+ rural locations2 7iv7 all[s = broad availability ( mortgage cr$it & second>y mortgage m>ket f9anc+ ?r\gh fluctuations 9 ! bus9ess cycle = eligible s+le-family l5d+ across all-- 7,i7 regions2 7,,ii7 localities2 7,,iii7 in/itutions2 7,,iv7 prop]ty types1 includ+ h\s+ s]v+ r5t]s2 & 7,v7 eligible borr[]s2 7v7 fulfills ! requirem5ts "u section #cad ) respect to loan modifications & =eclosure prev5tion2 7vi7 does n prev5t ! securitization ( ref9anc$ or modifi$ eligible s+le-family mortgage loans )9 s+le-family cov]$ securities dur+ a p]iod :5 ! au?ority "u section #cje7;i7 is ex]cis$2 7vii7 does n dim9i% m>ket liquidity & resili5cy2 7viii7 does n prev5t ! ref9anc+ ( und]wat] eligible s+le-family mortgage loans2 & 7ix7 does n pres5t an unnecess>y risk to ! ,mortgage ,insurance ,fund2 7,e7 consid] :e!r ! approval ( any cr$it risk-%>+ me*anism w impair ! op]ation & liquidity ( =w>d m>ket executions = eligible s+le-family mortgage loans & s+le-family cov]$ securities1 su* z ! ,to-,be-,ann\nc$ m>ket1 tak+ into consid]ation o!r risk-%>+ options available to m>ket p>ticipants2 & 7,f7 take necess>y /eps to prev5t abuse & deceptive practices 9 ! use ( ! cr$it risk-%>+ me*anisms1 includ+ by-- 7i7 creat+ appropriate /&>ds relat+ to-- 7,i7 ! v9tages or categories ( cov]$ securities t are ref]5c$ by a cr$it risk-%>+ me*anism2 7,,ii7 /&>dization ( ! t]ms & features ( cr$it risk-%>+ /ructures2 & 7,,iii7 measures t prev5t ! duplicative sale by a gu>antor ( ! same mortgage cr$it risk 9 ! same pool ( eligible s+le-family mortgage loans2 & 7ii7 requir+ additional disclosures & affirmative repres5tations t mu/ be made by entities t create & issue cr$it risk-%>+ me*anisms4 7#b7 ,notice & publication ,! ,corporation %all-- 7,a7 provide prompt notice to any p]son seek+ approval = a cr$it risk-%>+ me*anism ( ! approval or d5ial ( t cr$it risk-%>+ me*anism2 & 7,b7 make available detail$ in=mation reg>d+ approv$ me*anisms on ! website ( ! ,corporation4 7#c7 ,review ( approv$ cr$it risk-%>+ me*anisms 7,a7 ,au?ority to susp5d ,! ,corporation may1 f "t to "t & 9 its discretion-- 7i7 conduct reviews ( approv$ cr$it risk-%>+ me*anisms to det]m9e :e!r su* cr$it risk-%>+ me*anisms cont9ue to satisfy ! consid]ations = approval "u p>agraph 7#a72 7ii7 assess ! function+ ( ! =w>d m>ket = eligible s+le-family mortgage loans & s+le-family cov]$ securities1 includ+ ! ,to-,be-,ann\nc$ m>ket1 to det]m9e :e!r any approv$ cr$it risk-%>+ me*anism has adv]sely affect$ ! liquidity or resili5cy ( su* m>ket2 & 7iii7 susp5d ! approval (-- 7,i7 any cr$it risk-%>+ me*anism t x det]m9es does n satisfy ! consid]ations = approval "u p>agraph 7#a72 or 7,,ii7 any cr$it risk-%>+ me*anism t x det]m9es has adv]sely affect$ ! liquidity or resili5cy ( ! =w>d m>ket = eligible s+le-family mortgage loans & s+le-family cov]$ securities1 includ+ ! ,to-,be-,ann\nc$ m>ket4 7,b7 ,reconsid]ation 7i7 ,developm5t ( exp$it$ process ,! ,corporation %all develop an exp$it$ process = ! re9/atem5t ( ! approval ( any cr$it risk-%>+ me*anism t is susp5d$ "u subp>agraph 7,a77iii74 7ii7 ,revision ( me*anism ,if a cr$it risk-%>+ me*anism is susp5d$ "u subp>agraph 7,a77iii71 ! cr$it risk-%>+ me*anism may be adapt$ or revis$1 z necess>y1 = reconsid]ation = re9/atem5t ( ! approval ( ! cr$it risk-%>+ me*anism "u ! exp$it$ process develop$ "u clause 7i74 7,c7 ,no effect on exi/+ me*anisms ,! susp5sion ( ! approval ( any cr$it risk-%>+ me*anism "u subp>agraph 7,a77iii7 %all h no effect on ! /atus ( s+le-family cov]$ securities & relat$ in/rum5ts us+ ! cr$it risk-%>+ me*anism t 7 issu$ prior to ! susp5sion4 7#d7 ,additional cr$it risk-%>+ me*anisms 7,a7 ,approval ,9 addition to cr$it risk-%>+ me*anisms approv$ by ! ,corporation "u subsection 7a71 ! ,corporation %all consid] & may approve additional fully-fund$ cr$it risk-%>+ me*anisms t-- 7i7 may be employ$ by an approv$ gu>antor to manage ! cr$it risk relat+ to gu>antees provid$ = s+le-family cov]$ securities2 & 7ii7 d n repres5t ! fir/ loss position ) respect to s+le-family cov]$ securities4 7,b7 ,rule ( con/ruction ,no?+ 9 ?is p>agraph %all be con/ru$ to limit an approv$ gu>antor f engag+ 9 o!r =ms ( risk-%>+ or risk mitigation us+ me*anisms t h n be5 consid]$ or approv$ by ! ,corporation4 7#e7 ,reports 7,a7 ,9 g5]al ,n lat] ?an #a ye> aft] ! ag5cy transf] date1 & annually !reaft] until ! sy/em c]tification date1 ! ,corporation %all submit a report to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives t-- 7i7 discusses ea* cr$it risk-%>+ me*anism t ! ,*airp]son consid]$ 9 c>ry+ out ! requirem5ts ( ?is section2 7ii7 describes h[ ! op]ation & execution ( ea* approv$ cr$it risk-%>+ me*anism fulfills ! requirem5ts ( ?is section2 & 7iii7 expla9s h[ ! ,corporation arriv$ at ! det]m9ations made "u clause 7ii71 includ+ a discussion ( ! data consid]$4 7,b7 ,subsequ5t reports ,on ! sy/em c]tification date & annually !reaft]1 ! ,corporation %all publi% 9 ! ,f$]al ,regi/] a li/ ( ! cr$it risk-%>+ me*anisms t ! ,corporation approv$ or susp5d$1 address+ ! id5tical conc]ns set =? "u clauses 7i7 ?r\gh 7iii7 ( subp>agraph 7,a7 &1 ) respect to any susp5sion1 ! consid]ations "u p>agraph 7#a7 t are no long] satisfi$4 7,c7 ,multifamily reports ,! ,corporation %all include 9 ! reports prep>$ "u subp>agraphs 7,a7 & 7,b7 a description ( ! cr$it risk-%>+ me*anisms approv$ by ! ,corporation = multifamily gu>antors pursuant to section #gjc4 7c7 ,collat]al div]sification /&>ds ,! ,corporation %all e/abli% /&>ds1 aft] notice & comm5t1 = ! appropriate m9imum level ( div]sification = eligible s+le-family mortgage loans t collat]alize s+le-family cov]$ securities t are issu$ subject to an approv$ cr$it risk-%>+ me*anism 9 ord] to r$uce ! cr$it risk su* s+le-family cov]$ securities c\ld pose to ! ,mortgage ,insurance ,fund4 7d7 ,rule ( con/ruction ,no?+ 9 ?is section %all be con/ru$ to require ! ,corporation to approve any cr$it risk-%>+ me*anism4 7e7 ,applicability ( ! ,commodity ,ex*ange ,act & ,securities ,act ( #aicc 7#a7 ,exemption f ! ,commodity ,ex*ange ,act2 prior consultation requir$ 7,a7 ,exemption ,no c\nt]p>ty t ent]s into a swap1 z t t]m is def9$ 9 section #a;a ( ! ,commodity ,ex*ange ,act 7#g ,u4,s4,c4 #a;a71 = purposes ( /ructur+ any cr$it risk-%>+ me*anism t is approv$ by ! ,corporation pursuant to ?is section1 :i* cr$it risk-%>+ me*anism is design$ to be us$ or is us$ by a private m>ket hold] to assume losses & to r$uce ! specific risks aris+ f losses realiz$ "u su* cr$it risk-%>+ me*anism associat$ ) any s+le-family cov]$ security insur$ 9 accordance ) section #cjc or section #cje1 %all be deem$1 by reason ( su* swap transaction1 to be a commodity pool1 z t t]m is def9$ 9 section #a;a ( ! ,commodity ,ex*ange ,act 7#g ,u4,s4,c4 #a;a74 7,b7 ,prior consultation requir$ ,be=e approv+ any cr$it risk-%>+ me*anism t w\ld be exempt f ! ,commodity ,ex*ange ,act pursuant to subp>agraph 7,a71 ! ,corporation %all consult ) ! ,commodity ,futures ,trad+ ,commission4 7#b7 ,exemption f section #bg;,b ( ! ,securities ,act ( #aicc2 prior consultation requir$ 7,a7 ,exemption ,any cr$it risk-%>+ me*anism t is approv$ by ! ,corporation pursuant to ?is section1 :i* cr$it risk-%>+ me*anism is design$ to be us$ or is us$ by a private m>ket hold] to assume losses & to r$uce ! specific risks aris+ f losses realiz$ "u su* cr$it risk-%>+ me*anism associat$ ) any s+le-family cov]$ security insur$ 9 accordance ) section #cjc or section #cje1 %all be exempt f section #bg;,b ( ! ,securities ,act ( #aicc 7#ae ,u4,s4,c4 #ggz-#b;a74 7,b7 ,prior consultation requir$ ,be=e approv+ any cr$it risk-%>+ me*anism t w\ld be exempt f section #bg;,b ( ! ,securities ,act ( #aicc pursuant to subp>agraph 7,a71 ! ,corporation %all consult ) ! ,securities & ,ex*ange ,commission4 #cjc4 ,insurance2 ,mortgage ,insurance ,fund 7a7 ,au?ority ,! ,corporation %all1 9 ex*ange = a fee 9 accordance ) subsection 7e77#h71 insure ! paym5t ( pr9cipal & int]e/ on a cov]$ security ) respect to any failure to pay on su* cov]$ security subject to ! requirem5ts ( ?is section4 7b7 ,t]ms & conditions 7#a7 ,9 g5]al ,! ,corporation %all1 by regulation1 e/abli% t]ms & conditions = ! provision ( insurance "u ?is ,act4 7#b7 ,s+le-family ,! t]ms & conditions requir$ to be e/abli%$ "u p>agraph 7#a7 %all1 = s+le-family cov]$ securities1 include t]ms & conditions t ensure-- 7,a7 eligible s+le-family mortgage loans collat]aliz+ s+le-family cov]$ securities h be5 deliv]$ to ! ,plat=m2 & 7,b7 ) respect to ea* s+le-family cov]$ security1 ei!r-- 7i7 private m>ket hold]s h tak5 a fir/ loss position t satisfies ! requirem5ts ( section #cjb2 or 7ii7 an approv$ gu>antor has provid$ a gu>antee 9 satisfaction ( ! requirem5ts ( section #caa4 7#c7 ,multifamily ,! t]ms & conditions requir$ to be e/abli%$ "u p>agraph 7#a7 %all1 = multifamily cov]$ securities1 include t]ms & conditions t ensure1 ) respect to ea* multifamily cov]$ security1 t an approv$ multifamily gu>antor has provid$ a gu>antee 9 satisfaction ( ! requirem5ts ( section #gjc4 7c7 ,ca% paym5ts2 cont9u$ op]ations ,! ,corporation %all facilitate ! timely & unconditional paym5t ( pr9cipal & int]e/ on cov]$ securities insur$ "u ?is ,act by pay+1 9 ca% :5 due1 any %ortfalls 9 pr9cipal & int]e/ due on ! cov]$ security1 & cont9u+ to *>ge & collect any fees = ! provision ( insurance 79 accordance ) subsection 7e77#h77 relat+ to ! cov]$ security 9 ! ev5t ( any losses t may be incurr$ 7#a7 9 excess ( a paym5t default on ! cov]$ security t exce$s ! fir/ loss position assum$ by a private m>ket hold]1 7#b7 9 ! case ( a cov]$ security t is gu>ante$ by an approv$ gu>antor or approv$ multifamily gu>antor z a result ( ! insolv5cy ( ! gu>antor1 or 7#c7 ^u ! failure ( ! s]vic] or gu>antor to transf] to ! bond adm9i/rator = ! cov]$ security funds 9 am\nts necess>y to make timely paym5t ( pr9cipal & int]e/ due on ! cov]$ security4 7d7 ,co/ recov]y ,9 ! ev5t ! ,corporation makes a paym5t on a cov]$ security bas$ on subsection 7c77#c71 ! ,corporation %all recov] su* am\nt paid1 & reasonable co/s & exp5ses1 f ! s]vic] or gu>antor4 7e7 ,mortgage ,insurance ,fund 7#a7 ,e/abli%m5t ,on ! ag5cy transf] date1 !re %all be e/abli%$ ! ,mortgage ,insurance ,fund1 :i* ! ,corporation %all-- 7,a7 ma9ta9 & adm9i/]2 7,b7 use to c>ry out ! insurance functions au?oriz$ "u ?is ,act1 includ+ any function or action au?oriz$ "u section #cje2 & 7,c7 inve/ 9 accordance ) ! requirem5ts ( p>agraph 7#aj74 7#b7 ,deposits ,! ,mortgage ,insurance ,fund %all be cr$it$ ) any-- 7,a7 fee am\nts requir$ to be deposit$ 9 ! ,fund "u ?is section2 7,b7 am\nts e>n$ on inve/m5ts pursuant to p>agraph 7#aj72 7,c7 assessm5t am\nts au?oriz$ to be deposit$ into ! ,fund "u section #dje7;b72 & 7,d7 assessm5t am\nts requir$ to be deposit$ into ! ,fund "u section #fjh7;c74 7#c7 ,fees = s+le-family & multifamily cov]$ securities ,9 det]m9+ ! am\nt ( any fee to be *>g$ by ! ,corporation "u ?is section1 ! ,corporation %all *>ge a sep>ate fee = s+le-family cov]$ securities & multifamily cov]$ securities1 z appropriate = ea* asset class4 7#d7 ,sep>ate acc\nt+ requir$ ,! ,corporation %all keep & ma9ta9 sep>ate acc\nt+ = deposits 9 ! ,mortgage ,insurance ,fund relat$ to fee am\nts *>g$ & collect$ = ! insurance ( s+le-family cov]$ securities & multifamily cov]$ securities4 7#e7 ,fiduci>y responsibility ,! ,corporation has ! responsibility to ensure t ! ,mortgage ,insurance ,fund rema9s f9ancially s\nd4 7#f7 ,use & treatm5t ( am\nts 9 ! ,fund 7,a7 ,9 g5]al ,! ,mortgage ,insurance ,fund %all be solely available to ! ,corporation = use by ! ,corporation to c>ry out ! functions au?oriz$ by ?is ,act1 = ! exp5ses ( ! ,corporation1 & =-- 7i7 comp5sation ( ! employees ( ! ,corporation2 7ii7 purposes (-- 7,i7 fund+ ! ,,csp2 & 7,,ii7 e/abli%+ ! ,securitization ,plat=m "u section #cba1 multifamily subsidi>ies "u section #gja1 ! initial ,small ,l5d] ,mutual "u section #cae1 & any o!r entity au?oriz$ by ?is ,act t facilitates an ord]ly transition to ! new h\s+ f9ance sy/em2 & 7iii7 cov]+ all o!r exp5ses ( ! ,corporation4 7,b7 ,prohibition ,! ,mortgage ,insurance ,fund may n be us$ or o!rwise div]t$ to cov] any o!r exp5se ( ! ,f$]al ,gov]nm5t4 7,c7 ,exemption f apportionm5t ,not)/&+ any o!r provision ( law1 am\nts 9 ! ,mortgage ,insurance ,fund %all n be subject to apportionm5t = ! purposes ( *apt] #ae ( title #ca1 ,unit$ ,/ates ,code1 or "u any o!r au?ority4 7,d7 ,n ,gov]nm5t funds ,am\nts 9 ! ,mortgage ,insurance ,fund %all n be con/ru$ to be ,gov]nm5t or public funds or appropriat$ money4 7#g7 ,res]ve ratio goals = ,mortgage ,insurance ,fund ,! ,corporation %all-- 7,a7 endeavor to ensure t ! ,mortgage ,insurance ,fund atta9s a res]ve ratio-- 7i7 ( #a4be p]c5t ( ! sum ( ! out/&+ pr9cipal balance ( ! cov]$ securities = :i* insurance is be+ provid$ "u ?is title )9 #e ye>s ( ! sy/em c]tification date2 & 7ii7 ( #b4ej p]c5t ( ! sum ( ! out/&+ pr9cipal balance ( ! cov]$ securities = :i* insurance is be+ provid$ "u ?is title )9 #aj ye>s ( ! sy/em c]tification date2 & 7,b7 aft] ! expiration ( ! p]iod ref]r$ to 9 subp>agraph 7,a77ii71 endeavor to ensure t ! ,mortgage ,insurance ,fund ma9ta9s a res]ve ratio ( n less ?an #b4ej p]c5t ( ! sum ( ! out/&+ pr9cipal balance ( ! cov]$ securities = :i* insurance is be+ provid$ "u ?is title4 7#h7 ,ma9t5ance ( res]ve ratio2 e/abli%m5t ( fees 7,a7 ,e/abli%m5t ( fees ,! ,corporation %all *>ge & collect a fee1 & may 9 its discretion increase or decrease su* fee1 9 connection ) any insurance provid$ "u ?is title to-- 7i7 a*ieve & ma9ta9 ! res]ve ratio goals e/abli%$ "u p>agraph 7#g72 & 7ii7 fund ! op]ations ( ! ,corporation4 7,b7 ,fee consid]ations ,9 e/abli%+ fees "u subp>agraph 7,a71 ! ,corporation %all consid]-- 7i7 ! expect$ op]at+ exp5ses ( ! ,mortgage ,insurance ,fund2 7ii7 ! risk ( loss to ! ,mortgage ,insurance ,fund 9 c>ry+ out ! requirem5ts "u ?is ,act2 7iii7 ! risk pres5t$ by1 & ! loss absorption capacity (1 ! cr$it risk-%>+ me*anism or gu>antee t is provid$ on ! pool ( eligible mortgage loans collat]aliz+ ! cov]$ security to be insur$ "u ?is title2 7iv7 economic conditions g5]ally affect+ ! mortgage m>kets2 7v7 ! ext5t to :i* ! res]ve ratio ( ! ,mortgage ,insurance ,fund met-- 7,i7 ! res]ve ratio set = ! prec$+ #ab-mon? p]iod2 or 7,,ii7 ! res]ve ratio goals e/abli%$ 9 p>agraph 7#g72 & 7vi7 any o!r factors t ! ,corporation det]m9es appropriate4 7,c7 ,fee uni=mity ,! fee requir$ "u subp>agraph 7,a7-- 7i7 except z provid$ 9 subp>agraph 7,d71 %all be set at a uni=m am\nt applicable to all in/itutions pur*as+ insurance "u ?is title2 7ii7 may n v>y-- 7,i7 by geographic location2 or 7,,ii7 by ! size ( ! in/itution to :i* ! fee is *>g$2 & 7iii7 may n be bas$ on ! volume ( insurance to be pur*as$4 7,d7 ,sep>ate & di/9ct fees bas$ on cr$it risk-%>+ me*anisms ,no?+ 9 subp>agraph 7,c7 %all prohibit or be con/ru$ to prohibit ! ,corporation f *>g+ sep>ate & di/9ct fees "u ?is p>agraph bas$ on ! type or =m ( cr$it risk-%>+ me*anism applicable to ! cov]$ security to be insur$ "u ?is title4 7,e7 ,deposit into ,mortgage ,insurance ,fund ,any fee am\nts collect$ "u ?is p>agraph %all be deposit$ 9 ! ,mortgage ,insurance ,fund4 7#i7 ,full fai? & cr$it ,! full fai? & cr$it ( ! ,unit$ ,/ates is pl$g$ to ! paym5t ( all am\nts f ! ,mortgage ,insurance ,fund :i* may be requir$ to be paid "u any insurance provid$ "u ?is title4 7#aj7 ,inve/m5ts 7,a7 ,9 g5]al ,! ,bo>d ( ,directors may reque/ ! ,secret>y ( ! ,treasury to inve/ su* portion ( am\nts 9 ! ,mortgage ,insurance ,fund t1 9 ! judgm5t ( ! ,bo>d1 is n requir$ to meet ! curr5t ne$s ( ! ,corporation4 7,b7 ,eligible inve/m5ts ,pursuant to a reque/ "u subp>agraph 7,a71 ! ,secret>y ( ! ,treasury %all inve/ su* portions 9 obligations ( ! ,unit$ ,/ates ) maturities suitable to ! ne$s ( ! ,corporation1 z det]m9$ by ! ,bo>d1 & be>+ int]e/ at a rate det]m9$ by ! ,secret>y ( ! ,treasury1 tak+ into consid]ation1 at ! "t ( ! inve/m5t1 m>ket yields on out/&+ m>ketable obligations ( ! ,unit$ ,/ates ( comp>able maturity4 7,c7 ,prohibit$ inve/m5ts ,am\nts 9 ! ,mortgage ,insurance ,fund may n be inve/$ 9 any-- 7i7 cov]$ security insur$ "u ?is title2 or 7ii7 mortgage-back$ security issu$ by ! ent]prises4 7f7 ,m&atory loss review by ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation 7#a7 ,9 g5]al ,if ! ,mortgage ,insurance ,fund is requir$ to make any paym5t ( pr9cipal or int]e/1 or bo?1 on a cov]$ security ) respect to losses incurr$ on su* cov]$ security to any hold] ( su* cov]$ security1 ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation %all-- 7,a7 review & make a writt5 report to ! ,corporation reg>d+ ! decision ( ! ,corporation to insure su* cov]$ security & ! sup]vision by ! ,corporation ( all m>ket p>ticipants involv$ 9 ! creation1 issuance1 s]vic+1 gu>antee (1 or insurance ( su* cov]$ security1 :i* %all-- 7i7 asc]ta9 :y ! cov]$ security result$ 9 a loss to ! ,mortgage ,insurance ,fund2 & 7ii7 make recomm5dations = prev5t+ any su* loss 9 ! future2 & 7,b7 provide a copy ( ! report requir$ "u subp>agraph 7,a7 to-- 7i7 ! ,comptroll] ,g5]al ( ! ,unit$ ,/ates2 7ii7 ! appropriate ,f$]al bank+ ag5cy or ,/ate regulatory au?ority1 z appropriate1 ( any m>ket p>ticipant involv$ 9 ! creation1 issuance1 s]vic+1 gu>antee (1 or insurance ( su* cov]$ security2 & 7iii7 ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives4 7#b7 ,deadl9e = report ,! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation %all comply ) p>agraph 7#a7 z exp$iti\sly z possible1 b 9 no ev5t %all ! report requir$ "u p>agraph 7#a7 be submitt$ lat] ?an #f mon?s aft] ! date on :i* ! loss 0 incurr$4 7#c7 ,public disclosure requir$ 7,a7 ,9 g5]al ,! ,corporation %all disclose any report on losses requir$ "u ?is subsection1 ^u reque/ "u section #eeb ( title #e1 ,unit$ ,/ates ,code1 )\t excis+-- 7i7 any portion "u section #eeb7;b77#e7 ( t title2 or 7ii7 any in=mation "u p>agraph 7#d7 7o!r ?an trade secrets7 or p>agraph 7#h7 ( section #eeb7;b7 ( t title4 7,b7 ,exception ,subp>agraph 7,a7 does n require ! ,corporation to disclose ! "n ( any hold] ( ! cov]$ security1 or in=mation f :i* ! id5tity ( su* a p]son c\ld reasonably be asc]ta9$4 7#d7 ,review by ,comptroll] ,g5]al ,! ,comptroll] ,g5]al ( ! ,unit$ ,/ates %all1 "u su* conditions z ! ,comptroll] ,g5]al det]m9es to be appropriate1 review any report made "u p>agraph 7#a7 & recomm5d to ! ,corporation improvem5ts 9 ! sup]vision ( m>ket p>ticipants4 #cjd4 ,loan limits2 ,h\s+ ,price ,index 7a7 ,e/abli%m5t ,! ,corporation %all e/abli% limitations gov]n+ ! maximum orig9al pr9cipal obligation ( eligible s+le-family mortgage loans t may collat]alize a cov]$ security to be insur$ by ! ,corporation "u ?is title4 7b7 ,calculation ( am\nt ,! limitation set =? "u subsection 7a7 %all be calculat$ ) respect to ! total orig9al pr9cipal obligation ( ! eligible s+le-family mortgage loan & n m]ely ) respect to ! am\nt insur$ by ! ,corporation4 7c7 ,maximum limits 7#a7 ,9 g5]al ,except z provid$ 9 p>agraph 7#b71 ! maximum limitation am\nt "u ?is subsection %all n exce$ #dag1jjj = a mortgage loan secur$ by a #a-;family resid5ce1 = a mortgage loan secur$ by a #b-;family resid5ce ! limit %all equal #abh p]c5t ( ! limit = a mortgage loan secur$ by a #a-;family resid5ce1 = a mortgage loan secur$ by a #c-;family resid5ce ! limit %all equal #aee p]c5t ( ! limit = a mortgage loan secur$ by a #a-;family resid5ce1 & = a mortgage loan secur$ by a #d-;family resid5ce ! limit %all equal #aib p]c5t ( ! limit = a mortgage loan secur$ by a #a-;family resid5ce1 except t su* maximum limitations %all be adju/$ effective ,janu>y #a ( ea* ye> beg9n+ aft] ! effective date ( ?is ,act1 subject to ! limitations 9 ?is p>agraph4 ,ea* adju/m5t %all be made by add+ to ea* su* am\nt 7z x may h be5 previ\sly adju/$7 a p]c5tage !re( equal to ! p]c5tage increase1 dur+ ! mo/ rec5t #ab-mon? or #d-qu>t] p]iod end+ be=e ! "t ( det]m9+ su* annual adju/m5t1 9 ! h\s+ price index ma9ta9$ by ! ,*airp]son pursuant to subsection 7d74 ,if ! *ange 9 su* h\se price index dur+ ! mo/ rec5t #ab-mon? or #d-qu>t] p]iod end+ be=e ! "t ( det]m9+ su* annual adju/m5t is a decrease1 !n no adju/m5t %all be made = ! next ye>1 & ! next upw>d adju/m5t %all take into acc\nt prior decl9es 9 ! h\se price index1 s t any adju/m5t %all reflect ! net *ange 9 ! h\se price index s9ce ! la/ adju/m5t4 ,decl9es 9 ! h\se price index %all be accumulat$ & !n r$uce increases until subsequ5t increases exce$ prior decl9es4 7#b7 ,high-co/ area limits ,! limitations set =? 9 p>agraph 7#a7 may be increas$ by n m ?an #ej p]c5t ) respect to prop]ties locat$ 9 ,alaska1 ,guam1 ,hawaii1 & ! ,virg9 ,isl&s4 ,su* =ego+ limitations %all also be increas$1 ) respect to prop]ties ( a p>ticul> size locat$ 9 any area = :i* #aae p]c5t ( ! m$ian h\se price = su* size resid5ce exce$s ! limitation = su* size resid5ce set =? "u p>agraph 7#a71 to ! less] ( #aej p]c5t ( su* limitation = su* size resid5ce or ! am\nt t is equal to #aae p]c5t ( ! m$ian h\se price 9 su* area = su* size resid5ce4 7d7 ,h\s+ ,price ,index 7#a7 ,national ,index ,! ,corporation %all e/abli% & ma9ta9 a me?od ( assess+ a national av]age s+le-family h\se price = use 9 calculat+ ! loan limits = eligible s+le-family mortgage loans "u subsection 7c71 & o!r av]ages z ! ,corporation consid]s appropriate1 includ+-- 7,a7 av]ages bas$ on diff]5t geographic regions2 & 7,b7 an av]age = h\ses ^: mortgage collat]aliz$ s+le-family cov]$ securities4 7#b7 ,consid]ations ,9 e/abli%+ ! me?od describ$ "u subsection 7a71 ! ,corporation may take into consid]ation ! data collect$ 9 c>ry+ out ! functions describ$ "u section #ccb1 & su* o!r data1 exi/+ h\se price indexes1 & o!r measures z ! ,corporation consid]s appropriate4 #cje4 ,au?ority to protect taxpay]s 9 unusual & exig5t m>ket conditions 7a7 ,9 g5]al ,if ! ,corporation1 ^u ! writt5 agreem5t ( ! ,*airman ( ! ,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve ,sy/em & ! ,secret>y ( ! ,treasury1 & 9 consultation ) ! ,secret>y ( ,h\s+ & ,urban ,developm5t1 det]m9es t unusual & exig5t circum/ances h creat$ or ?reat5 to create an anomal\s lack ( mortgage cr$it availability )9 ! s+le-family h\s+ m>ket1 multifamily h\s+ m>ket1 or entire ,unit$ ,/ates h\s+ m>ket t c\ld mat]ially & sev]ely disrupt ! function+ ( ! h\s+ f9ance sy/em ( ! ,unit$ ,/ates1 ! ,corporation may1 = a p]iod ( #f mon?s-- 7#a7 provide insurance 9 accordance ) section #cjc to any s+le-family cov]$ security reg>dless ( :e!r su* security has satisfi$ ! requirem5ts ( section #cjb2 & 7#b7 e/abli% provisional /&>ds = approv$ entities1 not)/&+ any /&>d requir$ "u subtitle ,b or section #gjc1 pursuant to section #fjg4 7b7 ,consid]ations ,9 ex]cis+ ! au?ority grant$ "u subsection 7a71 ! ,corporation %all consid] ! sev]ity ( ! conditions pres5t 9 ! h\s+ m>kets & ! risks pres5t$ to ! ,mortgage ,insurance ,fund 9 ex]cis+ su* au?ority4 7c7 ,t]ms & conditions ,insurance provid$ "u subsection 7a7 %all be subject to su* additional or diff]5t limitations1 re/rictions1 & regulations z ! ,corporation may prescribe4 7d7 ,bail\t /rictly prohibit$ ,9 ex]cis+ ! au?ority grant$ "u subsection 7a71 ! ,corporation may n-- 7#a7 provide aid to an approv$ entity or an affiliate ( ! approv$ entity1 if su* approv$ entity is 9 bankruptcy or any o!r ,f$]al or ,/ate insolv5cy proce$+2 or 7#b7 provide aid = ! purpose ( assi/+ a s+le & specific company to avoid bankruptcy or any o!r ,f$]al or ,/ate insolv5cy proce$+4 7e7 ,notice ,n lat] ?an #g days aft] au?oriz+ insurance or e/abli%+ provisional /&>ds "u subsection 7a71 ! ,corporation %all submit to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives a report t includes-- 7#a7 ! ju/ification = ! ex]cise ( au?ority to provide su* insurance or e/abli% su* provisional /&>ds2 7#b7 evid5ce t unusual & exig5t circum/ances h creat$ or ?reat5$ to create an anomal\s lack ( mortgage cr$it availability )9 ! s+le-family h\s+ m>ket1 multifamily h\s+ m>ket1 or entire ,unit$ ,/ates h\s+ m>ket t c\ld mat]ially & sev]ely disrupt ! function+ ( ! h\s+ f9ance sy/em ( ! ,unit$ ,/ates2 & 7#c7 evid5ce t failure to ex]cise su* au?ority w\ld h und]m9$ ! safety & s\ndness ( ! h\s+ f9ance sy/em4 7f7 ,additional ex]cise ( au?ority 7#a7 ,9 g5]al ,subject to ! limitation "u subsection 7g71 ! au?ority grant$ to ! ,corporation "u subsection 7a7 may be ex]cis$ = #b additional #i-mon? p]iods )9 any giv5 #c-ye> p]iod1 provid$ t ! ,corporation1 ^u ! writt5 agreem5t ( ! ,*airman ( ! ,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve ,sy/em & ! ,secret>y ( ! ,treasury1 & 9 consultation ) ! ,secret>y ( ,h\s+ & ,urban ,developm5t-- 7,a7 det]m9es-- 7i7 = a second ex]cise ( au?ority "u subsection 7a71 by an affirmative vote ( #b_/c or m ( ! ,bo>d ( ,directors !n s]v+1 t a second ex]cise ( au?ority "u subsection 7a7 is necess>y2 or 7ii7 = a ?ird ex]cise ( au?ority "u subsection 7a71 by an affirmative vote ( #b_/c or m ( ! ,bo>d ( ,directors !n s]v+1 & an affirmative vote ( #b_/c or m ( ! ,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve ,sy/em !n s]v+1 t a ?ird ex]cise ( au?ority "u ?is section is necess>y2 & 7,b7 provides notice to ,congress1 z provid$ "u subsection 7e74 7#b7 ,ord] ( ex]cise ( au?ority ,any additional ex]cise ( au?ority "u ?is subsection may occur consecutively or non-consecutively4 7g7 ,limitation ,! au?ority grant$ to ! ,corporation "u ?is section may n be ex]cis$ m ?an #c times 9 any giv5 #c-ye> p]iod1 :i* #c-ye> p]iod %all comm5ce ^u ! initial ex]cise ( au?ority "u subsection 7a74 7h7 ,normalization & r$uction ( risk ,foll[+ any ex]cise ( au?ority "u ?is section1 ! ,corporation %all-- 7#a7 e/abli% a timel9e = approv$ entities to meet ! approval /&>ds set =? 9 ?is ,act2 & 7#b7 9 a mann] & pursuant to a timel9e t w m9imize losses to ! ,mortgage ,insurance ,fund1 e/abli% a program to ei!r-- 7,a7 sell1 9 :ole or 9 "p1 ! fir/ loss position on cov]$ securities issu$ pursuant to ?is section to private m>ket hold]s2 or 7,b7 transf] = value to approv$ entities1 or "w ) approv$ entities to sell1 9 :ole or 9 "p1 ! fir/ lo/ position on cov]$ securities issu$ pursuant to ?is section4 7i7 ,au?ority to respond to su/a9$ national home price decl9e 7#a7 ,au?ority ,9 ! ev5t ( a significant decl9e ( national home prices1 9 at lea/ #b consecutive cal5d> qu>t]s1 ! ,corporation1 by an affirmative vote ( #b_/c or m ( ! ,bo>d ( ,directors !n s]v+1 may = a p]iod ( #f mon?s p]mit ! transf] ( gu>antees ( eligible mortgage loans t secure cov]$ securities if su* eligible mortgage loans are ref9anc$1 reg>dless ( ! value ( ! und]ly+ collat]al secur+ su* eligible mortgage loans4 7#b7 ,additional ex]cise ( au?ority ,! au?ority grant$ to ! ,corporation "u p>agraph 7#a7 may be ex]cis$ = additional #f-mon? p]iods1 if ^u ea* additional ext5sion ( su* au?ority !re is an affirmative vote ( #b_/c or m ( ! ,bo>d ( ,directors !n s]v+4 7#c7 ,limitation ,! ,corporation %all n provide insurance "u ?is section to any cov]$ security t includes mortgage loans t d n meet ! def9ition ( an eligible mortgage loan1 z def9$ 9 ?is ,act1 except = mortgage loans ref9anc$ f eligible mortgage loans 9 cov]$ securities4 7#d7 ,rule ( con/ruction ,no provision 9 ?is section %all be con/ru$ z p]mitt+ ! ,corporation to l[] any o!r requirem5t relat$ to ! requirem5ts set =? "u ! def9ition ( an eligible mortgage loan4 #cjf4 ,g5]al p[]s 7a7 ,corporate p[]s ,! ,f$]al ,mortgage ,insurance ,corporation %all h ! p[]-- 7#a7 to adopt1 alt]1 & use a corporate seal1 :i* %all be judicially notic$2 7#b7 to ent] into1 execute1 & p]=m contracts1 leases1 coop]ative agreem5ts1 or o!r transactions1 on su* t]ms z x may deem appropriate1 ) any ag5cy or in/rum5tality ( ! ,unit$ ,/ates1 or ) any political subdivision !re(1 or ) any p]son1 firm1 association1 or corporation2 7#c7 to execute1 9 accordance ) its bylaws1 all in/rum5ts necess>y or appropriate 9 ! ex]cise ( any ( its p[]s2 7#d7 9 its corporate "n1 to sue & to be su$1 & to compla9 & to def5d1 9 any c\rt or tribunal ( compet5t jurisdiction1 ,f$]al or ,/ate1 b no atta*m5t1 injunction1 or o!r simil> process1 mesne or f9al1 %all be issu$ aga9/ ! prop]ty ( ! ,corporation2 7#e7 to conduct its bus9ess )\t reg>d to any qualification or simil> /atute 9 any ,/ate ( ! ,unit$ ,/ates2 7#f7 to lease1 pur*ase1 or acquire any prop]ty1 real1 p]sonal1 or mix$1 or any int]e/ !re91 to hold1 r5t1 ma9ta91 mod]nize1 r5ovate1 improve1 use1 & op]ate su* prop]ty1 & to sell1 = ca% or cr$it1 lease1 or o!rwise dispose ( ! same1 at su* "t & 9 su* mann] z & to ! ext5t t x may deem necess>y or appropriate2 7#g7 to prescribe1 repeal1 & am5d or modify1 rules1 regulations1 or requirem5ts gov]n+ ! mann] 9 :i* its g5]al bus9ess may be conduct$2 7#h7 to accept gifts or donations ( s]vices1 or ( prop]ty1 real1 p]sonal1 or mix$1 tangible1 or intangible1 9 aid ( any ( its purposes2 7#i7 to appo9t & sup]vise p]sonnel employ$ by ! ,corporation2 7#aj7 to e/abli% & ma9ta9 divisions1 units1 or o!r (fices )9 ! ,corporation1 includ+ ^? e/abli%$ 9 sections #bjg1 #bjh1 #bji1 & #baa 9 ord] to c>ry out ! responsibilities ( ?is ,act1 & to satisfy ! requirem5ts ( o!r applicable law2 & 7#aa7 to manage ! affairs ( ! ,corporation & conduct ! bus9ess ( ! ,corporation1 z necess>y4 7b7 ,litigation au?ority 7#a7 ,9 g5]al ,9 en=c+ any provision ( ?is ,act1 any regulation or ord] prescrib$ "u ?is ,act1 or any o!r provision ( law1 rule1 regulation1 or ord]1 or 9 any o!r action1 suit1 or proce$+ to :i* ! ,corporation is a p>ty or 9 :i* ! ,corporation is int]e/$1 & 9 ! adm9i/ration ( cons]vator%ips & receiv]%ips1 ! ,corporation may act 9 ! ,corporation's own "n & ?r\gh attorneys or o!r ag5ts act+ on behalf ( ! ,corporation4 7#b7 ,subject to suit ,except z o!rwise provid$ by law1 ! ,corporation %all be subject to suit 7o!r ?an suits = claims = money damages7 by a regulat$ entity or m>ket p>ticipant ) respect to any matt] "u ?is ,act or any o!r applicable provision ( law1 rule1 ord]1 or regulation "u ?is ,act1 9 ! ,unit$ ,/ates di/rict c\rt = ! judicial di/rict 9 :i* ! regulat$ entity or m>ket p>ticipant has its pr9cipal place ( bus9ess1 or 9 ! ,unit$ ,/ates ,di/rict ,c\rt = ! ,di/rict ( ,columbia1 & ! ,corporation may be s]v$ ) process 9 ! mann] prescrib$ by ! ,f$]al ,rules ( ,civil ,proc$ure4 7c7 ,exp5ditures ,except z may be o!rwise provid$ 9 ?is title1 ! ,corporation %all det]m9e ! necessity =1 & ! "* & am\nt ( its obligations & exp5ditures1 & ! mann] 9 :i* !y %all be incurr$1 all[$1 paid1 & acc\nt$ =4 7d7 ,exemption f c]ta9 taxes ,! ,corporation1 includ+ its fran*ise1 capital1 res]ves1 surplus1 mortgage loans or o!r security hold+s1 & income %all be exempt f all taxation n[ or h]eaft] impos$ by ! ,unit$ ,/ates1 by any t]ritory1 dep5d5cy1 or possession !re(1 or by any ,/ate1 c\nty1 municipality1 or local tax+ au?ority1 except t any real prop]ty ( ! ,corporation %all be subject to ,/ate1 c\nty1 municipal1 or local taxation to ! same ext5t accord+ to its value z o!r real prop]ty is tax$4 7e7 ,exclusive use ( "n ,no individual1 association1 p>tn]%ip1 or corporation1 except ! body corporate nam$ "u section #bja1 %all h]eaft] use ! words ,f$]al ,mortgage ,insurance ,corporation or any comb9ation ( su* words1 z ! "n or a "p !re( "u :i* su* individual1 association1 p>tn]%ip1 or corporation %all d bus9ess4 ,violations ( ! =ego+ s5t5ce may be enjo9$ by any c\rt ( g5]al jurisdiction at ! suit ( ! prop] body corporate nam$ "u section #bja4 ,9 any su* suit1 ! pla9tiff may recov] any actual damages fl[+ f su* violation1 &1 9 addition1 %all be entitl$ to punitive damages 7reg>dless ( ! exi/5ce or nonexi/5ce ( actual damages7 ( n exce$+ #a1jjj = ea* day dur+ :i* su* violation is committ$ or repeat$4 7f7 ,fiscal ag5ts ,! ,f$]al ,res]ve banks are au?oriz$ & direct$ to act z depositories1 cu/odians1 & fiscal ag5ts = ! ,corporation1 = its own acc\nt or z fiduci>y1 & su* banks %all be reimburs$ = su* s]vices 9 su* mann] z may be agre$ ^u1 & ! ,corporation may itself act 9 su* capacities1 = its own acc\nt or z fiduci>y1 & = ! acc\nt ( o!rs4 7g7 ,o!r p[]s ,! ,corporation is au?oriz$ to assess & collect fees on regulat$ entities & approv$ entities1 includ+ = applications1 exam9ations1 & o!r purposes1 z au?oriz$ by ?is ,act4 7h7 ,f$]al ,home ,loan ,bank assessm5t ,! ,corporation %all h ! au?ority to assess a fee on ! ,f$]al ,home ,loan ,banks to cov] ! necess>y co/s relat$ to sup]vis+ ! ,f$]al ,home ,loan ,banks4 ,! co/s associat$ ) ! second>y m>ket activities ( ! ,f$]al ,home ,loan ,banks pursuant to section #cab %all be cov]$ by ! fee *>g$ pursuant to ?is subsection4 7i7 ,rule ( con/ruction relat$ to fair h\s+ ,no?+ 9 ?is ,act %all be con/ru$ z au?oriz+ ! ,corporation to waive1 repeal1 am5d1 or modify requirem5ts relat+ to fair h\s+ law1 includ+ ^? requirem5ts "u ! ,fair ,h\s+ ,act 7#db ,u4,s4,c4 #cfja et seq47 & ! ,equal ,cr$it ,opportunity ,act 7#ae ,u4,s4,c4 #afia et seq474 #cjg4 ,exemptions 7a7 ,securities exempt f ,securities & ,ex*ange ,commission regulation 7#a7 ,cov]$ securities 7,a7 ,9 g5]al ,all securities insur$ or gu>ante$ by ! ,corporation %all1 to ! same ext5t z securities t are direct obligations ( or obligations gu>ante$ z to pr9cipal or int]e/ by ! ,unit$ ,/ates1 be deem$ to be exempt securities )9 ! mean+ ( ! laws adm9i/]$ by ! ,securities & ,ex*ange ,commission4 7,b7 ,con=m+ am5dm5t ,! fir/ s5t5ce ( section #c7;a77#b7 ( ! ,securities ,act ( #aicc 7#ae ,u4,s4,c4 #gg;c7a77#b77 is am5d$ by ins]t+ or any security insur$ or gu>ante$ by ! ,f$]al ,mortgage ,insurance ,corporation2 aft] ,f$]al ,res]ve bank24 7#b7 ,cr$it risk-%>+ me*anisms ,section #bg;,b7c7 ( ! ,securities ,act ( #aicc 7#ae ,u4,s4,c4 #ggz-#b;a7c77 is am5d$-- 7,a7 9 p>agraph 7#a71 by /rik+ or at ! end2 7,b7 9 p>agraph 7#b71 by /rik+ ! p]iod at ! end & ins]t+ 2 or2 & 7,c7 by add+ at ! end ! foll[+3 7#c7 pur*ases or sales ( any asset-back$ security t is a cr$it risk-%>+ me*anism approv$ by ! ,f$]al ,mortgage ,insurance ,corporation 9 accordance ) section #cjb or section #gjc7;c7 ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad1 :i* cr$it risk-%>+ me*anism is design$ to be us$ or is us$1 z det]m9$ by ! ,f$]al ,mortgage ,insurance ,corporation1 by a private m>ket hold] to assume losses & to r$uce ! specific risks aris+ f losses realiz$ "u su* cr$it risk-%>+ me*anism associat$ ) any pool ( eligible mortgage loans t collat]alizes a cov]$ security insur$ 9 accordance ) section #cjc or #cje ( t ,act4 4 7b7 ,,qrm exemption ,section #ae;,g7e7 ( ! ,securities ,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4 #gho-#aa7;e77 is am5d$-- 7#a7 9 p>agraph 7#c77;,b7-- 7,a7 by /rik+ ,association1 ! & ins]t+ ,association & !2 & 7,b7 by /rik+ & ! ,f$]al home loan banks2 & 7#b7 by add+ at ! end ! foll[+3 7#g7 ,cov]$ securities insur$ by ! ,f$]al ,mortgage ,insurance ,corporation ,not)/&+ any o!r provision ( ?is section1 ! requirem5ts ( ?is section %all n apply to any cov]$ security1 z su* t]m is def9$ "u section #b ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad1 insur$ or gu>ante$ by ! ,f$]al ,mortgage ,insurance ,corporation or any in/itution t is subject to ! sup]vision ( ! ,f$]al ,mortgage ,insurance ,corporation4 4 7c7 ,c\nt]p>ties exempt f ! ,commodity ,ex*ange ,act ,section #a;a7#aj7 ( ! ,commodity ,ex*ange ,act 7#g ,u4,s4,c4 #a;a7#aj77 is am5d$ by add+ at ! end ! foll[+3 7,c7 ,exemption ,solely z x relates to ! specific role ( a c\nt]p>ty 9 connection ) ! swap transaction describ$ 9 ?is p>agraph1 ! t]m commodity pool does n include any c\nt]p>ty t ent]s into any swap = purposes ( /ructur+ a cr$it risk-%>+ me*anism t is approv$ by ! ,f$]al ,mortgage ,insurance ,corporation 9 accordance ) section #cjb or section #gjc7;c7 ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad1 :i* cr$it risk-%>+ me*anism is design$ to be us$ or is us$1 z det]m9$ by ! ,f$]al ,mortgage ,insurance ,corporation1 by a private m>ket hold] to assume losses & to r$uce ! specific risks aris+ f losses realiz$ "u su* cr$it risk-%>+ me*anism associat$ ) any pool ( eligible mortgage loans t collat]alizes a cov]$ security insur$ 9 accordance ) section #cjc or #cje ( t ,act4 4 #cjh4 ,regulatory consultation & coord9ation 7a7 ,consultation p]mitt$ ,! ,corporation may1 9 c>ry+ out any duty1 responsibility1 requirem5t1 or action au?oriz$ "u ?is ,act1 consult ) ! ,f$]al regulatory ag5cies1 any individual ,f$]al regulatory ag5cy1 ! ,secret>y ( ! ,treasury1 ! ,secret>y ( ,h\s+ & ,urban ,developm5t1 any ,/ate bank+ regulator1 any ,/ate insurance regulator1 & any o!r ,/ate ag5cy1 z ! ,corporation det]m9es necess>y & appropriate4 7b7 ,coord9ation requir$ ,! ,corporation %all1 z requir$ by ?is ,act1 9 c>ry+ out any duty1 responsibility1 requirem5t1 or action au?oriz$ "u ?is ,act1 coord9ate ) ! ,f$]al regulatory ag5cies1 any individual ,f$]al regulatory ag5cy1 ! ,secret>y ( ! ,treasury1 ! ,secret>y ( ,h\s+ & ,urban ,developm5t1 any ,/ate bank+ regulator1 any ,/ate insurance regulator1 & any o!r ,/ate ag5cy4 7c7 ,avoidance ( duplication ,to ! fulle/ ext5t possible1 ! ,corporation %all-- 7#a7 avoid duplication ( exam9ation activities1 report+ requirem5ts1 & reque/s = in=mation2 7#b7 rely on exam9ation reports made by o!r ,f$]al or ,/ate regulatory ag5cies relat+ to an approv$ entity & its subsidi>ies1 if any2 & 7#c7 ensure t approv$ entities are n subject to conflict+ sup]visory dem&s by ! ,corporation & o!r ,f$]al regulatory ag5cies4 7d7 ,protection ( privileges 7#a7 ,9 g5]al ,pursuant to ! au?orities provid$ "u subsections 7a7 & 7b71 to facilitate ! consultative process & coord9ation1 ! ,corporation may %>e in=mation ) ! ,f$]al regulatory ag5cies1 any individual ,f$]al regulatory ag5cy1 ! ,secret>y ( ! ,treasury1 ! ,secret>y ( ,h\s+ & ,urban ,developm5t1 any ,/ate bank sup]visor1 any ,/ate insurance regulator1 any o!r ,/ate ag5cy1 or any =eign bank+ au?ority1 on a "o-"t1 regul>1 or p]iodic basis1 z det]m9$ by ! ,corporation1 reg>d+ ! capital assets & liabilities1 f9ancial condition1 risk managem5t practices1 or any o!r practice ( any m>ket p>ticipant4 7#b7 ,privilege pres]v$ ,in=mation %>$ by ! ,corporation pursuant to p>agraph 7#a7 %all n be con/ru$ z waiv+1 de/roy+1 or o!rwise affect+ any privilege or confid5tial /atus t any m>ket p>ticipant or any o!r p]son may claim ) respect to su* in=mation "u ,f$]al or ,/ate law z to any p]son or entity o!r ?an su* ag5cies1 ag5cy1 sup]visor1 or au?ority4 7#c7 ,rule ( con/ruction ,no provision ( ?is subsection may be con/ru$ z imply+ or e/abli%+ t-- 7,a7 any p]son waives any privilege applicable to in=mation t is %>$ or transf]r$ "u any circum/ance to :i* ?is subsection does n apply2 or 7,b7 any p]son w\ld waive any privilege applicable to any in=mation by submitt+ ! in=mation directly to ! ,f$]al regulatory ag5cies1 any individual ,f$]al regulatory ag5cy1 any ,/ate bank sup]visor1 any ,/ate insurance regulator1 any o!r ,/ate ag5cy1 or any =eign bank+ au?ority1 b = ?is subsection4 7e7 ,f$]al & ,/ate au?ority pres]v$ ,unless o!rwise expressly provid$ by ?is section1 no provision ( ?is section %all limit or be con/ru$ to limit1 9 any way1 ! exi/+ au?ority ( any ,f$]al ag5cy or ,/ate regulatory au?ority4 #cji4 ,au?ority to issue regulations 7a7 ,g5]al au?ority ,! ,corporation may prescribe su* regulations & issue su* guidel9es1 ord]s1 requirem5ts1 or /&>ds z are necess>y to-- 7#a7 c>ry out ?is ,act1 or any am5dm5t made by ?is ,act2 & 7#b7 ensure-- 7,a7 competition among approv$ entities 9 ! second>y mortgage m>ket2 7,b7 liquidity 9 ! second>y mortgage m>ket & ! =w>d execution m>ket = eligible s+le-family mortgage loans & s+le-family cov]$ securities1 su* z ! ,to-,be-,ann\nc$ m>ket2 & 7,c7 mitigation ( sy/emic risk 9 ! second>y mortgage m>ket4 7b7 ,capital /&>ds 7#a7 ,9 g5]al ,= ea* type ( cov]$ entity ! ,corporation %all e/abli%1 by regulation1 capital /&>ds & relat$ solv5cy /&>ds necess>y to implem5t ! provisions ( ?is ,act4 7#b7 ,def9itions 7,a7 ,9 g5]al ,! regulations requir$ "u ?is subsection %all def9e all su* t]ms z are necess>y to c>ry out ! purposes ( ?is subsection4 7,b7 ,consid]ations 9 def9+ in/rum5ts & contracts t qualify z capital ,9 def9+ in/rum5ts & contracts t qualify z capital pursuant to subp>agraph 7,a71 ! ,corporation-- 7i7 %all include su* in/rum5ts & contracts t w absorb losses be=e ! ,mortgage ,insurance ,fund2 & 7ii7 may assign significance to ^? in/rum5ts & contracts bas$ on ! nature & risks ( su* in/rum5ts & contracts4 7,c7 ,consid]ations 9 def9+ capital ratios ,solely = ! purposes ( calculat+ a capital ratio appropriate to ! bus9ess model ( ! applicable entity pursuant to subp>agraph 7,a71 ! ,corporation %all consid] = ! d5om9ator-- 7i7 total assets2 7ii7 total liabilities2 7iii7 risk 9 =ce2 or 7iv7 unpaid pr9cipal balance4 7#c7 ,design$ to ensure safety & s\ndness ,! capital & relat$ solv5cy /&>ds e/abli%$ "u ?is subsection %all be design$ to-- 7,a7 ensure ! safety & s\ndness ( a cov]$ entity2 7,b7 m9imize ! risk ( loss to ! ,mortgage ,insurance ,fund2 7,c7 9 consultation & coord9ation ) ! ,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve ,sy/em1 ! ,f$]al ,deposit ,insurance ,corporation1 ! ,(fice ( ! ,comptroll] ( ! ,curr5cy1 & ! ,national ,cr$it ,union ,adm9i/ration1 r$uce ! pot5tial = regulatory arbitrage betwe5 capital /&>ds = cov]$ entities & capital /&>ds promulgat$ by ,f$]al regulatory ag5cies = insur$ depository in/itutions & _! affiliates2 & 7,d7 be specifically tailor$ to accommodate a div]se range ( bus9ess models t may be employ$ by cov]$ entities4 7#d7 ,supplem5tal capital requirem5ts ,9 ord] to prev5t or mitigate risks to ! second>y mortgage m>ket ( ! ,unit$ ,/ates t c\ld arise f ! mat]ial f9ancial di/ress or failure1 or ongo+ activities1 ( cov]$ entities t are l>ge approv$ aggregators or l>ge approv$ gu>antors t engage 9 cov]$ gu>antee transactions1 ! ,corporation1 by regulation-- 7,a7 %all e/abli% supplem5tal capital requirem5ts = cov]$ entities t are l>ge approv$ aggregators or l>ge approv$ gu>antors2 & 7,b7 may e/abli% su* o!r /&>ds = cov]$ entities t are l>ge approv$ aggregators or l>ge approv$ gu>antors t ! ,corporation det]m9es necess>y or appropriate4 7c7 ,m>ket %>e limitation = c]ta9 l>ge entities ,! ,corporation %all e/abli%1 by regulation1 m>ket %>e limitations = l>ge approv$ aggregators & l>ge approv$ gu>antors t w\ld take effect only 9 ! ev5t ! ,corporation has reason to believe ! supplem5tal /&>ds e/abli%$ "u subsection 7b77#d7 are insuffici5t to prev5t or mitigate risks to ! second>y mortgage m>ket ( ! ,unit$ ,/ates t c\ld arise f ! mat]ial f9ancial di/ress or failure1 or ongo+ activities1 ( su* approv$ aggregators & approv$ gu>antors4 7d7 ,recognition ( di/9ctions betwe5 ! approv$ entities & ! ,f$]al ,home ,loan ,banks 7#a7 ,9 g5]al ,prior to promulgat+ any regulation or tak+ any o!r =mal or in=mal action ( g5]al applicability & future effect relat+ to ! ,f$]al ,home ,loan ,banks1 includ+ ! issuance ( an advisory docum5t or exam9ation guidance1 ! ,*airp]son1 9 consultation ) ! ,(fice ( ,f$]al ,home ,loan ,bank ,sup]vision1 %all consid] ! diff]5ces betwe5 ! ,f$]al ,home ,loan ,banks & approv$ entities ) respect to-- 7,a7 ! ,banks'-- 7i7 coop]ative own]%ip /ructure2 7ii7 mission ( provid+ liquidity to its memb]s2 7iii7 af=dable h\s+ & community developm5t mission2 7iv7 capital /ructure2 & 7v7 jo9t & sev]al liability2 & 7,b7 any o!r diff]5ces t ! ,corporation consid]s appropriate4 7#b7 ,capital consid]ations ,! ,corporation1 9 coord9ation ) ! ,(fice ( ,f$]al ,home ,loan ,bank ,sup]vision1 %all e/abli% capital /&>ds1 z requir$ "u section #cji7;b71 ) respect to a ,f$]al ,home ,loan ,bank1 or subsidi>y or jo9t (fice !re(1 t is approv$ z an aggregator "u section #cab1 t-- 7,a7 are adequate to support ! role ( a ,f$]al ,home ,loan ,bank z a cov]$ entity1 consi/5t ) ! safe & s\nd op]ations ( ! ,bank or ,banks involv$2 & 7,b7 d n adv]sely impact ! traditional liquidity & advance bus9ess ( ! ,f$]al ,home ,loan ,bank ,sy/em or ! m>ketability or cr$itwor?9ess ( ,f$]al ,home ,loan ,bank consolidat$ obligations4 7e7 ,regulations relat+ to =ce-plac$ insurance 7#a7 ,9 g5]al ,! ,corporation %all1 by regulation1 set /&>ds = ! pur*ase ( =ce-plac$ insurance by m>ket p>ticipants4 7#b7 ,limitation ,no /&>ds develop$1 adopt$1 or publi%$ "u p>agraph 7#a7 %all conc]n ! regulation ( ! bus9ess ( insurance or preempt any ,/ate law1 regulation1 or proc$ure conc]n+ ! regulation ( ! bus9ess ( insurance4 7f7 ,use & protection ( p]sonally id5tifiable in=mation 7#a7 ,privacy consid]ations ,9 collect+ in=mation f any p]son1 9 publicly releas+ in=mation held by ! ,corporation1 or 9 requir+ approv$ entities to publicly report in=mation1 ! ,corporation %all take /eps to ensure t propriet>y1 p]sonal1 or confid5tial consum] in=mation t is protect$ f public disclosure "u section #eeb7;b7 or #eeb;a ( title #e1 ,unit$ ,/ates ,code1 or any o!r provision ( law1 is n made public4 7#b7 ,treatm5t ( approv$ entities ,) respect to ! application ( any provision ( ! ,"r to ,f9ancial ,privacy ,act ( #aigh to a disclosure by an approv$ entity subject to ?is subsection1 ! approv$ entity %all be treat$ z if x 7 a f9ancial in/itution z def9$ 9 section #aaja ( t ,act 7#ab ,u4,s4,c4 #cdja74 7#c7 ,non disclosure 7,a7 ,9 g5]al ,unless o!rwise specifi$ by ?is ,act1 any p]sonally id5tifiable in=mation obta9$ or ma9ta9$ by ! ,corporation 9 connection ) any sup]vision or en=cem5t au?ority or function1 includ+ ! ,(fice ( ,g5]al ,c\nsel & ,(fice ( ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation1 may n be disclos$ to any non sup]visory or non en=cem5t (fice1 division1 or employee ( ! ,corporation1 or to any o!r ,f$]al or ,/ate ag5cy unless-- 7i7 ! in=mation is necess>y & appropriate = su* (fice1 division1 or employee ( ! ,corporation to comply ) ?is ,act1 & ! (fice1 division1 or employee _c reasonably obta9 ! in=mation ?r\gh ! normal c\rse ( bus9ess ( su* (fice1 division1 or employee2 7ii7 ! o!r ,f$]al or ,/ate ag5cy has satisfi$ any conditions ( in=mation %>+ t ! ,corporation may e/abli%1 includ+ treatm5t ( p]sonally id5tifiable in=mation & %>+ ( in=mation t %all con=m to ! /&>ds = protection ( ! confid5tiality ( p]sonally id5tifiable in=mation & = data integrity & security t are applicable to ,f$]al ag5cies2 or 7iii7 ! records are relevant to a legitimate law en=cem5t inquiry1 or intellig5ce or c\nt]9tellig5ce activity1 inve/igation1 or analysis relat$ to int]national t]rorism )9 ! jurisdiction ( ! receiv+ entity4 7,b7 ,protection ( p]sonally id5tifiable in=mation by specific (fices ,any (fice creat$ "u section #bjg7;a77#a77;,b7 %all-- 7i7 develop /&>ds reg>d+ treatm5t & confid5tiality ( p]sonally id5tifiable in=mation & ! collection & %>+ ( in=mation t are tailor$ to ! purpose or mission ( ! (fice2 & 7ii7 obta9 approval f ! ,*airp]son ( ! /&>ds develop$ "u clause 7i7 prior to ! op]ation ( ! (fice4 7g7 ,consum] ,privacy ,! ,corporation %all n obta9 f an approv$ entity any p]sonally id5tifiable f9ancial in=mation ab\t a consum] f ! f9ancial records ( ! approv$ entity1 except-- 7#a7 if ! f9ancial records are reasonably describ$ 9 a reque/ by ! ,corporation & ! consum] provides writt5 p]mission = ! disclosure ( su* in=mation by an approv$ entity to ! ,corporation2 or 7#b7 z may be specifically p]mitt$ or requir$ "u o!r applicable provisions ( law & 9 accordance ) ! ,"r to ,f9ancial ,privacy ,act ( #aigh 7#ab ,u4,s4,c4 #cdja et seq474 7h7 ,option = approv$ gu>antors & approv$ aggregators 7#a7 ,e/abli%m5t ( process = approval ,! ,corporation may1 if x det]m9es necess>y or appropriate1 e/abli% a process & crit]ia = approv$ gu>antors & approv$ aggregators to apply to ! ,corporation = approval to op]ate a ca% w9d[ = ! pur*ase ( individual eligible s+le-family mortgage loans4 7#b7 ,requirem5ts ,if ! ,corporation e/abli%es a process & crit]ia "u p>agraph 7#a71 ! ,corporation-- 7,a7 may grant approval to an approv$ gu>antor or an approv$ aggregator t applies to op]ate a ca% w9d[ = ! pur*ase ( individual eligible s+le-family mortgage loans only if ! ,corporation det]m9es t-- 7i7 ! approv$ gu>antor or approv$ aggregator meets ! crit]ia e/abli%$ "u p>agraph 7#a72 & 7ii7 ! op]ation ( ! ca% w9d[ w\ld n pose a risk to ! ,mortgage ,insurance ,fund2 & 7,b7 to ensure ! safety & s\ndness ( ea* approv$ gu>antor & approv$ aggregator1 %all e/abli% /&>ds = ! regulation1 sup]vision1 & op]ation ( ea* ca% w9d[ t an approv$ gu>antor or approv$ aggregator is approv$ to op]ate "u ?is p>agraph4 #caj4 ,equival5cy 9 protection ( ! ,mortgage ,insurance ,fund ,9 ord] to protect ! ,mortgage ,insurance ,fund & promote multiple s\rces ( fir/ loss positions1 ! ,corporation %all seek to ensure equival5t loss absorption capacity betwe5 approv$ cr$it risk-%>+ me*anisms pursuant to section #cjb & capital /&>ds = approv$ gu>antors pursuant to section #caa4 ,b ,approval & sup]vision ( approv$ entities = s+le-family activities #caa4 ,approval & sup]vision ( gu>antors 7a7 ,/&>ds = approval ( gu>antors 7#a7 ,9 g5]al ,! ,corporation %all develop1 adopt1 & publi% /&>ds = ! approval by ! ,corporation ( gu>antors to gu>antee ! timely paym5t ( pr9cipal & int]e/ on securities collat]aliz$ by eligible s+le-family mortgage loans & insur$ by ! ,corporation4 7#b7 ,requir$ /&>ds ,! /&>ds requir$ "u p>agraph 7#a7 %all include-- 7,a7 ! f9ancial hi/ory & condition ( ! gu>antor2 7,b7 a requirem5t t ! gu>antor ma9ta9 capital levels z def9$ by ! ,corporation1 pursuant to subsection 7g72 7,c7 ! capability ( ! managem5t ( ! gu>antor2 7,d7 ! g5]al "* & fitness ( ! (fic]s & directors ( ! gu>antor1 includ+ ! compliance hi/ory ( ! gu>antor's (fic]s & directors ) ,f$]al & ,/ate laws & ! rules & regulations promulgat$ by self-regulatory organizations 7z def9$ 9 section #c7;a77#bf7 ( ! ,securities ,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4 #gh;c7a77#bf771 z applicable2 7,e7 ! risk pres5t$ by ! gu>antor to ! ,mortgage ,insurance ,fund2 7,f7 ! adequacy ( insurance & fidelity cov]age ( ! gu>antor2 7,g7 ! ability ( ! gu>antor to-- 7i7 at ! discretion ( ! gu>antor1 transf] inve/m5t risk & cr$it risk to private m>ket hold]s 9 ! s+le-family m>ket 9 accordance ) ! cr$it risk-%>+ me*anisms approv$ by ! ,corporation "u section #cjb2 7ii7 create me*anisms to gu>antee multi-l5d] pools2 & 7iii7 ensure t eligible s+le-family mortgage loans t collat]alize a s+le-family cov]$ security insur$ "u ?is title are orig9at$ 9 compliance ) ! requirem5ts ( ?is ,act2 7,h7 ! capacity ( ! gu>antor to take ! fir/ loss position2 7,i7 t ! gu>antor has ! capacity to gu>antee eligible s+le-family mortgage loans 9 a mann] t fur!rs ! purposes ( ! ,corporation describ$ 9 section #bja7;b77#e72 7,j7 a requirem5t t ! gu>antor timely issue publicly available audit$ f9ancial /atem5ts on an annual basis prep>$ 9 accordance ) g5]ally accept$ acc\nt+ pr9ciples us$ 9 ! indu/ry2 7,k7 t ! gu>antor is 9 compliance ) section #baj7;a77#c72 7,l7 t ! gu>antor has sub/antial analytical capabilities to effectively manage cr$it risk2 7,m7 t ! gu>antor does n orig9ate eligible s+le-family mortgage loans & is n an affiliate ( a p]son t actively engages 9 ! bus9ess ( orig9at+ eligible s+le-family mortgage loans2 & 7,n7 any o!r /&>d ! ,corporation det]m9es necess>y to protect ! ,mortgage ,insurance ,fund4 7#c7 ,rule ( con/ruction ,no?+ 9 subp>agraph 7,i7 ( p>agraph 7#b7 %all be con/ru$ to prev5t ! ,corporation f approv+ a small or specialty gu>antor1 provid$ t ! gu>antor has ! capacity to adequately div]sify its risk to meet appropriate safety & s\ndness conc]ns4 7#d7 ,consultation & coord9ation ,to promote consi/5cy & m9imize regulatory conflict1 ! ,corporation %all consult & coord9ate ) appropriate ,f$]al & ,/ate regulators & (ficials :5 develop+ /&>ds pursuant to ?is subsection4 7b7 ,application & approval 7#a7 ,application process 7,a7 ,9 g5]al ,! ,corporation %all e/abli% an application process1 9 su* =m & mann] & requir+ su* in=mation z ! ,corporation may require1 = ! approval ( a gu>antor "u ?is section4 7,b7 ,application review ,! ,corporation %all e/abli% int]nal timel9es = its process+ ( an application "u ?is section1 includ+ timel9es = any action to approve or to d5y an application "u ?is section4 7,c7 ,prohibition on control by insur$ depository in/itutions or affiliates ( insur$ depository in/itutions 7i7 ,9 g5]al ,x %all be unlawful = an insur$ depository in/itution or an affiliate ( an insur$ depository in/itution to control an approv$ gu>antor4 7ii7 ,rule ( con/ruction reg>d+ control ,= purposes ( ?is subp>agraph1 any insur$ depository in/itution or affiliate ( an insur$ depository in/itution has control ov] an approv$ gu>antor if ! company directly or indirectly or act+ ?r\gh #a or m o!r p]sons owns1 controls1 or has p[] to vote #aj p]c5t or m ( any class ( vot+ %>es ( ! approv$ gu>antor4 7#b7 ,approval ,! ,corporation may approve any application made pursuant to p>agraph 7#a71 provid$ ! gu>antor meets ! /&>ds e/abli%$ "u subsection 7a74 7#c7 ,d5ial ,! ,corporation %all h ! au?ority to d5y any application made pursuant to p>agraph 7#a7 if an (fic] or director ( ! gu>antor has1 at any "t prior to ! date ( ! approval ( su* application1 be5-- 7,a7 subject to a /atutory disqualification pursuant to section #c7;a77#ci7 ( ! ,securities ,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4 #gh;c7a77#ci772 or 7,b7 susp5d$1 remov$1 or prohibit$ f p>ticipation pursuant to section #h7;g7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7;g771 prohibit$ f c]ta9 action pursuant to p>agraphs 7#f7 or 7#g7 ( section #h7;e7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7;e771 subject to an action result+ 9 a writt5 agreem5t or o!r writt5 /atem5t "u section #h7u77#a7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7u77#a771 = :i* a violation may be en=c$ by an appropriate ,f$]al bank+ ag5cy1 or subject to any f9al ord] issu$ ) respect to any adm9i/rative en=cem5t proce$+ initiat$ by su* ag5cy "u section #h ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah74 7#d7 ,notice & publication ,! ,corporation %all-- 7,a7 provide prompt notice to a gu>antor ( ! approval or d5ial ( any application ( ! gu>antor to become an approv$ gu>antor "u ?is section2 7,b7 publi% a notice 9 ! ,f$]al ,regi/] ^u approval ( any gu>antor2 & 7,c7 ma9ta9 an updat$ li/ ( approv$ gu>antors on ! website ( ! ,corporation4 7c7 ,requirem5t to ma9ta9 approval /atus 7#a7 ,au?ority to issue ord] ,if ! ,corporation det]m9es t an approv$ gu>antor no long] meets ! /&>ds = su* approval or violates a requirem5t "u ?is ,act1 includ+ any /&>d1 regulation1 or ord] promulgat$ 9 accordance ) ?is ,act1 ! ,corporation may-- 7,a7 susp5d or revoke ! approv$ /atus ( ! approv$ gu>antor2 or 7,b7 take any o!r action ) respect to su* approv$ gu>antor z may be au?oriz$ "u ?is ,act4 7#b7 ,rule ( con/ruction ,! susp5sion or revocation ( ! approv$ /atus ( an approv$ gu>antor "u ?is section %all h no effect on ! /atus z a cov]$ security ( any cov]$ security collat]aliz$ by eligible mortgage loans ) :i* ! approv$ gu>antor contract$ prior to ! susp5sion or revocation4 7#c7 ,publication ,! ,corporation %all-- 7,a7 promptly publi% a notice 9 ! ,f$]al ,regi/] ^u susp5sion or revocation ( ! approval ( any approv$ gu>antor2 & 7,b7 ma9ta9 an updat$ li/ ( su* approv$ gu>antors on ! website ( ! ,corporation4 7#d7 ,def9ition ,9 ?is subsection1 ! t]m violate includes any action1 tak5 alone or ) o!rs1 = or t[>d caus+1 br++ ab\t1 p>ticipat+ 91 c\nsel+1 or aid+ or abett+1 a violation ( ! requirem5ts "u ?is ,act4 7d7 ,prud5tial /&>ds = sup]vision ,! ,corporation %all prescribe prud5tial /&>ds = approv$ gu>antors 9 ord] to-- 7#a7 ensure-- 7,a7 ! safety & s\ndness ( approv$ gu>antors2 & 7,b7 ! ma9t5ance ( approval /&>ds by approv$ gu>antors2 & 7#b7 m9imize ! risk pres5t$ to ! ,mortgage ,insurance ,fund4 7e7 ,reports & exam9ations ,= purposes ( det]m9+ :e!r an approv$ gu>antor is fulfill+ ! requirem5ts "u ?is ,act1 ! ,corporation %all h ! au?ority to require reports f & exam9e an approv$ gu>antor1 9 ! same mann] & to ! same ext5t z ! ,f$]al ,deposit ,insurance ,corporation has ) respect to an insur$ depository in/itution "u ! provisions ( subsection 7a7 ( section #i ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahai74 7f7 ,en=cem5t ,! ,corporation %all h ! au?ority to en=ce ! provisions ( ?is ,act ) respect to an approv$ gu>antor1 9 ! same mann] & to ! same ext5t z ! ,f$]al ,deposit ,insurance ,corporation has ) respect to an insur$ depository in/itution "u ! provisions ( subsections 7b7 ?r\gh 7n7 ( section #h ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah74 7g7 ,capital /&>ds 7#a7 ,9 g5]al ,pursuant to ! requirem5t to e/abli% capital & relat$ solv5cy /&>ds "u section #cji7;b71 ! ,corporation %all e/abli% /&>ds = approv$ gu>antors t require an approv$ gu>antor to-- 7,a7 hold #aj p]c5t capital2 & 7,b7 ma9ta9 solv5cy levels adequate = ! approv$ gu>antor to )/& losses t might be incurr$ by ! approv$ gu>antor 9 a p]iod ( economic /ress1 includ+ national & regional home price decl9es1 su* z ^? obs]v$ dur+ mod]ate to sev]e recessions 9 ! ,unit$ ,/ates4 7#b7 ,risk-%>+ consid]ations ,= purposes ( p>agraph 7#a71 ! ,corporation %all consid] ! ext5t1 am\nt1 & =m ( risk-%>+ & risk mitigation ?r\gh ! use by approv$ gu>antors ( cr$it risk-%>+ me*anisms approv$ pursuant to section #cjb7;b77#d74 ,! ,corporation %all all[ su* risk-%>+ & risk mitigation to fulfill requir$ am\nts ( capital to be held "u p>agraph 7#a77;,a7 su* t x ensures an equival5t am\nt ( loss absorption capacity z requir$ "u section #cjb7;a77#a77;,b7 :ile ma9ta9+ an appropriate /ructure ( capital z det]m9$ by ! ,corporation4 7#c7 ,/ress te/s ,! ,corporation %all conduct appropriate /ress te/s ( ea* approv$ gu>antor t has total assets ( m ?an #aj1jjj1jjj1jjj1 provid$ t su* /ress te/s %all be-- 7,a7 specifically tailor$ to ! bus9ess model ( ! approv$ gu>antor2 & 7,b7 utiliz$ to-- 7i7 ensure ! safety & s\ndness ( ! approv$ gu>antor2 & 7ii7 m9imize ! risk ! approv$ gu>antor may pres5t to ! ,mortgage ,insurance ,fund4 7h7 ,resolution au?ority = fail+ gu>antors 7#a7 ,9 g5]al ,not)/&+ any o!r provision ( ,f$]al law1 ! law ( any ,/ate1 or ! con/itution ( any ,/ate1 ! ,corporation %all-- 7,a7 h ! au?ority to act1 9 ! same mann] & to ! same ext5t1 ) respect to an approv$ gu>antor z ! ,f$]al ,deposit ,insurance ,corporation has ) respect to an insur$ depository in/itution "u subsections 7c7 ?r\gh 7s7 ( section #aa ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahba71 section #ab ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahbb71 & section #ac ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahbc71 :ile tailor+ su* actions to ! specific bus9ess model ( ! approv$ gu>antor1 z may be necess>y to prop]ly ex]cise su* au?ority "u ?is subsection2 7,b7 9 c>ry+ out any au?ority provid$ 9 subp>agraph 7,a71 act1 9 ! same mann] & to ! same ext5t1 ) respect to ! ,mortgage ,insurance ,fund z ! ,f$]al ,deposit ,insurance ,corporation may act ) respect to ! ,deposit ,insurance ,fund "u ! provisions ( ! ,f$]al ,deposit ,insurance ,act set =? 9 subp>agraph 7,a72 7,c7 prescribe regulations gov]n+ ! applicable rights1 duties1 & obligations ( an approv$ gu>antor plac$ into resolution "u ?is subsection1 its cr$itors1 c\nt]p>ties1 & o!r p]sons1 z ! ,corporation deems necess>y to prop]ly ex]cise ! au?ority provid$ 9 subp>agraph 7,a72 7,d7 consi/5t ) ! au?orities provid$ 9 subp>agraph 7,a71 imm$iately place an insolv5t approv$ gu>antor into receiv]%ip2 & 7,e7 ^u plac+ an approv$ gu>antor into receiv]%ip1 treat s+le-family cov]$ securities insur$ by ! ,corporation "u section #cjc 9 ! same mann] z ! ,f$]al ,deposit ,insurance ,corporation treats deposit liabilities "u section #aa7;d77#aa77;,a77ii7 ( ! ,f$]al ,deposit ,insurance ,act & insur$ deposits "u section #aa7;f7 ( ! ,f$]al ,deposit ,insurance ,act1 :]e ! ,corporation %all h ! same "r ( subrogation z ! ,f$]al ,deposit ,insurance ,corporation has "u section #aa7;g7 ( ! ,f$]al ,deposit ,insurance ,act4 7#b7 ,lea/-co/ resolution requir$ ,! ,corporation may n ex]cise any au?ority "u p>agraph 7#a7 ) respect to any approv$ gu>antor unless ! total am\nt ( ! exp5ditures by ! ,corporation & obligations incurr$ by ! ,corporation 9 connection ) ! ex]cise ( any su* au?ority ) respect to su* approv$ gu>antor is ! lea/ co/ly to ! ,mortgage ,insurance ,fund1 consi/5t ) ! lea/ co/ approa* specifi$ 9 ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahaa et seq471 ( all possible me?ods = meet+ ! ,corporation's obligations "u ?is ,act & exp$iti\sly conclud+ its resolution activities1 subject to section #ac ( ! ,f$]al ,deposit ,insurance ,act :]e ! ,corporation & ! ,bo>d ( ,directors %all h ! same au?ority z ! ,f$]al ,deposit ,insurance ,corporation & ! ,f$]al ,deposit ,insurance ,corporation's bo>d ( directors4 7#c7 ,taxpay] protection ,! ,corporation1 9 c>ry+ out any au?ority provid$ 9 ?is subsection1 %all prescribe regulations to ensure t any am\nts ow$ to ! ,unit$ ,/ates1 unless ! ,unit$ ,/ates agrees or cons5ts o!rwise1 %all h priority foll[+ adm9i/rative exp5ses ( ! receiv] :5 satisfy+ unsecur$ claims aga9/ an approv$ gu>antor1 or ! receiv] !re=1 t are prov5 to ! satisfaction ( ! receiv]4 7i7 ,he>+ ,^u notice ( d5ial ( an application = approval "u subsection 7b7 or ^u a notice ( susp5sion or revocation ( ! approv$ /atus ( an approv$ gu>antor "u subsection 7c71 ! applicant or approv$ gu>antor %all be af=d$ a he>+ "u subsection 7h7 ( section #h ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7;h771 9 ! same mann] & to ! same ext5t z if ! ,corporation 7 ! appropriate ,f$]al bank+ ag5cy1 provid$ t ! approv$ gu>antor submits a reque/ to ! ,corporation = a he>+ n lat] ?an #aj days aft] ! date on :i* ! notice is publi%$ "u subsection 7b77#c7 or 7c77#c74 7j7 ,o!r activities ,an approv$ gu>antor %all be prohibit$ f be+ an approv$ aggregator4 7k7 ,provision ( pool level insurance ,subject to su* /&>ds z ! ,corporation may provide1 an approv$ gu>antor may provide insurance or o!r cr$it enhancem5t on a pool ( eligible s+le-family mortgage loans collat]aliz+ a s+le-family cov]$ security insur$ "u ?is title4 7l7 ,prohibit$ activity ,an approv$ gu>antor may n-- 7#a7 orig9ate eligible s+le-family mortgage loans2 or 7#b7 be an affiliate ( a p]son t actively engages 9 ! bus9ess ( orig9at+ eligible s+le-family mortgage loans4 7m7 ,gu>antors requir$ to pay claims ,subject to su* /&>ds z ! ,corporation may provide1 an approv$ gu>antor may n = any reason )hold paym5t ( funds t w\ld ensure hold]s ( s+le-family cov]$ securities receive timely paym5t ( pr9cipal & int]e/ on s+le-family cov]$ securities4 ,! ,corporation %all by regulation develop a process = ! m$iation & resolution ( disput$ paym5t am\nts4 #cab4 ,approval & sup]vision ( aggregators 7a7 ,/&>ds = approval ( mortgage aggregators 7#a7 ,9 g5]al ,! ,corporation %all develop1 adopt1 & publi% /&>ds = ! approval by ! ,corporation ( mortgage aggregators to deliv] eligible s+le-family mortgage loans to ! ,securitization ,plat=m = securitization by su* aggregator z a s+le-family cov]$ security4 7#b7 ,requir$ /&>ds ,! /&>ds requir$ "u p>agraph 7#a7 %all include /&>ds ) respect to ! ability ( mortgage aggregator to-- 7,a7 aggregate eligible s+le-family mortgage loans into pools1 includ+ multi-l5d] pools1 z appropriate2 7,b7 transf] inve/m5t risk & cr$it risk to private m>ket p>ticipants 9 accordance ) ! cr$it risk-%>+ me*anisms approv$ by ! ,corporation "u section #cjb2 7,c7 ensure equitable access to ! second>y mortgage m>ket = s+le-family cov]$ securities = all in/itutions reg>dless ( size or geographic location2 & 7,d7 ensure t eligible s+le-family mortgage loans t collat]alize a s+le-family cov]$ security insur$ "u ?is title are orig9at$ 9 compliance ) ! requirem5ts ( ?is ,act4 7#c7 ,additional requir$ /&>ds ,! /&>ds requir$ "u p>agraph 7#a7 %all also include-- 7,a7 ! f9ancial hi/ory & condition ( ! mortgage aggregator2 7,b7 ! adequacy ( ! capital /ructure ( ! mortgage aggregator2 7,c7 ! capability ( ! managem5t ( ! mortgage aggregator2 7,d7 ! g5]al "* & fitness ( ! (fic]s & directors ( ! mortgage aggregator1 includ+ ! compliance hi/ory ( ! mortgage aggregator's (fic]s & directors ) ,f$]al & ,/ate laws & ! rules & regulations promulgat$ by self-regulatory organizations 7z def9$ 9 section #c7;a77#bf7 ( ! ,securities ,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4 #gh;c7a77#bf771 z applicable2 7,e7 ! risk pres5t$ by ! mortgage aggregator to ! ,mortgage ,insurance ,fund2 7,f7 ! adequacy ( insurance & fidelity cov]age ( ! mortgage aggregator2 7,g7 a requirem5t t ! mortgage aggregator submit audit$ f9ancial /atem5ts to ! ,corporation2 7,h7 t ! mortgage aggregator has ! capacity to aggregate mortgage loans 9 a mann] t fur!rs purposes ( ! ,corporation describ$ 9 section #bja7;b77#e72 7,i7 t ! mortgage aggregator is 9 compliance ) section #baj7;a77#c72 & 7,j7 any o!r /&>d ! ,corporation det]m9es necess>y to protect ! ,mortgage ,insurance ,fund4 7#d7 ,rule ( con/ruction ,no?+ 9 subp>agraph 7,h7 ( p>agraph 7#c7 %all be con/ru$ to prev5t ! ,corporation f approv+ a small or specialty mortgage aggregator1 provid$ t ! mortgage aggregator has ! capacity to adequately div]sify its risk to meet appropriate safety & s\ndness conc]ns ( ! ,corporation4 7#e7 ,consultation & coord9ation ,to promote consi/5cy & m9imize regulatory conflict1 ! ,corporation %all consult & coord9ate ) appropriate ,f$]al & ,/ate regulators & (ficials :5 develop+ /&>ds pursuant to ?is subsection4 7b7 ,application & approval 7#a7 ,application process 7,a7 ,9 g5]al ,! ,corporation %all e/abli% an application process1 9 su* =m & mann] & requir+ su* in=mation z ! ,corporation may require1 = ! approval ( a mortgage aggregator "u ?is section4 7,b7 ,application review ,! ,corporation %all e/abli% int]nal timel9es = its process+ ( an application "u ?is section1 includ+ timel9es = any action to approve or to d5y an application "u ?is section4 7#b7 ,approval ,! ,corporation may approve any application made pursuant to p>agraph 7#a71 provid$ ! mortgage aggregator meets ! /&>ds e/abli%$ "u subsection 7a74 7#c7 ,d5ial ,! ,corporation %all h ! au?ority to d5y any application made pursuant to p>agraph 7#a7 if an (fic] or director ( ! mortgage aggregator has1 at any "t prior to ! date ( ! approval ( su* application1 be5-- 7,a7 subject to a /atutory disqualification pursuant to section #c7;a77#ci7 ( ! ,securities ,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4 #gh;c7a77#ci772 or 7,b7 susp5d$1 remov$1 or prohibit$ f p>ticipation pursuant to section #h7;g7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7;g771 prohibit$ f c]ta9 action pursuant to p>agraphs 7#f7 or 7#g7 ( section #h7;e7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7;e771 subject to an action result+ 9 a writt5 agreem5t or o!r writt5 /atem5t "u section #h7u77#a7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7u77#a771 = :i* a violation may be en=c$ by an appropriate ,f$]al bank+ ag5cy1 or subject to any f9al ord] issu$ ) respect to any adm9i/rative en=cem5t proce$+ initiat$ by su* ag5cy "u section #h ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah74 7#d7 ,notice & publication ,! ,corporation %all-- 7,a7 provide prompt notice to a mortgage aggregator ( ! approval or d5ial ( any application ( ! mortgage aggregator to become an approv$ aggregator "u ?is section2 7,b7 publi% a notice 9 ! ,f$]al ,regi/] ^u approval ( any mortgage aggregator2 & 7,c7 ma9ta9 an updat$ li/ ( approv$ aggregators on ! website ( ! ,corporation4 7c7 ,requirem5t to ma9ta9 approval /atus 7#a7 ,au?ority to issue ord] ,if ! ,corporation det]m9es t an approv$ aggregator no long] meets ! /&>ds = su* approval or violates a requirem5t "u ?is ,act1 includ+ any /&>d1 regulation1 or ord] promulgat$ 9 accordance ) ?is ,act1 ! ,corporation may-- 7,a7 susp5d or revoke ! approv$ /atus ( ! approv$ aggregator2 or 7,b7 take any o!r action ) respect to su* approv$ aggregator z may be au?oriz$ "u ?is ,act4 7#b7 ,rule ( con/ruction ,! susp5sion or revocation ( ! approv$ /atus ( an approv$ aggregator "u ?is section %all h no effect on ! /atus z a cov]$ security ( any cov]$ security collat]aliz$ by eligible mortgage loans ) :i* ! approv$ aggregator contract$ prior to ! susp5sion or revocation4 7#c7 ,publication ,! ,corporation %all-- 7,a7 promptly publi% a notice 9 ! ,f$]al ,regi/] ^u susp5sion or revocation ( ! approval ( any approv$ aggregator2 & 7,b7 ma9ta9 an updat$ li/ ( su* approv$ aggregators on ! website ( ! ,corporation4 7#d7 ,def9ition ,9 ?is subsection1 ! t]m violate includes any action1 tak5 alone or ) o!rs1 = or t[>d caus+1 br++ ab\t1 p>ticipat+ 91 c\nsel+1 or aid+ or abett+1 a violation ( ! requirem5ts "u ?is ,act4 7d7 ,prud5tial /&>ds = sup]vision 7#a7 ,9 g5]al ,subject to subsection 7k77#a71 ! ,corporation %all prescribe prud5tial /&>ds = approv$ aggregators 9 ord] to-- 7,a7 ensure-- 7i7 ! safety & s\ndness ( approv$ aggregators2 & 7ii7 ! ma9t5ance ( approval /&>ds by approv$ aggregators2 & 7,b7 m9imize ! risk pres5t$ to ! ,mortgage ,insurance ,fund4 7#b7 ,recognition ( di/9ctions betwe5 aggregators t are insur$ depository in/itutions1 affiliates ( insur$ depository in/itutions1 & ^? t are n ,9 c>ry+ out ! requirem5ts "u p>agraph 7#a71 ! ,corporation %all-- 7,a7 di/+ui% betwe5 prud5tial /&>ds = approv$ aggregators t are insur$ depository in/itutions1 approv$ aggregators t are affiliates ( insur$ depository in/itutions1 & approv$ aggregators t are nei!r insur$ depository in/itutions nor affiliates ( insur$ depository in/itutions2 & 7,b7 consult & coord9ate ) ,f$]al & ,/ate bank+ ag5cies :5 e/abli%+ prud5tial /&>ds = approv$ aggregators t are insur$ depository in/itutions & approv$ aggregators t are affiliates ( insur$ depository in/itutions1 9 ord] to m9imize duplication ( & conflicts ) ! prud5tial /&>ds set by ! appropriate ,f$]al or ,/ate bank+ ag5cies ( insur$ depository in/itutions or ! affiliates ( insur$ depository in/itutions4 7#c7 ,rule ( con/ruction ,no?+ 9 ?is section %all sup]s$e ! prud5tial /&>ds e/abli%$ by ! appropriate ,f$]al bank+ ag5cies4 7e7 ,reports & exam9ations ,= purposes ( ga!r+ in=mation to det]m9e :e!r an approv$ aggregator is fulfill+ ! requirem5ts "u ?is ,act1 ! ,corporation %all h ! au?ority to require reports f & exam9e an approv$ aggregator z foll[s3 7#a7 ,n insur$ depository in/itutions or affiliates ,= an approv$ aggregator t is nei!r an insur$ depository in/itution nor an affiliate ( an insur$ depository in/itution1 ! ,corporation %all h ! au?ority to require reports f & exam9e an approv$ aggregator1 9 ! same mann] & to ! same ext5t z ! ,f$]al ,deposit ,insurance ,corporation has ) respect to an insur$ depository in/itution "u ! provisions ( subsection 7a7 ( section #i ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahai74 7#b7 ,insur$ depository in/itutions & affiliates ,= an approv$ aggregator t is an insur$ depository in/itution or an affiliate ( an insur$ depository in/itutions3 7,a7 ,use ( exi/+ reports to r$uce exam9ations ,to ! fulle/ ext5t possible1 ! ,corporation %all-- 7i7 rely on ! exam9ations1 inspections1 & reports ( ! appropriate ,f$]al or ,/ate bank+ ag5cies2 7ii7 avoid duplication ( exam9ation activities1 report+ requirem5ts1 & reque/s = in=mation2 & 7iii7 ensure t ! depository in/itution hold+ company & ! subsidi>ies ( ! depository in/itution hold+ company are n subject to conflict+ sup]visory dem&s by ! ,corporation & appropriate ,f$]al & ,/ate bank+ ag5cies4 7,b7 ,exam9ation au?ority ,if ! ,corporation det]m9es t ! exam9ations1 inspections1 & reports obta9$ pursuant to subp>agraph 7,a7 are insuffici5t = ! ,corporation to adequately sup]vise an approv$ aggregator = compliance ) ?is ,act1 ! ,corporation %all h ! au?ority to require reports f & exam9e ! approv$ aggregator = compliance ) ?is ,act1 9 ! same mann] & to ! same ext5t z ! ,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve ,sy/em has ) respect to a subsidi>y ( a bank hold+ companyund] ! provisions ( p>agraphs 7#a7 & 7#b7 ( subsection 7c7 ( section #e ( ! ,bank ,hold+ ,company ,act 7#ab ,u4,s4,c4 #ahdd74 7,c7 ,regulatory notice 7i7 ,regulatory notice ,be=e comm5c+ an exam9ation ( an approv$ aggregator "u ?is p>agraph1 ! ,corporation %all provide reasonable notice to1 & coord9ate )1 ! appropriate ,f$]al or ,/ate bank+ ag5cy or ,/ate regulatory ag5cy4 7ii7 ,rule ( con/ruction ,no?+ 9 ?is ,act %all limit ! au?ority ( ! ,corporation to require reports ( & exam9e an approv$ aggregator-- 7,i7 to v]ify ! sale (1 & funds receiv$ f1 ! fir/ loss position2 & 7,,ii7 :5 ! ,corporation becomes aw>e-- 7aa7 ( a mat]ial ?reat to ! safety & s\ndness ( ! approv$ aggregator2 7bb7 t ! approv$ aggregator is 9 mat]ial violation ( ?is ,act or ! rules promulgat$ by ! ,corporation pursuant to ?is ,act2 or 7cc7 t ! activities ( ! approv$ aggregator ?reat5 ! f9ancial /ability ( ! h\s+ f9ance sy/em or ! ,mortgage ,insurance ,fund4 7f7 ,en=cem5t ,! ,corporation %all h ! au?ority to en=ce ! provisions ( ?is ,act ) respect to an approv$ aggregator1 9 ! same mann] & to ! same ext5t z ! ,f$]al ,deposit ,insurance ,corporation has ) respect to an insur$ depository in/itution "u ! provisions ( subsections 7b7 ?r\gh 7n7 ( section #h ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah71 provid$ t to ! ext5t t ! ,corporation & an appropriate ,f$]al bank+ ag5cy are ea* au?oriz$ to en=ce prud5tial /&>ds ) respect to an approv$ aggregator t is an insur$ depository in/itution or an affiliate ( an insur$ depository in/itution1 ! appropriate ,f$]al bank+ ag5cy %all h prim>y au?ority to en=ce su* /&>ds4 7g7 ,capital /&>ds ,= approv$ aggregators t are nei!r an insur$ depository in/itution nor an affiliate ( an insur$ depository in/itution ! foll[+ %all apply3 7#a7 ,9 g5]al ,pursuant to ! requirem5t to e/abli% capital & relat$ solv5cy /&>ds "u section #cji7;b71 ! ,corporation %all e/abli% /&>ds = approv$ aggregators t require an approv$ aggregator-- 7,a7 to hold capital 9 an am\nt comp>able to t :i* is requir$ to be held by insur$ depository in/itutions & _! affiliates ) respect to _! applicable aggregat+ activities2 & 7,b7 to ma9ta9 solv5cy levels adequate = ! approv$ aggregator to )/& losses t might be incurr$ by ! approv$ aggregator 9 a p]iod ( economic /ress1 includ+ national & regional home price decl9es1 su* z ^? obs]v$ dur+ mod]ate to sev]e recessions 9 ! ,unit$ ,/ates4 7#b7 ,/ress te/s ,! ,corporation %all conduct appropriate /ress te/s ( ea* approv$ aggregator t has total assets ( m ?an #aj1jjj1jjj1jjj1 provid$ t su* /ress te/s %all be-- 7,a7 specifically tailor$ to ! bus9ess model ( ! approv$ aggregator2 7,b7 utiliz$ to-- 7i7 ensure ! safety & s\ndness ( ! approv$ aggregator2 & 7ii7 m9imize ! risk ! approv$ aggregator may pres5t to ! ,mortgage ,insurance ,fund2 & 7,c7 coord9at$ ) ! ,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve ,sy/em1 if ! approv$ aggregator is an affiliate ( an insur$ depository in/itution4 7h7 ,resolution au?ority = fail+ aggregators 7#a7 ,9 g5]al ,not)/&+ any o!r provision ( ,f$]al law1 ! law ( any ,/ate1 or ! con/itution ( any ,/ate1 ! ,corporation %all-- 7,a7 h ! au?ority to act1 9 ! same mann] & to ! same ext5t1 ) respect to an approv$ aggregator t is n an insur$ depository in/itution z ! ,f$]al ,deposit ,insurance ,corporation has ) respect to an insur$ depository in/itution "u subsections 7c7 ?r\gh 7s7 ( section #aa ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahba71 section #ab ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahbb71 & section #ac ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahbc71 :ile tailor+ su* actions to ! specific bus9ess model ( ! approv$ aggregator1 z may be necess>y to prop]ly ex]cise su* au?ority "u ?is subsection2 7,b7 9 c>ry+ out any au?ority provid$ "u subp>agraph 7,a71 act1 9 ! same mann] & to ! same ext5t1 ) respect to ! ,mortgage ,insurance ,fund z ! ,f$]al ,deposit ,insurance ,corporation may act ) respect to ! ,deposit ,insurance ,fund "u ! provisions ( ! ,f$]al ,deposit ,insurance ,act set =? 9 subp>agraph 7,a72 7,c7 prescribe regulations gov]n+ ! applicable rights1 duties1 & obligations ( an approv$ aggregator t is n an insur$ depository in/itution plac$ into resolution "u ?is subsection1 its cr$itors1 c\nt]p>ties1 & o!r p]sons1 z ! ,corporation deems necess>y to prop]ly ex]cise ! au?ority provid$ 9 subp>agraph 7,a72 & 7,d7 consi/5t ) ! au?orities provid$ 9 subp>agraph 7,a71 imm$iately place an insolv5t approv$ aggregator t is n an insur$ depository in/itution into receiv]%ip4 7#b7 ,rule ( con/ruction ,if an insolv5t approv$ aggregator is an insur$ depository in/itution1 ! ,corporation %all recomm5d1 9 writ+1 to su* approv$ aggregator's appropriate ,f$]al bank+ ag5cy or ,/ate bank+ regulator to resolve su* approv$ aggregator1 :i* ag5cy %all h sole au?ority to resolve su* aggregator pursuant to section #aa7;c7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahba7;c77 & o!r appropriate sections ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahaa et seq47 or appropriate ,f$]al or ,/ate law1 z applicable4 7#c7 ,lea/-co/ resolution requir$ ,! ,corporation may n ex]cise any au?ority "u p>agraph 7#a7 ) respect to any approv$ aggregator t is n an insur$ depository in/itution unless ! total am\nt ( ! exp5ditures by ! ,corporation & obligations incurr$ by ! ,corporation 9 connection ) ! ex]cise ( any su* au?ority ) respect to su* approv$ aggregator is ! lea/ co/ly to ! ,mortgage ,insurance ,fund1 consi/5t ) ! lea/ co/ approa* specifi$ 9 ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahaa et seq471 ( all possible me?ods = meet+ ! ,corporation's obligations "u ?is ,act & exp$iti\sly conclud+ its resolution activities1 subject to section #ac ( ! ,f$]al ,deposit ,insurance ,act :]e ! ,corporation & ! ,bo>d ( ,directors %all h ! same au?ority z ! ,f$]al ,deposit ,insurance ,corporation & ! ,f$]al ,deposit ,insurance ,corporation's bo>d ( directors4 7#d7 ,taxpay] protection ,! ,corporation1 9 c>ry+ out any au?ority provid$ 9 ?is subsection1 %all prescribe regulations to ensure t any am\nts ow$ to ! ,unit$ ,/ates1 unless ! ,unit$ ,/ates agrees or cons5ts o!rwise1 %all h priority foll[+ adm9i/rative exp5ses ( ! receiv] :5 satisfy+ unsecur$ claims aga9/ an approv$ aggregator1 or ! receiv] !re=1 t are prov5 to ! satisfaction ( ! receiv]4 7i7 ,he>+ ,^u notice ( d5ial ( an application = approval "u subsection 7b7 or ^u a notice ( susp5sion or revocation ( ! approv$ /atus ( an approv$ aggregator "u subsection 7c71 ! applicant or approv$ aggregator %all be af=d$ a he>+ "u subsection 7h7 ( section #h ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7;h771 9 ! same mann] & to ! same ext5t z if ! ,corporation 7 ! appropriate ,f$]al bank+ ag5cy1 provid$ t ! approv$ aggregator submits a reque/ to ! ,corporation = a he>+ n lat] ?an #aj days aft] ! date on :i* ! notice is publi%$ "u subsection 7b77#c7 or 7c77#c74 7j7 ,o!r activities ,an approv$ aggregator %all be prohibit$ f be+ an approv$ gu>antor4 7k7 ,in=mation %>+ reg>d+ insur$ depository in/itutions & affiliates ( insur$ depository in/itutions 7#a7 ,by ! ,corporation ,to ! ext5t ! ,corporation has relevant in=mation indicat+ t an approv$ aggregator t is an insur$ depository in/itution or an affiliate ( an insur$ depository in/itution 7,a7 faces a mat]ial ?reat to its safety & s\ndness1 includ+ insuffici5t capital1 7,b7 may be 9 mat]ial violation ( ,f$]al bank+ law1 or 7,c7 may ?reat5 ! f9ancial /ability ( ! h\s+ f9ance sy/em or ! ,mortgage ,insurance ,fund1 ! ,corporation %all notify1 9 writ+1 su* appropriate ,f$]al bank+ ag5cy t su* conditions exi/4 ,! ,corporation %all h no au?ority to en=ce prud5tial /&>ds e/abli%$ by an appropriate ,f$]al bank+ ag5cy pursuant to ! appropriate ,f$]al bank+ ag5cy's au?ority4 7#b7 ,by ,f$]al & ,/ate bank+ ag5cies ,to ! ext5t an appropriate ,f$]al bank+ ag5cy or ,/ate bank+ ag5cy has relevant in=mation indicat+ t an approv$ aggregator t is an insur$ depository in/itution or an affiliate ( an insur$ depository in/itution 7,a7 faces a mat]ial ?reat to its safety & s\ndness1 includ+ insuffici5t capital1 7,b7 may be 9 mat]ial violation ( ?is ,act or ! rules promulgat$ by ! ,corporation pursuant to ?is ,act1 or 7,c7 may ?reat5 ! f9ancial /ability ( ! h\s+ f9ance sy/em or ! ,mortgage ,insurance ,fund1 su* appropriate ,f$]al bank+ ag5cy or ,/ate bank+ ag5cy %all notify1 9 writ+1 ! ,corporation t su* conditions exi/4 7l7 ,rule ( con/ruction reg>d+ pres]vation ( ,corporation au?ority ,no?+ 9 ?is section limits1 or %all be con/ru$ to limit1 ! au?ority ( ! ,corporation to provide exemptions to1 or adju/m5ts =1 ! provisions ( ?is section bas$ on ! asset size ( an approv$ aggregator1 or o!r crit]ia1 z ! ,corporation deems appropriate1 9 ord] to r$uce regulatory burd5s :ile appropriately balanc+ protection ( ! ,mortgage ,insurance ,fund4 7m7 ,f$]al ,home ,loan ,banks1 jo9t (fices1 & bank subsidi>ies z aggregators 7#a7 ,f$]al ,home ,loan ,bank ,act 7,a7 ,e/abli%m5t ( jo9t (fices & subsidi>ies 7i7 ,am5dm5t ,section #ab ( ! ,f$]al ,home ,loan ,bank ,act 7#ab ,u4,s4,c4 #adcb7 is am5d$ by add+ at ! end ! foll[+3 7c7 ,subject to su* regulations z may be prescrib$ by ! ,ag5cy1 9 coord9ation ) ! ,f$]al ,mortgage ,insurance ,corporation1 #a or m ,f$]al ,home ,loan ,banks may e/abli% a subsidi>y or jo9t (fice 9 any =m "u ! laws ( any ,/ate1 subject to ! approval ( ! ,corporation4 ,any subsidi>y or jo9t (fice e/abli%$ "u ?is subsection %all be re/rict$ to engag+ 9 activities relat$ to be+ an approv$ aggregator1 z t t]m is def9$ "u section #b ( ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad4 7d7 ,subject to su* regulations z may be prescrib$ by ! ,ag5cy1 9 coord9ation ) ! ,f$]al ,mortgage ,insurance ,corporation1 #a or m ,f$]al ,home ,loan ,banks or any subsidi>y or jo9t (fice ( a ,f$]al ,home ,loan ,bank e/abli%$ "u subsection 7c7 may apply to become1 & may become1 an approv$ aggregator1 z t t]m is def9$ "u section #b ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad4 4 7ii7 ,effective date ,! am5dm5ts made by clause 7i7 %all take effect on ! sy/em c]tification date4 7,b7 ,c,d,f,is 7i7 ,am5dm5t ,section #aj7;a7 ( ! ,f$]al ,home ,loan ,bank ,act 7#ab ,u4,s4,c4 #adcj7;a77 is am5d$-- 7,i7 9 p>agraph 7#b77;,b71 by ins]t+ or community developm5t f9ancial in/itution 7z def9$ 9 section #ajc ( ! ,riegle ,community ,developm5t & ,regulatory ,improvem5t ,act ( #aiid 7#ab ,u4,s4,c4 #dgjb77 aft] community f9ancial in/itution2 & 7,,ii7 9 p>agraph 7#c77;,e71 by ins]t+ or community developm5t f9ancial in/itution 7z def9$ 9 section #ajc ( ! ,riegle ,community ,developm5t & ,regulatory ,improvem5t ,act ( #aiid 7#ab ,u4,s4,c4 #dgjb77 aft] community f9ancial in/itution4 7ii7 ,effective date ,! am5dm5t made by clause 7i7 %all take effect on ! ag5cy transf] date4 7#b7 ,n consolidat$ debt ,not)/&+ section #aa ( ! ,f$]al ,home ,loan ,bank ,act 7#ab ,u4,s4,c4 #adca71 any cov]$ security secur$ by eligible mortgage loans transf]r$ to ! ,plat=m by a ,f$]al ,home ,loan ,bank or subsidi>y or jo9t (fice !re(1 act+ z an approv$ aggregator1 %all n be designat$ z1 or consid]$ to be ! jo9t & sev]al obligations ( ! ,f$]al ,home ,loan ,banks4 #cac4 ,approval ( private mortgage insur]s 7a7 ,/&>ds = approval ( private mortgage insur]s 7#a7 ,9 g5]al ,! ,corporation %all develop1 adopt1 & publi% /&>ds = ! approval by ! ,corporation ( private mortgage insur]s to provide private mortgage loan insurance on eligible s+le-family mortgage loans t collat]alize s+le-family cov]$ securities4 7#b7 ,requir$ /&>ds ,! /&>ds requir$ "u p>agraph 7#a7 %all include-- 7,a7 ! f9ancial hi/ory & curr5t f9ancial condition1 includ+ capital & loss res]ves to comply ) any applicable ,/ate law or regulation1 ( ! private mortgage insur]2 7,b7 ! capability ( ! managem5t ( ! private mortgage insur]2 7,c7 ! g5]al "* & fitness ( ! (fic]s & directors ( ! private mortgage insur]1 includ+ ! compliance hi/ory ( ! private mortgage insur]'s (fic]s & directors ) ,f$]al & ,/ate laws & ! rules & regulations promulgat$ by self-regulatory organizations 7z def9$ 9 section #c7;a77#bf7 ( ! ,securities ,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4 #gh;c7a77#bf771 z applicable2 7,d7 t ! private mortgage insur] has ! capacity to insure eligible s+le-family mortgage loans 9 a mann] to comply ) any applicable ,/ate law or regulation & t fur!rs ! purposes ( ! ,corporation z describ$ 9 section #bja7;b77#e72 7,e7 ! risk pres5t$ by ! private mortgage insur] to ! ,mortgage ,insurance ,fund2 7,f7 ! adequacy ( insurance & fidelity cov]age ( ! private mortgage insur]2 7,g7 a requirem5t t ! private mortgage insur] submit audit$ f9ancial /atem5ts to ! ,corporation2 & 7,h7 any o!r /&>d ! ,corporation1 aft] notice & public comm5t1 det]m9es necess>y to avoid significant risk to ! ,mortgage ,insurance ,fund1 provid$ ! /&>d does n mat]ially conflict ) ,/ate law4 7#c7 ,rule ( con/ruction ,no?+ 9 subp>agraph 7,d7 ( p>agraph 7#b7 %all be con/ru$ to prev5t ! ,corporation f approv+ a small or specialty private mortgage insur]1 provid$ t ! private mortgage insur] has ! capacity to adequately div]sify its risk to meet solv5cy /&>ds requir$ by any applicable ,/ate law or regulation4 7#d7 ,consultation & coord9ation ,to promote consi/5cy & m9imize regulatory conflict1 ! ,corporation %all consult & coord9ate ) appropriate ,f$]al regulators & ,/ate regulators & (ficials :5 develop+ /&>ds pursuant to ?is subsection4 7b7 ,application & approval 7#a7 ,application process 7,a7 ,9 g5]al ,! ,corporation %all e/abli% an application process1 9 su* =m & mann] & requir+ su* in=mation z ! ,corporation may require1 = ! approval ( a private mortgage insur] "u ?is section4 7,b7 ,application review ,! ,corporation %all e/abli% int]nal timel9es = its process+ ( an application "u ?is section1 includ+ timel9es = any action to approve or to d5y an application "u ?is section4 7,c7 ,notification ,! ,corporation %all notify ! appropriate ,/ate insurance regulator ^u receipt ( any application by a private mortgage insur] to become an approv$ private mortgage insur] "u ?is section4 7#b7 ,approval ,! ,corporation may approve any application made pursuant to p>agraph 7#a71 provid$ ! private mortgage insur] meets ! /&>ds e/abli%$ "u subsection 7a74 7#c7 ,d5ial ,! ,corporation %all h ! au?ority to d5y any application made pursuant to p>agraph 7#a7 if an (fic] or director ( ! private mortgage insur] has1 at any "t prior to ! date ( ! approval ( su* application1 be5-- 7,a7 subject to a /atutory disqualification pursuant to section #c7;a77#ci7 ( ! ,securities ,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4 #gh;c7a77#ci772 or 7,b7 susp5d$1 remov$1 or prohibit$ f p>ticipation pursuant to section #h7;g7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7;g771 prohibit$ f c]ta9 action pursuant to p>agraphs 7#f7 or 7#g7 ( section #h7;e7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7;e771 subject to an action result+ 9 a writt5 agreem5t or o!r writt5 /atem5t "u section #h7u77#a7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7u77#a771 = :i* a violation may be en=c$ by an appropriate ,f$]al bank+ ag5cy1 or subject to any f9al ord] issu$ ) respect to any adm9i/rative en=cem5t proce$+ initiat$ by su* ag5cy "u section #h ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah74 7#d7 ,notice & publication ,! ,corporation %all-- 7,a7 provide prompt notice to a private mortgage insur] ( ! approval or d5ial ( any application ( ! private mortgage insur] to become an approv$ private mortgage insur] "u ?is section2 7,b7 publi% a notice 9 ! ,f$]al ,regi/] ^u approval ( any private mortgage insur]2 7,c7 ma9ta9 an updat$ li/ ( approv$ private mortgage insur]s on ! website ( ! ,corporation2 & 7,d7 provide prompt notice to ! appropriate ,/ate insurance regulator ^u ! approval or d5ial ( any application ( a private mortgage insur] to become an approv$ private mortgage insur] "u ?is section4 7#e7 ,gr&fa!r$ insur]s ( ! ent]prises ,any private mortgage insur] :o 0 approv$ to insure mortgage loans = an ent]prise on ! date t is #a day be=e ! date ! ,corporation publi%es ! provisional /&>ds = ! approval ( private mortgage insur]s requir$ "u section #fjg7;a77#b71 & 0 9 good /&+ z ( su* date-- 7,a7 %all be deem$ conditionally approv$ = a p]iod ( #a ye> f ! date on :i* ! ,corporation publi%es ! provisional /&>ds = ! approval ( private mortgage insur]s requir$ "u section #fjg7;a77#b72 7,b7 %all1 n lat] ?an ! date :i* is #f mon?s aft] date on :i* ! ,corporation publi%es ! /&>ds requir$ "u subsection 7a71 apply = approv$ /atus via ! application process describ$ 9 ?is subsection to be eligible = approv$ /atus2 & 7,c7 %all1 provid$ ! private mortgage insur] has compli$ ) subp>agraph 7,b71 receive a det]m9ation f ! ,corporation z to ! approval or d5ial ( its application to become an approv$ private mortgage insur] prior to ! expiration ( ! #a-ye> p]iod describ$ "u subp>agraph 7,a74 7c7 ,requirem5t to ma9ta9 approval /atus 7#a7 ,au?ority to issue ord] ,if ! ,corporation det]m9es t an approv$ private mortgage insur] no long] meets ! /&>ds = su* approval or violates a requirem5t "u ?is section1 includ+ any /&>d1 regulation1 or ord] promulgat$ 9 accordance ) ?is ,act1 ! ,corporation may-- 7,a7 provide prompt notice to ! appropriate ,/ate insurance regulator t ! ,corporation det]m9es t an approv$ private mortgage insur] no long] meets ! /&>d = su* approval2 7,b7 susp5d or revoke ! approv$ /atus ( ! approv$ private mortgage insur]2 or 7,c7 take any o!r action ) respect to su* approv$ private mortgage insur] z may be au?oriz$ "u ?is ,act4 7#b7 ,rule ( con/ruction ,! susp5sion or revocation ( ! approv$ /atus ( an approv$ private mortgage insur] "u ?is section %all h no effect on ! /atus z a cov]$ security ( any cov]$ security collat]aliz$ by eligible mortgage loans ) :i* ! approv$ private mortgage insur] contract$ prior to ! susp5sion or revocation4 7#c7 ,publication ,! ,corporation %all-- 7,a7 promptly publi% a notice 9 ! ,f$]al ,regi/] ^u susp5sion or revocation ( ! approval ( any approv$ private mortgage insur]2 & 7,b7 ma9ta9 an updat$ li/ ( su* approv$ private mortgage insur]s on ! website ( ! ,corporation4 7#d7 ,def9ition ,9 ?is subsection1 ! t]m violate includes any action1 tak5 alone or ) o!rs1 = or t[>d caus+1 br++ ab\t1 p>ticipat+ 91 c\nsel+1 or aid+ or abett+1 a violation ( ! requirem5ts "u ?is ,act4 7d7 ,/ate regulation ,! appropriate ,/ate insurance regulator ( an approv$ private mortgage insur] has prim>y au?ority to exam9e & sup]vise ! approv$ private mortgage insur]4 7e7 ,reports & exam9ations 7#a7 ,9 g5]al ,= purposes ( det]m9+ :e!r an approv$ private mortgage insur] is fulfill+ ! requirem5ts "u ?is ,act1 ! ,corporation may1 9 coord9ation ) ! appropriate ,/ate insurance regulator ( ! approv$ private mortgage insur]1 includ+ provid+ ! appropriate ,/ate insurance regulator ! opportunity to jo9 ! ,corporation 9 an on-site exam9ation1 exam9e or review any approv$ private mortgage insur] if ! ,corporation has sub/antial reason to believe-- 7,a7 t an approv$ private mortgage insur] has engag$ 9 a mat]ial violation or patt]n ( violations ( ?is ,act or ! rules promulgat$ pursuant to ?is ,act2 or 7,b7 t ! activities ( an approv$ private mortgage insur] may ?reat5 ! f9ancial /ability ( ! h\s+ f9ance sy/em or ! ,mortgage ,insurance ,fund4 7#b7 #c-ye> compliance exam9ation ,9 addition to ! au?ority "u p>agraph 7#a71 ! ,corporation %all conduct an exam9ation ( an approv$ private mortgage insur] once1 b n m ?an once1 e #c ye>s1 provid$ ! approv$ private mortgage insur] has n be5 exam9$ on-site by an appropriate ,/ate insurance regulator4 7#c7 ,coord9ation ,9 conduct+ an exam or review au?oriz$ pursuant to p>agraph 7#a7 or p>agraph 7#b71 ! ,corporation %all-- 7,a7 provide reasonable notice to1 & coord9ate )1 ! appropriate ,/ate insurance regulator = an approv$ private mortgage insur] be=e comm5c+ an exam9ation ( ! approv$ private mortgage insur] "u ?is section2 7,b7 to ! fulle/ ext5t possible1 avoid duplication ( exam9ation activities1 report+ requirem5ts1 & reque/s = in=mation1 includ+ by rely+ on exi/+ exam9ations1 inspections1 & reports ( ! appropriate ,/ate insurance regulator2 & 7,c7 ensure t ! approv$ private mortgage insur] is n subject to conflict+ sup]visory dem&s by ! ,corporation & ,/ate insurance regulators1 z appropriate4 7#d7 ,notice ( det]m9ation ,! ,/ate insurance regulator ( an approv$ private mortgage insur] %all notify ! ,corporation if !re has be5 a f9al det]m9ation t ! approv$ private mortgage insur] is 9 a haz>d\s f9ancial condition provid$ t ! ,corporation agrees to ma9ta9 ! confid5tiality or privileg$ /atus ( ! docum5t1 mat]ial1 or o!r in=mation receiv$ f ! ,/ate insurance regulator ( ! approv$ private mortgage insur]4 7f7 ,en=cem5t 7#a7 ,9 g5]al ,! ,corporation %all h ! au?ority to en=ce ! provisions ( ?is section ) respect to a private mortgage insur]1 9 ! same mann] & to ! same ext5t z ! ,f$]al ,deposit ,insurance ,corporation has ) respect to an insur$ depository in/itution "u ! provisions ( subsections 7b7 ?r\gh 7n7 ( section #h ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah71 provid$ ! ,corporation demon/rates t su* en=cem5t action is necess>y to avoid significant risk to ! ,mortgage ,insurance ,fund4 7#b7 ,notification ,prior to tak+ any en=cem5t action aga9/ an approv$ private mortgage insur]1 ! ,corporation %all promptly notify1 consult1 & coord9ate ) ! appropriate ,/ate insurance regulator4 7g7 ,resolution au?ority 7#a7 ,9 g5]al ,= any approv$ private mortgage insur] t ! ,corporation has sub/antial reason to believe is insolv5t1 z def9$ by applicable ,/ate law1 & w\ld o!rwise be subject to receiv]%ip proce$+s "u su* applicable ,/ate law1 ! ,corporation %all recomm5d1 9 writ+1 t ! ,/ate insurance regulator = su* approv$ private mortgage insur] take su* actions z are necess>y & au?oriz$ "u applicable ,/ate law to resolve su* approv$ private mortgage insur]4 7#b7 ,backup au?ority ,not)/&+ ! requirem5t "u p>agraph 7#a71 if1 aft] ! end ( ! #fj-;day p]iod beg9n+ on ! date on :i* ! ,corporation provides its writt5 recomm5dation pursuant to p>agraph 7#a71 ! appropriate ,/ate insurance regulator has n fil$ ! appropriate judicial action 9 ! appropriate ,/ate c\rt to place su* approv$ private mortgage insur] into receiv]%ip "u ! laws & requirem5ts ( ! ,/ate1 ! ,corporation %all h ! au?ority to /& 9 ! place ( ! appropriate regulatory ag5cy & file ! appropriate judicial action 9 ! appropriate ,/ate c\rt to place su* approv$ private mortgage insur] into receiv]%ip "u ! laws & requirem5ts ( ! ,/ate4 7h7 ,he>+ ,^u notice ( d5ial ( an application = approval "u subsection 7b7 or ^u a notice ( susp5sion or revocation ( ! approv$ /atus ( an approv$ private mortgage insur] "u subsection 7c71 ! applicant or approv$ private mortgage insur] %all be af=d$ a he>+ "u subsection 7h7 ( section #h ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7;h771 9 ! same mann] & to ! same ext5t z if ! ,corporation 7 ! appropriate ,f$]al bank+ ag5cy1 provid$ t ! approv$ private mortgage insur] submits a reque/ to ! ,corporation = a he>+ n lat] ?an #aj days aft] ! date on :i* ! notice is publi%$ "u subsection 7b77#c7 or 7c77#c74 7i7 ,rule ( con/ruction reg>d+ pres]vation ( ,corporation au?ority ,no?+ 9 ?is section limits1 or %all be con/ru$ to limit1 ! au?ority ( ! ,corporation to provide exemptions to1 or adju/m5ts =1 ! provisions ( ?is section bas$ on ! asset size ( approv$ private mortgage insur]s1 or o!r crit]ia1 z ! ,corporation deems appropriate1 9 ord] to r$uce regulatory burd5s :ile appropriately balanc+ ! protection ( ! ,mortgage ,insurance ,fund4 #cad4 ,approval ( s]vic]s 7a7 ,/&>ds = approval ( s]vic]s 7#a7 ,9 g5]al ,! ,corporation %all1 by regulation1 e/abli% /&>ds = ! approval by ! ,corporation ( s]vic]s to adm9i/] eligible s+le-family mortgage loans1 includ+ /&>ds ) respect to-- 7,a7 ! collection & =w>d+ ( pr9cipal & int]e/ paym5ts2 7,b7 ! ma9t5ance ( escr[ acc\nts2 7,c7 ! collection & paym5t ( taxes & bona fide insurance premiums2 7,d7 ! ma9t5ance ( records on eligible s+le-family mortgage loans2 7,e7 ! e/abli%m5t ( loss mitigation options t seek to enhance value & prev5t1 to greate/ ext5t possible1 ! ne$ to trigg] a claim on insurance (f]$ by ! ,corporation pursuant to ?is title1 includ+ by-- 7i7 e/abli%+1 by rule1 a consi/5t process ?r\gh :i* borr[]s1 :o h submitt$ an initial loan modification reque/1 w be evaluat$ by s]vic]s & ! securitization tru/ = an af=dable loan modification2 & 7ii7 provid+ cle> guidance reg>d+ ! treatm5t ( second li5 hold]s1 tak+ into consid]ation ! priority & subord9ation ( li5s "u ,f$]al & ,/ate laws2 7,f7 ! advancem5t ( pr9cipal & int]e/ paym5ts to inve/ors 9 ! case ( a del9qu5cy by a borr[] until su* "t z ! borr[] has made all paym5ts 9 arre>s1 ! borr[] has ent]$ into a repaym5t plan or modification1 an approv$ entity or regulat$ entity has pur*as$ ! loan1 or ! prop]ty secur+ ! eligible s+le-family mortgage loan has be5 liquidat$1 includ+ specification t ! s]vic] %all recov] advances ^u p]man5t modification ( a borr[]'s mortgage loan2 7,g7 ! e/abli%m5t ( proc$ures "u :i* ! s]vic] may initiate or cont9ue a =eclosure1 9 accordance ) applicable ,f$]al & ,/ate laws & regulations t-- 7i7 take into acc\nt-- 7,i7 ! s]vic]'s evaluation (1 & agreem5ts )1 borr[]s = loss mitigation options pursuant to subp>agraph 7,e72 7,,ii7 pot5tial losses caus$ by delays 9 collat]al recov]y2 & 7,,iii7 ! ne$ to m9imize risks to ! ,mortgage ,insurance ,fund2 & 7ii7 provide ! borr[]1 ^u reque/1 docum5tation e/abli%+ ! "r ( ! mortgagee to =eclose2 7,h7 ! provision ( eligible s+le-family mortgage loan in=mation to borr[]s1 ^u reque/1 includ+ a copy ( ! pool+ & s]vic+ agreem5t & securitization tru/ requirem5ts t address ! ability ( ! s]vic] to (f] loss mitigation options2 & 7,i7 implem5t+ ! t]ms ( any loss mitigation & =eclosure prev5tion z requir$ by any uni=m securitization agreem5t develop$ "u section #cbf4 7#b7 ,additional requir$ /&>ds ,! /&>ds requir$ "u p>agraph 7#a7 %all also include-- 7,a7 ! f9ancial hi/ory & condition ( ! s]vic]2 7,b7 ! capability ( ! managem5t ( ! s]vic]2 7,c7 ! g5]al "* & fitness ( ! (fic]s & directors ( ! s]vic]1 includ+ ! compliance hi/ory ( ! s]vic]'s (fic]s & directors ) ,f$]al & ,/ate laws & ! rules & regulations promulgat$ by self-regulatory organizations 7z def9$ 9 section #c7;a77#bf7 ( ! ,securities ,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4 #gh;c7a77#bf771 z applicable2 7,d7 ! risk pres5t$ by su* s]vic] to ! ,mortgage ,insurance ,fund2 & 7,e7 m9imum op]ational & managem5t /&>ds = ! s]vic]1 includ+ ) respect to-- 7i7 int]nal controls2 7ii7 recordkeep+2 7iii7 int]nal audit sy/ems2 7iv7 ! ma9t5ance ( adequate liquidity & res]ves2 & 7v7 report+ /&>ds to ! ,corporation & inve/ors1 includ+ audit$ f9ancial /atem5ts4 7#c7 ,coord9ation1 consi/5cy1 & comp>ability ,to promote consi/5cy & m9imize regulatory conflict1 ! ,comptroll] ( ! ,curr5cy1 ! ,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve ,sy/em1 ! ,f$]al ,deposit ,insurance ,corporation1 ! ,bureau ( ,consum] ,f9ancial ,protection1 ! ,national ,cr$it ,union ,adm9i/ration1 & ! ,corporation %all-- 7,a7 consult & coord9ate ) ea* o!r 9 develop+ & issu+ regulations ) respect to ! rules & /&>ds = ! s]vic+ ( eligible s+le-family mortgage loans2 & 7,b7 review exi/+ regulations ) respect to mortgage loan s]vic+ rules & /&>ds4 7#d7 ,consultation & coord9ation ) ,/ate regulators ,to promote consi/5cy & m9imize regulatory conflict1 ! ,corporation %all consult & coord9ate ) appropriate ,/ate regulators 9 develop+ & issu+ regulations ) respect to ! rules & /&>ds = ! s]vic+ ( eligible s+le-family mortgage loans4 7b7 ,application & approval 7#a7 ,application process ,! ,corporation %all e/abli% an application process-- 7,a7 9 su* =m & mann] & requir+ su* in=mation z ! ,corporation may require1 = ! approval ( a s]vic] "u ?is section2 & 7,b7 t does n discrim9ate aga9/ or o!rwise disadvantage small s]vic]s4 7#b7 ,approval 7,a7 ,9 g5]al ,! ,corporation may approve any application made pursuant to p>agraph 7#a7 provid$ ! s]vic] meets ! /&>ds adopt$ "u subsection 7a74 7,b7 ,prompt notice ,! ,corporation %all notify any applicant seek+ to become an approv$ s]vic] "u ?is section ( ! decision ( ! ,corporation ) respect to su* approval z promptly z practicable4 7#c7 ,d5ial ,! ,corporation %all h ! au?ority to d5y any application made pursuant to p>agraph 7#a7 if an (fic] or director ( ! s]vic] has1 at any "t prior to ! date ( ! approval ( su* application1 be5-- 7,a7 subject to a /atutory disqualification pursuant to section #c7;a77#ci7 ( ! ,securities ,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4 #gh;c7a77#ci772 or 7,b7 susp5d$1 remov$1 or prohibit$ f p>ticipation pursuant to section #h7;g7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7;g771 prohibit$ f c]ta9 action pursuant to p>agraphs 7#f7 or 7#g7 ( section #h7;e7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7;e771 subject to an action result+ 9 a writt5 agreem5t or o!r writt5 /atem5t "u section #h7u77#a7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7u77#a771 = :i* a violation may be en=c$ by an appropriate ,f$]al bank+ ag5cy1 or subject to any f9al ord] issu$ ) respect to any adm9i/rative en=cem5t proce$+ initiat$ by su* ag5cy "u section #h ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah74 7#d7 ,gr&fa!r$ s]vic]s ( ! ent]prises ,any s]vic] :o 0 approv$ to s]vice mortgage loans = an ent]prise on ! date t is #a day be=e ! date ( enactm5t ( ?is ,act1 & 0 9 good /&+ z ( su* date1 %all be deem$ to be an approv$ s]vic] = purposes ( initial s]vic] approval by ! ,corporation & !reaft] subject to ! requirem5ts ( ?is section z an approv$ s]vic]4 7#e7 ,small s]vic] exemption 7,a7 ,9 g5]al ,! ,corporation %all1 by regulation1 provide exemptions to1 or adju/m5ts =1 ! provisions ( ?is section = approv$ s]vic]s t s]vice #g1ejj or few] eligible s+le-family mortgage loans1 9 ord] to r$uce regulatory burd5s :ile appropriately balanc+ protection ( ! ,mortgage ,insurance ,fund4 7,b7 ,limitation ( exemption eligibility ,an approv$ s]vic] & its subsidi>ies & affiliates %all be consid]$ a s+le entity = purposes ( ! exemption "u subp>agraph 7,a74 7#f7 ,,respa am5dm5t ,section #f ( ! ,real ,e/ate ,settlem5t ,proc$ures ,act ( #aigd 7#ab ,u4,s4,c4 #bfje7 is am5d$ by add+ at ! end ! foll[+3 7n7 ,small s]vic] exemption 7#a7 ,9 g5]al ,! ,bureau %all1 by regulation1 provide exemptions to1 or adju/m5ts =1 ! provisions ( ?is section = s]vic]s t s]vice #g1ejj or few] mortgage loans1 9 ord] to r$uce regulatory burd5s :ile appropriately balanc+ consum] protections4 7#b7 ,limitation ( exemption eligibility ,an approv$ s]vic] & its subsidi>ies & affiliates %all be consid]$ a s+le entity = purposes ( ! exemption "u p>agraph 7#a74 4 7#g7 ,publication ,! ,corporation %all-- 7,a7 publi% a notice 9 ! ,f$]al ,regi/] ^u approv+ any s]vic] "u ?is section2 & 7,b7 ma9ta9 an updat$ li/ ( approv$ s]vic]s on ! website ( ! ,corporation4 7c7 ,review1 susp5sion1 & revocation ( approv$ /atus 7#a7 ,review 7,a7 ,9 g5]al ,! ,corporation may exam9e or review any approv$ s]vic] if ! ,corporation has sub/antial reason to believe t a s]vic] has engag$ 9 a mat]ial violation or patt]n ( violations ( ?is ,act or ! rules promulgat$ pursuant to ?is ,act1 includ+-- 7i7 any failure by an approv$ s]vic] to comply ) t]ms set =? 9 any uni=m securitization agreem5t develop$ "u section #cbf2 or 7ii7 ?r\gh ! id5tification ( any in=mation indicat+ abnormal eligible s+le-family mortgage loan p]=mance )9 ! loan portfolio ( ! approv$ s]vic]4 7,b7 #b-ye> compliance exam9ation ,9 addition to ! au?ority "u subp>agraph 7,a71 ! ,corporation %all conduct an exam9ation or review ( an approv$ s]vic] once1 b n m ?an once1 e #b ye>s1 provid$ h[ev] t su* exam9ation or review %all be limit$ to compliance ) ?is ,act or regulations promulgat$ "u ?is ,act4 7,c7 ,coord9ation ,9 conduct+ an exam or review au?oriz$ pursuant to subp>agraph 7,a7 or subp>agraph 7,b71 ! ,corporation %all-- 7i7 provide reasonable notice to1 & coord9ate )1 ! appropriate ,f$]al bank+ ag5cy1 ! ,bureau ( ,consum] ,f9ancial ,protection1 or ,/ate regulatory ag5cy1 z appropriate1 = an approv$ s]vic] t is regulat$ by su* ,f$]al bank+ ag5cy1 ! ,bureau ( ,consum] ,f9ancial ,protection1 or ,/ate regulatory ag5cy be=e comm5c+ an exam9ation ( ! approv$ s]vic] "u ?is section2 & 7ii7 to ! fulle/ ext5t possible-- 7,i7 rely on ! exam9ations1 inspections1 & reports ( ! appropriate ,f$]al bank+ ag5cy1 ! ,bureau ( ,consum] ,f9ancial ,protection1 or ,/ate regulatory ag5cy1 z appropriate1 = an approv$ s]vic] t is regulat$ by su* ,f$]al bank+ ag5cy1 ! ,bureau ( ,consum] ,f9ancial ,protection1 or ,/ate regulatory ag5cy2 7,,ii7 avoid duplication ( exam9ation activities1 report+ requirem5ts1 & reque/s = in=mation2 & 7,,iii7 ensure t approv$ s]vic]s are n subject to conflict+ sup]visory dem&s by ! ,corporation1 appropriate ,f$]al bank+ ag5cies1 ! ,bureau ( ,consum] ,f9ancial ,protection1 or ,/ate regulatory ag5cies1 z appropriate4 7,d7 ,self c]tification 7i7 ,9 g5]al ,to facilitate any exam or review au?oriz$ pursuant to subp>agraph 7,a7 or subp>agraph 7,b71 ea* approv$ s]vic] %all1 on an annual basis & 9 accordance ) su* requirem5ts z ! ,corporation may e/abli%1 c]tify 9 writ+ to ! ,corporation t ! approv$ s]vic] is 9 compliance ) ! /&>ds id5tifi$ "u p>agraphs 7#a7 & 7#b7 ( subsection 7a71 all o!r requirem5ts ( ?is ,act1 & any rules promulgat$ pursuant to ?is ,act4 7ii7 ,p5alty = false or mislead+ c]tifications 7,i7 ,en=cem5t ,! ,corporation %all h ! au?ority to impose en=cem5t p5alties ) respect to an approv$ s]vic] :o submits a c]tification "u clause 7i7 t conta9s false or mislead+ in=mation1 9 ! same mann] & to ! same ext5t z ! ,f$]al ,deposit ,insurance ,corporation has ) respect to insur$ depository in/itutions "u ! provisions ( subsections 7b7 ?r\gh 7n7 ( section #h ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah71 except t ! p5alties "u subsection 7j7 ( su* section #h %all n apply4 7,,ii7 ,notification ,if ! ,corporation takes any en=cem5t action aga9/ an approv$ s]vic]1 ! ,corporation %all notify ! approv$ s]vic]'s appropriate ,f$]al bank+ ag5cy1 ! ,bureau ( ,consum] ,f9ancial ,protection1 or ,/ate regulator1 if applicable4 7#b7 ,susp5sion or revocation 7,a7 ,corporation au?ority ,if ! ,corporation det]m9es1 9 any exam or review au?oriz$ pursuant to p>agraph 7#a71 t an approv$ s]vic] no long] meets ! /&>ds = approval1 ! ,corporation may susp5d or revoke ! approv$ /atus ( su* s]vic]4 7,b7 ,rule ( con/ruction ,! susp5sion or revocation ( an approv$ s]vic]'s approv$ /atus "u ?is p>agraph %all h no effect on ! /atus ( any cov]$ security4 7#c7 ,publication ,! ,corporation %all-- 7,a7 publi% 9 ! ,f$]al ,regi/] a li/ ( any approv$ s]vic]s :o h _! approv$ /atus susp5d$ or revok$2 & 7,b7 ma9ta9 an updat$ li/ ( su* s]vic]s on ! website ( ! ,corporation4 7d7 ,appeals 7#a7 ,9 g5]al 7,a7 ,appeals ( d5ials ( application ,a s]vic] :o submits an application "u subsection 7b77#a7 to become an approv$ s]vic] may appeal a decision ( ! ,corporation d5y+ su* application4 7,b7 ,appeals ( d5ials ( b5efits or susp5sions ( p>ticipation ,an approv$ s]vic] may appeal a decision ( ! ,corporation susp5d+ or revok+ ! approv$ /atus ( su* s]vic]4 7#b7 ,fil+ ( appeal ,any s]vic] :o files an appeal "u p>agraph 7#a7 %all file ! appeal ) ! ,corporation n lat] ?an #ij days aft] ! date on :i* ! p]son receives notice ( ! decision ( ! ,corporation be+ appeal$4 7#c7 ,f9al det]m9ation ,! ,corporation %all make a f9al det]m9ation ) respect to an appeal "u p>agraph 7#a7 n lat] ?an #ahj days aft] ! date on :i* ! appeal is fil$ "u p>agraph 7#b74 7e7 ,transf] ( mortgage s]vic+ duties 7#a7 ,9 g5]al ,= any eligible s+le-family mortgage loan or pool ( eligible s+le-family mortgage loans collat]aliz+ a s+le-family cov]$ security insur$ by ! ,corporation "u ?is title & 9 accordance ) rules promulgat$ by ! ,corporation1 ! ,corporation may require ! approv$ s]vic] ( any su* eligible s+le-family mortgage loan or pool ( eligible s+le-family mortgage loans to ent] into a subs]vic+ arrangem5t ) any indep5d5t specialty s]vic] approv$ by ! ,corporation4 7#b7 ,rules ,! rules requir$ "u p>agraph 7#a7 %all-- 7,a7 set =? ) cl>ity ! p]=mance conditions ( an approv$ s]vic] t w\ld w>rant or necessitate ! use ( ! au?ority grant$ to ! ,corporation "u ?is subsection2 7,b7 require t ! p]=mance condition w>rant+ or necessitat+ ! use ( su* au?ority be ( su* type or "* s z to mat]ially & adv]sely affect ! ability ( ! ,corporation to recov] any am\nts ow$ to ! ,corporation2 7,c7 = purposes ( subp>agraph 7,b71 def9e ! t]m mat]ially & adv]sely affect2 7,d7 require t any approv$ s]vic] ^: s]vic+ duties are subject to ?is subsection be provid$ a reasonable am\nt ( "t1 provid$ t su* "t does n pres5t a risk to ! ,mortgage ,insurance ,fund1 to rebut1 address1 or correct any det]m9ation ( ! ,corporation reg>d+ a p]=mance condition describ$ "u subp>agraph 7,a72 7,e7 only p]mit ! ,corporation to c>ry out ! au?ority grant$ "u ?is subsection ^u expiration ( ! "t-p]iod all[$ "u subp>agraph 7,d72 7,f7 limit ! scope ( any su* au?ority to eligible s+le-family mortgage loans t %>e simil> und]writ+1 borr[]1 & p]=mance *>act]i/ics2 7,g7 ensure t ! scope ( any su* au?ority is n appli$ broadly & )\t fur!r limitation2 & 7,h7 not)/&+ subp>agraphs 7,b7 ?r\gh 7,g71 provide t an approv$ s]vic] may be subject to m ext5sive programmatic discipl9e or correction measures1 z det]m9$ by ! ,corporation1 if1 dur+ any #e-ye> p]iod-- 7i7 ! s]vic+ duties t are ! subject ( ! curr5t use ( ! ,corporation's au?ority "u ?is subsection m>ks ! ?ird in/ance ( ! use ( su* au?ority ) respect to ! same approv$ s]vic]2 & 7ii7 ) respect to ! prior #b sep>ate & individual in/ances ( ! use ( su* au?ority1 ! same approv$ s]vic] fail$ to cure any id5tifi$ p]=mance conditions or implem5t corrective measures z det]m9$ by ! ,corporation pursuant to subp>agraph 7,d74 7#c7 ,cessation ( comp5sation ,if a transf] ( s]vic+ duties occurs "u p>agraph 7#a71 ! approv$ s]vic] f :om su* s]vic+ duties are ext+ui%$ %all cease to receive comp5sation = any su* s]vic+ activities relat$ to ^? duties4 7#d7 ,s]vic] succession plans 7,a7 ,9 g5]al ,! ,corporation may e/abli% a succession plan = ea* approv$ s]vic]1 includ+ provisions =-- 7i7 a specializ$ s]vic] to replace ! approv$ s]vic] if ! p]=mance ( ! eligible s+le-family mortgage loan pool s]vic$ by su* approv$ s]vic] det]iorates to specifi$ levels2 & 7ii7 a plan to a*ieve cont9uity ( contact = borr[]s ^u ! replacem5t ( ! approv$ s]vic]4 7,b7 ,rule ( con/ruction ,no?+ 9 ?is p>agraph %all be con/ru$ z au?oriz+ ! ,corporation to circumv5t1 evade1 or o!rwise disreg>d ! rules e/abli%$ 9 p>agraphs 7#a7 & 7#b7 :5 facilitat+ a transf] ( s]vic+ rights4 7f7 ,petitions = *ange ( s]vic] by private m>ket hold]s 7#a7 ,developm5t ( process ,! ,corporation %all develop a process by :i* private m>ket hold]s ( ! fir/ loss position 9 a s+le-family cov]$ security may petition ! ,corporation = a *ange 9 approv$ s]vic]s1 includ+ specializ$ s]vic]s = individual eligible s+le-family mortgage loans1 if ! private m>ket hold]s c demon/rate t its inve/m5t 0 n appropriately protect$ by ! curr5t approv$ s]vic]1 includ+ by fail+ to meet any /&>d or requirem5t id5tifi$ "u p>agraphs 7#a7 & 7#b7 ( subsection 7a74 7#b7 ,cessation ( comp5sation ,if a *ange 9 approv$ s]vic]s is approv$ "u p>agraph 7#a7-- 7,a7 ! *ange mu/ occur )9 #cj days aft] ! petition is approv$ by ! ,corporation2 & 7,b7 once ! *ange requir$ "u subp>agraph 7,a7 has occurr$1 ! approv$ s]vic] f :om su* s]vic+ rights are ext+ui%$ %all cease to receive comp5sation = any su* s]vic+ activities relat$ to ^? rights4 7g7 ,notice ( transf] ( s]vic+ rights by curr5t s]vic] 7#a7 ,notice to ,,fmic ,! ,corporation %all develop a process by :i* an approv$ s]vic] %all provide notice to ! ,corporation ( any transf] ( any s]vic+ rights ( su* approv$ s]vic] to ano!r approv$ s]vic]4 7#b7 ,au?ority ( ,,fmic to prev5t1 halt1 or resc9d a transf] ,! process requir$ to be develop$ "u p>agraph 7#a7 %all include ! developm5t ( proc$ures to p]mit ! ,corporation to prev5t1 halt1 or resc9d any transf] ( s]vic+ rights f an approv$ s]vic] to a s]vic] t is n approv$ to s]vice eligible s+le-family mortgage loans "u ?is section or to any s]vic] ^: approv$ /atus has be5 susp5d$ or revok$ pursuant to subsection 7c77#b74 7h7 ,g5]al au?ority ) respect to ! transf] ( s]vic+ rights ,! ,corporation may develop su* o!r /&>ds ) respect to ! transf] ( s]vic+ rights by approv$ s]vic]s z ! ,corporation det]m9es necess>y & appropriate to facilitate an ord]ly transf] ( s]vic+ rights aft] ! susp5sion or revocation ( ! approv$ /atus ( a s]vic] pursuant to subsection 7c77#b74 7i7 ,/udy ( s]vic] comp5sation relat$ to non-p]=m+ s+le-family mortgage loans 7#a7 ,9 g5]al ,! ,corporation %all c>ry out a /udy ( s]vic+ comp5sation = non-p]=m+ s+le-family mortgage loans1 includ+ alt]natives to exi/+ s]vic+ comp5sation /ructures4 7#b7 ,recomm5dations ,! /udy requir$ "u p>agraph 7#a7 %all include recomm5dations = ! optimal /ructure ( s]vic] comp5sation1 9 ord] to-- 7,a7 improve s]vice = borr[]s2 7,b7 r$uce f9ancial risk to s]vic]s2 & 7,c7 provide flexibility = gu>antors to bett] manage non-p]=m+ s+le-family mortgage loans4 7#c7 ,report ,n lat] ?an #a ye> aft] ! date ( enactm5t ( ?is ,act1 ! ,*airp]son %all issue a report to ! ,congress conta9+ any f9d+s & det]m9ations made 9 c>ry+ out ! /udy requir$ "u p>agraph 7#a74 7j7 ,rule ( con/ruction ,no?+ 9 ?is section %all prohibit a mortgage orig9ator f reta9+ rights to s]vice ! eligible s+le-family mortgage loans x orig9at$1 provid$ t ! mortgage orig9ator-- 7#a7 meets ! /&>ds to be an approv$ s]vic] "u subsection 7a72 or 7#b7 qualifies = an exemption "u subsection 7b77#e74 #cae4 ,au?ority to e/abli% & approve small l5d] mutuals 7a7 ,e/abli%m5t ( small l5d] mutuals 7#a7 ,9 g5]al ,! ,corporation %all e/abli% #a entity kn[n z ! ,small ,l5d] ,mutual1 :i* %all be an approv$ small l5d] mutual1 own$ by & op]at$ = ! b5efit ( its memb]s1 = ! purposes ( subsection 7b74 7#b7 ,approval ( o!r small l5d] mutuals ,! ,corporation %all1 by regulation1 e/abli% /&>ds = ! approval by ! ,corporation ( su* o!r small l5d] mutuals z may be necess>y to facilitate ! purposes describ$ 9 subsection 7b74 7b7 ,purposes ,! purpose ( ! ,small ,l5d] ,mutual e/abli%$ "u subsection 7a77#a7 & any small l5d] mutual approv$ "u subsection 7a77#b7 79 ?is section collectively ref]r$ to z a small l5d] mutual7 %all be z foll[s3 7#a7 ,to address ! ne$s ( small mortgage l5d]s ) respect to cov]$ securities4 7#b7 ,to pur*ase eligible mortgage loans to securitize a cov]$ security f its memb] p>ticipants-- 7,a7 = ca%1 on a s+le loan basis2 or 7,b7 ?r\gh ! sale ( a portion ( a multi-l5d] pool or multi-gu>antor pool collat]aliz$ by eligible mortgage loans securitiz$ 9 a cov]$ security4 7#c7 ,to obta9 all necess>y & appropriate cr$it enhancem5ts = cov]$ securities to support ! l5d+ activities ( small mortgage l5d]s4 7#d7 ,to implem5t policies & proc$ures t ensure t ! access rules & fees ( any small l5d] mutual are n prohibitive & d n discrim9ate aga9/ orig9ators ( eligible mortgage loans or any entity t aggregates eligible mortgage loans on ! basis ( size1 composition1 bus9ess l9e1 or loan volume4 7#e7 ,to appropriately manage ! risk ( ! ,small ,l5d] ,mutual to ensure ! cont9u$ safety & s\ndness ( su* mutual4 7c7 ,provisions to ensure ! effective op]ations ( small l5d] mutuals 7#a7 ,requirem5t to assess ne$s ( small l5d] mutual ,n lat] ?an #a ye> aft] ! date ( enactm5t ( ?is ,act1 ! ,f$]al ,h\s+ ,f9ance ,ag5cy %all conduct an assessm5t ( ! intellectual prop]ty1 te*nology1 infra/ructure1 & processes ( ! ent]prises relat+ to ! op]ation & ma9t5ance ( ! sy/ems ne$$ to ensure small mortgage l5d] access to ! second>y mortgage m>ket to det]m9e ! ne$s ( ! ,small ,l5d] ,mutual e/abli%$ "u subsection 7a77#a74 ,! assessm5t requir$ "u ?is p>agraph %all be submitt$ to ! ,transition ,committee e/abli%$ "u section #djd1 or ! ,bo>d if confirm$ pursuant to section #djd7;d71 & includ$ 9 ! transition plan requir$ "u section #fjb4 7#b7 ,au?ority to manage disposition ( ent]prise infra/ructure ,aft] ! ag5cy transf] date & be=e ! sy/em c]tification date1 ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 consi/5t ) title ,,vi-- 7,a7 %all dispose ( ! intellectual prop]ty1 te*nology1 infra/ructure1 & processes ( ! ent]prises relat+ to ! op]ation & ma9t5ance ( ! sy/ems ne$$ = small mortgage l5d]s to access ! second>y mortgage m>ket2 & 7,b7 may manage su* disposition ?r\gh ! sale1 transf]1 lic5s+1 or leas+ ( su* intellectual prop]ty1 te*nology1 infra/ructure1 & processes ( an ent]prise to ! ,small ,l5d] ,mutual e/abli%$ "u subsection 7a77#a7 to ensure t ! ,small ,l5d] ,mutual c access ! second>y mortgage m>ket & fulfill ! purposes ( ! section4 7#c7 ,transf] ( necess>y te*nology ,aft] ! ag5cy transf] date & be=e ! sy/em c]tification date1 ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 consi/5t ) section #fjd7;h71 may transf] to a subsidi>y or subsidi>ies ( ! ent]prises any function1 activity1 infra/ructure1 prop]ty1 includ+ intellectual prop]ty1 te*nology1 or any o!r object or s]vice ( an ent]prise t ! ,corporation det]m9es is necess>y & available = ! ,small ,l5d] ,mutual e/abli%$ "u subsection 7a77#a7 to c>ry out its activities & op]ations4 7#d7 ,initial capitalization 7,a7 ,9 g5]al ,! initial capital necess>y = ! ,small ,l5d] ,mutual to be e/abli%$ "u subsection 7a77#a7 to pur*ase a subsidi>y e/abli%$ "u p>agraph 7#c7 or to pur*ase1 lease1 or lic5se ! sy/ems "u p>agraph 7#b77;,b71 & to p]=m all o!r activities & functions ( ! ,small ,l5d] ,mutual1 includ+ ! ability ( ! ,small ,l5d] ,mutual to op]ate a ca% w9d[ = ! pur*ase ( individual eligible mortgage loans1 %all be provid$ by ! ent]prises4 7,b7 ,det]m9ation ( am\nt ,! am\nt ( any initial capital requir$ to be provid$ by ! ent]prises "u subp>agraph 7,a7 %all be det]m9$ by ! ,corporation bas$ on ! ne$s ( ! ,small ,l5d] ,mutual to c>ry out its activities & functions1 z well z by ! curr5t volume ( bus9ess f ! ent]prise-approv$ sell]s t are eligible to p>ticipate1 pursuant to subsection 7e71 z a memb] ( ! ,small ,l5d] ,mutual4 7,c7 ,repaym5t 7i7 ,9 g5]al ,! am\nt ( any initial capital requir$ to be provid$ by ! ent]prises "u subp>agraph 7,a7 %all be repaid by ! ,small ,l5d] ,mutual e/abli%$ "u subsection 7a77#a7 on a s*$ule jo9tly agre$ to by ! ,small ,l5d] ,mutual & ! ,corporation4 7ii7 ,repaym5t p]iod 7,i7 ,9 g5]al ,! repaym5t ( any am\nts requir$ "u clause 7i7 %all be complet$ )9 #g ye>s f ! sy/em c]tification date4 7,,ii7 ,au?ority to ext5d repaym5t p]iod ,! ,corporation1 aft] consultation ) ! mutual bo>d ( ! ,small ,l5d] ,mutual e/abli%$ "u subsection 7a77#a71 may ext5d ! repaym5t p]iod set =? "u subclause 7,i7 = an additional #c ye>s1 if1 9 ! sole discretion ( ! ,corporation1 ! ,corporation deems su* ext5sion necess>y4 7d7 ,ensur+ fair competition ,! ,f$]al ,h\s+ ,f9ance ,ag5cy may1 consi/5t ) ! public int]e/1 = ! ma9t5ance ( fair competition among all small l5d] mutuals1 & = ! purposes set =? 9 ?is section1 provide1 ?r\gh a lic5s+ agreem5t or o!r agreem5t1 access to any te*nology or plat=m transf]r$ pursuant to subsection 7c77#c74 7e7 ,eligibility 7#a7 ,9 g5]al ,eligibility to p>ticipate z a memb] 9 any small l5d] mutual %all be limit$ to any-- 7,a7 insur$ depository in/itution hav+ less ?an #ejj1jjj1jjj1jjj 9 total consolidat$ assets at ! "t ( ! initial p>ticipation ( ! in/itution 9 ! small l5d] mutual2 7,b7 non-depository mortgage orig9ator t-- 7i7 has a m9imum net wor? ( #b1ejj1jjj2 7ii7 has annual eligible mortgage loan production ( less ?an #ajj1jjj1jjj1jjj2 & 7iii7 7,i7 prior to ! sy/em c]tification date1 0 approv$ to sell mortgage loans to an ent]prise on ! date t is #a day prior to ! e/abli%m5t or approval ( ! small l5d] mutual1 provid$ t su* orig9ator 0 9 good /&+ z ( su* date2 or 7,,ii7 meets ! /&>ds e/abli%$ by ! small l5d] mutual pursuant to subsection 7l72 7,c7 ,community ,developm5t ,f9ancial ,in/itution t meets ! /&>ds e/abli%$ by ! small l5d] mutual pursuant to subsection 7l72 7,d7 mission-bas$ nonpr(it l5d] t meets ! /&>ds e/abli%$ by ! small l5d] mutual pursuant to subsection 7l72 7,e7 h\s+ f9ance ag5cy t meets ! /&>ds e/abli%$ by ! small l5d] mutual pursuant to subsection 7l72 & 7,f7 ,f$]al ,home ,loan ,bank4 7#b7 ,access ( orig9ators ,an entity eligible to p>ticipate z a memb] ( a small l5d] mutual may n be requir$ to become an approv$ entity "u ?is ,act to access any function or op]ation ( a small l5d] mutual4 7#c7 ,rule ( con/ruction ,ea* entity eligible to p>ticipate z a memb] ( a small l5d] mutual "u ?is section %all meet all applicable /&>ds & requirem5ts "u ?is ,act4 7f7 ,report ,n lat] ?an #b ye>s aft] ! date on :i* ! ,small ,l5d] ,mutual is e/abli%$ "u subsection 7a77#a71 ! ,corporation %all-- 7#a7 conduct & complete a /udy evaluat+ ! crit]ia = eligibility z a memb] ( ! ,small ,l5d] ,mutual "u subp>agraphs 7,a7 & 7,b7 ( subsection 7e77#a72 & 7#b7 submit a report to ,congress1 :i* %all include an evaluation (-- 7,a7 :e!r ! p>ticipation levels ( memb]s ( ! ,small ,l5d] ,mutual "u subp>agraphs 7,a7 & 7,b7 ( subsection 7e77#a7 are suffici5t to create ! economies ( scale & liquidity necess>y = competitive pric+ 9 ! second>y mortgage m>ket2 7,b7 ! ability ( ! ,small ,l5d] ,mutual to ensure access = small mortgage l5d]s to ! second>y mortgage m>ket2 7,c7 ! impact ( ! asset & net wor? eligibility crit]ia e/abli%$ 9 subp>agraphs 7,a7 & 7,b7 ( subsection 7e77#a7 on ! size1 competitiv5ess1 & memb]%ip ( ! ,small ,l5d] ,mutual2 7,d7 :e!r ! eligibility ?re%olds e/abli%$ 9 subp>agraphs 7,a7 & 7,b7 ( subsection 7e77#a7 are facilitat+ or imp$+ ! creation ( a robu/ m>ket = approv$ gu>antors2 7,e7 :e!r ! e/abli%m5t ( o!r eligibility crit]ia 9 subp>agraphs 7,a7 & 7,b7 ( subsection 7e77#a7 w\ld bett] s]ve memb]s ( ! ,small ,l5d] ,mutual1 includ+ su* o!r crit]ia z-- 7i7 a diff]5t asset ?re%old2 7ii7 an annual mortgage loan orig9ation ?re%old2 or 7iii7 a mortgage loan production cap2 7,f7 :e!r ! ,small ,l5d] ,mutual is fully meet+ ! ca% w9d[ ne$s ( small mortgage l5d]s2 & 7,g7 :e!r ! ,small ,l5d] ,mutual is adequately capitaliz$ to meet ! ne$s ( memb]s ( ! ,small ,l5d] ,mutual & protect ! ,mortgage ,insurance ,fund4 7g7 ,eligibility ?re%olds ,beg9n+ on ! date on :i* ! ,corporation submits ! report requir$ "u subsection 7f71 ! ,corporation may adju/ ! eligibility ?re%olds e/abli%$ 9 subp>agraphs 7,a7 & 7,b7 ( subsection 7e77#a7 if ! ,corporation1 9 consultation ) ! mutual bo>d ( a small l5d] mutual1 det]m9es t-- 7#a7 ! ?re%olds d n facilitate ! purposes ( ! small l5d] mutual z describ$ 9 subsection 7b72 7#b7 ! ?re%olds re/rict small multifamily l5d]s' p>ticipation 9 ! small l5d] mutual2 7#c7 ! ?re%olds d n fo/] competition 9 ! second>y mortgage m>ket2 or 7#d7 ! ?re%olds pose a risk to ! ,mortgage ,insurance ,fund4 7h7 ,reassessm5t ,beg9n+ on ! date on :i* ! ,corporation submits ! report requir$ "u subsection 7f71 ! ,corporation %all1 on an annual basis1 reassess ! ,small ,l5d] ,mutual's eligibility ?re%olds4 7i7 ,plat=m memb]%ip ,ea* small l5d] mutual %all be a memb] ( ! ,securitization ,plat=m4 7j7 ,fund+ au?ority 7#a7 ,au?ority to e/abli% memb]%ip fees ,! mutual bo>d ( ea* small l5d] mutual %all *>ge & collect fees f its memb] p>ticipants-- 7,a7 = memb]%ip 9 ! small l5d] mutual2 & 7,b7 to cov] ! co/s (-- 7i7 9 ! case ( ! ,small ,l5d] ,mutual e/abli%$ "u subsection 7a77#a7-- 7,i7 ! pur*ase ( any function1 activity1 infra/ructure1 prop]ty1 includ+ intellectual prop]ty1 te*nology1 or any o!r object or s]vice f an ent]prise pursuant to subsection 7c72 7,,ii7 any initial capital = ! e/abli%m5t ( a ca% w9d[2 & 7,,iii7 ! repaym5t ( am\nts requir$ "u subsection 7c77#d77;,c71 provid$ t any fee *>g$ to cov] su* repaym5t am\nts is applicable only to ^? memb] p>ticipants id5tifi$ & approv$ aft] ! e/abli%m5t date ( ! ,small ,l5d] ,mutual & be=e ! repaym5t date e/abli%$ "u subsection 7c77#d77;,c77ii72 & 7ii7 ! cont9u$ op]ation ( ! small l5d] mutual1 includ+ to build capital res]ves & to manage risks4 7#b7 ,equitable comp5sation ( c]ta9 memb] p>ticipants ( ,small ,l5d] ,mutual ,! mutual bo>d ( ! ,small ,l5d] ,mutual e/abli%$ "u subsection 7a77#a7 may1 9 addition to any fee requir$ "u p>agraph 7#a71 *>ge & collect a fee f memb] p>ticipants id5tifi$ & approv$ aft] ! repaym5t date e/abli%$ "u subsection 7c77#d77;,c77ii7 to comp5sate memb] p>ticipants id5tifi$ & approv$ prior to su* repaym5t date = ! %>e ( ! fees paid by su* memb] p>ticipants to cov] ! co/ ( repaym5t am\nts pursuant to p>agraph 7#a77;,b77i77,,iii74 7#c7 ,au?ority to increase or decrease fees ,! mutual bo>d ( ea* small l5d] mutual may1 9 its discretion & ^u consultation ) ! ,corporation1 increase or decrease any fee au?oriz$ "u p>agraph 7#a74 7#d7 ,provision ( fee s*$ule to ,,fmic ,! mutual bo>d ( ea* small l5d] mutual %all1 on an annual basis & ^u any increase or decrease ( any fee au?oriz$ "u p>agraph 7#a71 provide ! ,corporation ) a s*$ule ( ! fees *>g$ by ! small l5d] mutual to its memb] p>ticipants4 7#e7 ,limitation ,! fees au?oriz$ "u p>agraph 7#a7-- 7,a7 %all be equitably assess$2 & 7,b7 %all n discrim9ate aga9/ orig9ators ( eligible mortgage loans or any entity t aggregates eligible mortgage loans on ! basis ( size1 composition1 bus9ess l9e1 or loan volume4 7#f7 ,au?ority to r$uce fees 7,a7 ,9 g5]al ,if a small l5d] mutual1 9 consultation ) ! ,corporation1 det]m9es t any fee or fees au?oriz$ "u ?is subsection are prohibitive or discrim9atory1 ! small l5d] mutual may1 9 ! int]e/ ( build+ ! memb]%ip ( ! small l5d] mutual1 l[] any su* fee or fees4 7,b7 ,reasonabl5ess & consid]ations ,ea* small l5d] mutual %all1 9 consultation ) ! ,corporation1 set reasonable crit]ia = any det]m9ation au?oriz$ "u subp>agraph 7,a74 ,! crit]ia requir$ to be set =? "u ?is subp>agraph %all consid] ! pot5tial impact on ! f9ancial safety & s\ndness ( ! small l5d] mutual4 7k7 ,gov]nance 7#a7 ,recognition ( important role ( small] in/itutions ,! mutual bo>d ( ea* small l5d] mutual1 9 consultation ) ! ,corporation1 %all take all reasonable /eps necess>y to e/abli% gov]nance provisions t reflect ! important role 9 ! mortgage m>ket play$ by ! memb] p>ticipants ( small l5d] mutuals4 7#b7 ,mutual bo>d 7,a7 ,9 g5]al ,! managem5t ( ea* small l5d] mutual %all be ve/$ 9 a bo>d ( #ae directors 79 ?is section ref]r$ to z ! mutual bo>d71 :i* %all include repres5tatives ( approv$ memb] p>ticipants ( ! small l5d] mutual4 7,b7 ,appo9tm5t ( mutual bo>d ( ,small ,l5d] ,mutual 7i7 ,initial appo9tm5t ,! ,corporation %all make initial appo9tm5ts ( ! memb]s ( ! mutual bo>d = ! ,small ,l5d] ,mutual e/abli%$ "u subsection 7a77#a74 ,ea* su* initial appo9tm5t %all be = a t]m ( #a ye>4 7ii7 ,appo9tm5ts ,^u expiration ( ! #a-ye> p]iod set =? "u clause 7i71 ! memb] p>ticipants ( ! ,small ,l5d] ,mutual e/abli%$ "u subsection 7a77#a7 %all elect ! memb]s ( ! mutual bo>d ( ! ,small ,l5d] ,mutual f )9 ! memb]%ip ( ! ,small ,l5d] ,mutual4 7,c7 ,indep5d5t directors ,! mutual bo>d ( ea* small l5d] mutual %all h at lea/ #a indep5d5t director to s]ve ! public int]e/4 ,! indep5d5t director requir$ "u ?is subp>agraph %all h a hi/ory ( repres5t+ consum] or community int]e/s on bank+ s]vices1 cr$it ne$s1 h\s+1 or f9ancial consum] protections4 7,d7 ,repres5tation on ,bo>d ,no m ?an #a_/c ( ! directors ( ! mutual bo>d ( ! ,small ,l5d] ,mutual may be held by a s+le category ( memb] p>ticipants1 :i* %all be def9$ = purposes ( ?is subsection z community banks1 cr$it unions1 non-depository mortgage orig9ators1 ,f$]al ,home ,loan ,banks1 h\s+ f9ance ag5cies1 ,community ,developm5t ,f9ancial ,in/itutions1 & mission-bas$ nonpr(it l5d]s4 7#c7 ,repres5tation to ! ,plat=m ,! mutual bo>d ( ! ,small ,l5d] ,mutual %all select1 on a rotat+ basis f repres5tative ( its directors1 an individual to s]ve z a ,plat=m ,director "u section #cbb4 7#d7 ,repres5tation ( multiple small l5d] mutuals ,if m ?an #a small l5d] mutual is approv$ "u ?is section1 ea* small l5d] mutual %all rotate ! repres5tation position "u section #cbb4 7#e7 ,no pref]5ces = size ,memb] p>ticipants ( ea* small l5d] mutual %all h equal vot+ rights on any matt]s be=e ! small l5d] mutual ( :i* x is a memb]1 reg>dless ( ! size ( ! individual memb] p>ticipant4 7#f7 ,rule ( con/ruction ,= purposes ( ?is subsection1 a memb] p>ticipant & its subsidi>ies1 jo9t (fices1 & affiliates %all be treat$ z a s+le entity & %all be entitl$ to ca/ a s+le vote on any matt]s be=e ! small l5d] mutual ( :i* x is a memb]4 7l7 ,approval ( memb] p>ticipants 7#a7 ,9 g5]al ,ea* mutual bo>d e/abli%$ "u subsection 7k7 %all develop /&>ds & proc$ures to approve ! application ( memb] p>ticipants 9 ! small l5d] mutual4 7#b7 ,cont5t ( /&>ds ,! /&>ds requir$ "u p>agraph 7#a7 %all include /&>ds relat+ to !-- 7,a7 prospective memb]s' compliance hi/ory ) ,f$]al & ,/ate law2 7,b7 safety & s\ndness ( prospective memb] p>ticipants2 & 7,c7 mortgage und]writ+ practices ( ! prospective memb]4 7#c7 ,coord9ation ) o!r regulators 7,a7 ,consultation ,9 approv+ any prospective memb] to become a memb] p>ticipant 9 a small l5d] mutual1 ! mutual bo>d ( t small l5d] mutual may consult & %>e in=mation )-- 7i7 ! appropriate ,f$]al bank+ ag5cy & ,/ate regulator ( ! prospective memb]2 or 7ii7 ! ,bureau ( ,consum] ,f9ancial ,protection1 if ! ,bureau ( ,consum] ,f9ancial ,protection has sup]visory au?ority ov] ! prospective memb]4 7,b7 ,privilege pres]v$ ,in=mation %>$ pursuant to subp>agraph 7,a7 %all n be con/ru$ z waiv+1 de/roy+1 or o!rwise affect+ any privilege or confid5tial /atus t a prospective memb] may claim ) respect to su* in=mation "u ,f$]al or ,/ate law z to any p]son or entity o!r ?an ! bo>d ( directors or its appropriate ,f$]al bank+ ag5cy4 7,c7 ,rule ( con/ruction ,no provision ( ?is subsection may be con/ru$ z imply+ or e/abli%+ t-- 7i7 any prospective memb] waives any privilege applicable to in=mation t is %>$ or transf]r$ "u any circum/ance to :i* ?is subsection does n apply2 or 7ii7 any prospective w\ld waive any privilege applicable to any in=mation by submitt+ ! in=mation directly to its prim>y ,f$]al or ,/ate regulator1 b = ?is subsection4 7#d7 ,/reaml9+ = exi/+ l5d]s approv$ by ! ent]prises ,ea* mutual bo>d e/abli%$ "u subsection 7k7 %all develop /reaml9$ memb]%ip /&>ds & proc$ures = any l5d] :o 0 approv$ to sell mortgage loans to an ent]prise on ! date t is #a day be=e ! date ( enactm5t ( ?is ,act1 & 0 9 good /&+ z ( su* date4 7m7 ,ca% w9d[ 7#a7 ,requirem5t = small l5d] mutuals ,ea* small l5d] mutual %all h ! ability to op]ate a ca% w9d[ = ! pur*ase ( individual eligible s+le-family mortgage loans4 7#b7 ,/&>ds to ensure safety & s\ndness ,to ensure ! safety & s\ndness ( ea* small l5d] mutual1 ! ,corporation %all e/abli% /&>ds = ! regulation1 sup]vision1 & op]ation ( ea* ca% w9d[ requir$ "u p>agraph 7#a74 7#c7 ,lic5s+ ( ca% w9d[ te*nology ,! ,f$]al ,h\s+ ,f9ance ,ag5cy may1 consi/5t ) ! public int]e/ & = ! ma9t5ance ( fair competition among entities provid+ ca% w9d[ s]vices1 provide1 ?r\gh a lic5s+ agreem5t or o!r agreem5t1 access to any te*nology or plat=m relat+ to a ca% w9d[ transf]r$ "u p>agraph 7#c7 ( subsection 7c74 7n7 ,recognition ( di/9ction betwe5 small l5d] mutual companies & o!r aggregators ,prior to promulgat+ any regulation or tak+ any o!r =mal or in=mal action ( g5]al applicability1 includ+ ! issuance ( an advisory docum5t or exam9ation guidance1 ! ,corporation %all consid] ! diff]5ces betwe5 small l5d] mutuals & o!r approv$ aggregators ) respect to-- 7#a7 ! coop]ative own]%ip /ructure ( small l5d] mutuals2 7#b7 ! purposes ( small l5d] mutuals z set =? 9 subsection 7b72 7#c7 ! capital /ructure ( small l5d] mutuals2 & 7#d7 any o!r diff]5ces t ! ,corporation consid]s appropriate4 7o7 ,coord9ation ( s]vic] approval ,ea* mutual bo>d e/abli%$ "u subsection 7k7 may coord9ate ) ! ,corporation to facilitate ! application process = its memb] p>ticipants to become approv$ s]vic]s ( ! ,corporation pursuant to section #cad4 7p7 ,multifamily /udy ,n lat] ?an #a ye> aft] ! ag5cy transf] date1 ! ,corporation %all conduct & complete a /udy to det]m9e-- 7#a7 ! access ne$s ( small multifamily mortgage l5d]s to ! second>y multifamily mortgage m>ket2 & 7#b7 :e!r ! ,small ,l5d] ,mutual e/abli%$ "u subsection 7a77#a7 c meet ! access ne$s ( small multifamily mortgage l5d]s4 7q7 ,prohibit$ activities ,a small l5d] mutual may n gu>antee any mortgage loans or mortgage-back$ securities4 #caf4 ,sup]visory actions relat$ to capital & solv5cy 7a7 ,capital classifications 7#a7 ,e/abli%m5t ,! ,corporation %all e/abli%1 by regulation1 capital classifications reg>d+ ! levels ( capital ma9ta9$ by ea* type ( cov]$ entity4 7#b7 ,classes ,9 c>ry+ out ! requirem5t "u p>agraph 7#a71 ! ,corporation %all classify cov]$ entities accord+ to ! foll[+ capital classifications3 7,a7 ,well capitaliz$ ,a cov]$ entity %all be classifi$ z well capitaliz$ if ! entity meets or exce$s all ( ! capital & solv5cy /&>ds requir$ "u section #cji7;b74 7,b7 ,adequately capitaliz$ ,a cov]$ entity %all be classifi$ z adequately capitaliz$ if ! entity meets or exce$s "s1 b n all1 ( ! capital & solv5cy /&>ds requir$ "u section #cji7;b74 7,c7 ,und]capitaliz$ ,a cov]$ entity %all be classifi$ z und]capitaliz$ if ! entity fails to meet any ( ! capital & solv5cy /&>ds requir$ "u section #cji7;b74 7,d7 ,significantly und]capitaliz$ ,a cov]$ entity %all be classifi$ z significantly und]capitaliz$ if ! entity is significantly bel[ any ( ! capital & solv5cy /&>ds requir$ "u section #cji7;b74 7,e7 ,critically und]capitaliz$ ,a cov]$ entity %all be classifi$ z critically und]capitaliz$ if ! entity is critically bel[ any ( ! capital & solv5cy /&>ds requir$ "u section #cji7;b74 7#c7 ,discretion>y classification 7,a7 ,gr\nds = reclassification ,! ,corporation may reclassify ! capital classification ( a cov]$ entity if-- 7i7 at any "t1 ! ,corporation det]m9es1 9 writ+1 t ! cov]$ entity is engag+ 9 conduct t c\ld result 9 a rapid depletion ( capital held by ! cov]$ entity2 7ii7 aft] notice & an opportunity = he>+1 ! ,corporation det]m9es t ! cov]$ entity is 9 an unsafe or uns\nd condition2 7iii7 pursuant to ! requirem5ts ( ?is title1 ! ,corporation deems ! cov]$ entity to be engag+ 9 an unsafe or uns\nd practice2 7iv7 ! cov]$ entity does n submit a capital re/oration plan )9 ! applicable "t p]iod t is sub/antially 9 compliance ) regulations = su* plans adopt$ by ! ,corporation2 7v7 ! ,corporation does n approve ! capital re/oration plan submitt$ by ! cov]$ entity2 or 7vi7 ! ,corporation det]m9es t ! cov]$ entity has fail$ to comply ) ! capital re/oration plan & fulfill ! s*$ule = ! plan approv$ by ! ,corporation 9 any mat]ial respect4 7,b7 ,reclassification ,9 addition to any o!r action au?oriz$ "u ?is title1 includ+ ! reclassification ( a cov]$ entity = any reason n specifi$ 9 ?is subsection1 if ! ,corporation takes any action describ$ 9 subp>agraph 7,a71 ! ,corporation may classify a cov]$ entity z appropriate4 7#d7 ,re/riction on capital di/ributions 7,a7 ,9 g5]al ,a cov]$ entity %all make no capital di/ribution if1 aft] mak+ ! di/ribution1 ! cov]$ entity w\ld be classifi$ z any?+ o!r ?an well capitaliz$ or adequately capitaliz$4 7,b7 ,exception ,not)/&+ subp>agraph 7,a71 ! ,corporation may p]mit a cov]$ entity1 to ! ext5t appropriate or applicable1 to repur*ase1 r$eem1 retire1 or o!rwise acquire %>es or own]%ip int]e/s if ! repur*ase1 r$emption1 retirem5t1 or o!r acquisition-- 7i7 is made 9 connection ) ! issuance ( additional %>es or obligations ( ! cov]$ entity 9 at lea/ an equival5t am\nt2 7ii7 w r$uce ! f9ancial obligations ( ! cov]$ entity or o!rwise improve ! f9ancial condition ( ! cov]$ entity2 7iii7 w enhance ! ability ( ! cov]$ entity to promptly meet ! m9imum capital level = ! cov]$ entity2 7iv7 contributes to ! long-t]m f9ancial safety & s\ndness ( ! cov]$ entity2 or 7v7 fur!rs ! public int]e/4 7b7 ,adequately capitaliz$ ,if a cov]$ entity is classifi$ z adequately capitaliz$3 7#a7 ,m&atory capital re/oration plan ,! ,corporation %all require ! cov]$ entity to-- 7,a7 submit to ! ,corporation a capital re/oration plan2 & 7,b7 implem5t ! plan aft] approval4 7#b7 ,discretion>y safegu>ds ,! ,corporation may take1 ) respect to an adequately capitaliz$ cov]$ entity1 any ( ! actions au?oriz$ to be tak5 "u subsection 7c7 ) respect to an und]capitaliz$ cov]$ entity1 if ! ,corporation det]m9es t su* actions are necess>y to c>ry out ! purposes ( ?is subtitle4 7c7 ,und]capitaliz$ ,if a cov]$ entity is classifi$ z und]capitaliz$3 7#a7 ,m&atory capital re/oration plan ,! ,corporation %all require ! cov]$ entity to-- 7,a7 submit to ! ,corporation a capital re/oration plan2 & 7,b7 implem5t ! plan aft] approval4 7#b7 ,re/riction on asset gr[? ,an und]capitaliz$ cov]$ entity %all n p]mit its av]age total assets dur+ any cal5d> qu>t] to exce$ its av]age total assets dur+ ! prec$+ cal5d> qu>t]1 unless-- 7,a7 ! ,corporation has accept$ ! capital re/oration plan ( ! cov]$ entity2 7,b7 any increase 9 total assets is consi/5t ) ! capital re/oration plan2 & 7,c7 ! ratio ( capital to total assets ( ! cov]$ entity increases dur+ ! cal5d> qu>t] at a rate suffici5t to enable ! cov]$ entity to become adequately capitaliz$ )9 a reasonable "t4 7#c7 ,prior approval ( acquisitions & new activities ,an und]capitaliz$ cov]$ entity %all n1 directly or indirectly1 acquire any int]e/ 9 any entity or engage 9 a new activity1 unless-- 7,a7 ! ,corporation has accept$ ! capital re/oration plan ( ! cov]$ entity1 ! cov]$ entity is implem5t+ ! plan1 & ! ,corporation det]m9es t ! propos$ action is consi/5t ) & w fur!r ! a*ievem5t ( ! plan2 or 7,b7 ! ,corporation det]m9es t ! propos$ action w fur!r ! purpose ( ?is section4 7#d7 ,requir$ monitor+ ,! ,corporation %all-- 7,a7 closely monitor ! condition ( any und]capitaliz$ cov]$ entity2 7,b7 closely monitor compliance ) ! capital re/oration plan1 re/rictions1 & requirem5ts impos$ on an und]capitaliz$ cov]$ entity "u ?is section2 & 7,c7 p]iodically review ! capital re/oration plan1 re/rictions1 & requirem5ts applicable to an und]capitaliz$ cov]$ entity to det]m9e :e!r ! plan1 re/rictions1 & requirem5ts are a*iev+ ! purpose ( ?is section4 7#e7 ,discretion>y safegu>ds ,! ,corporation may take1 ) respect to an und]capitaliz$ cov]$ entity1 any ( ! actions au?oriz$ to be tak5 "u subsection 7d7 ) respect to a significantly und]capitaliz$ cov]$ entity1 if ! ,corporation det]m9es t su* actions are necess>y to c>ry out ! purpose ( ?is subtitle4 7d7 ,significantly und]capitaliz$ ,if a cov]$ entity is classifi$ z significantly und]capitaliz$3 7#a7 ,m&atory capital re/oration plan ,! ,corporation %all require ! cov]$ entity to-- 7,a7 submit to ! ,corporation a capital re/oration plan2 & 7,b7 implem5t ! plan aft] approval4 7#b7 ,discretion>y sup]visory actions = significantly und]capitaliz$ cov]$ entities ,9 addition to any o!r actions tak5 by ! ,corporation1 ! ,corporation may1 at any "t1 take any ( ! foll[+ actions ) respect to a cov]$ entity t is classifi$ z significantly und]capitaliz$3 7,a7 ,limitation on obligations ,limit any increase 91 or ord] ! r$uction (1 any obligations ( ! cov]$ entity1 includ+ (f-balance %eet obligations4 7,b7 ,limitation on gr[? ,limit or prohibit ! gr[? ( ! assets ( ! cov]$ entity1 or require r$uction ( ! assets ( ! cov]$ entity4 7,c7 ,acquisition ( new capital ,require ! cov]$ entity to raise new capital 9 a =m & am\nt det]m9$ by ! ,corporation4 7,d7 ,re/riction on activities ,require ! cov]$ entity to t]m9ate1 r$uce1 or modify any activity t creates excessive risk to ! cov]$ entity1 z det]m9$ by ! ,corporation4 7,e7 ,improvem5t ( managem5t ,take #a or m ( ! foll[+ actions3 7i7 ,new election ( ,bo>d ,ord] or hold a new election = ! bo>d ( directors ( ! cov]$ entity4 7ii7 ,dismissal ( directors or executive (fic]s ,require ! cov]$ entity to dismiss f (fice any director or executive (fic] :o _h held (fice = m ?an #ahj days imm$iately be=e ! date on :i* ! cov]$ entity became und]capitaliz$4 7iii7 ,employ qualifi$ executive (fic]s ,require ! cov]$ entity to employ qualifi$ executive (fic]s 7:o1 if ! ,corporation s specifies1 %all be subject to approval by ! ,corporation74 7e7 ,critically und]capitaliz$ 7#a7 ,regulat$ entity ,! ,corporation %all h ! au?ority to resolve a critically und]capitaliz$ regulat$ entity pursuant to section #acfg ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #dfag71 z am5d$ by ?is ,act4 7#b7 ,cov]$ entity ,! ,corporation %all h ! au?ority to resolve a cov]$ entity t is classifi$ z fail+ or critically und]capitaliz$ pursuant to ! resolution au?ority grant$ to ! ,corporation "u section #caa7;h71 section #cab7;h71 section #cac7;g71 & section #gjc7;i71 z applicable4 #cag4 ,own]%ip1 acquisitions1 & op]ations ( cov]$ entities 7a7 ,own]%ip & acquisitions ( cov]$ entities ,x %all be unlawful1 except ) ! prior approval ( ! ,corporation1 = any p]son to-- 7#a7 directly or indirectly own1 control1 or h p[] to vote #aj p]c5t ( any class ( vot+ %>es ( any cov]$ entity 7except to ! ext5t t vot+ /ock is requir$ to be pur*as$ by ,f$]al /atute z a condition to p>ticipate 9 ! programs ( ! cov]$ entity72 7#b7 control 9 any mann] ! election ( a majority ( ! directors or tru/ees ( any cov]$ entity2 7#c7 ex]cise a controll+ influ5ce ov] ! managem5t or policies ( any cov]$ entity2 7#d7 m]ge or consolidate ) any cov]$ entity2 or 7#e7 dive/ a cov]$ entity1 or any sub/antial l9e ( bus9ess ( a cov]$ entity1 into any surviv+ entity4 7b7 ,application & approval process 7#a7 ,9 g5]al ,! ,corporation %all e/abli%1 by regulation1 an application1 9 su* =m & mann] & requir+ su* in=mation z ! ,corporation may require1 = ! approval ( acquisitions1 m]g]s1 consolidations1 or dive/itures "u subsection 7a74 7#b7 ,application review ,! ,corporation %all-- 7,a7 e/abli% int]nal timel9es = its process+ ( applications "u ?is section1 includ+ timel9es = any action to approve or to d5y an application "u ?is section2 & 7,b7 notify any applicant seek+ to und]take an action describ$ "u subsection 7a7 ( ! decision ( ! ,corporation to approve or to d5y _! application z promptly z practicable4 7c7 ,/&>ds = approval ( application ,! ,corporation %all e/abli%1 by regulation1 /&>ds = ! approval by ! ,corporation ( acquisitions1 m]g]s1 consolidations1 or dive/itures "u subsection 7a74 ,! /&>ds requir$ "u ?is subsection %all1 at a m9imum1 be bas$ on-- 7#a7 ! application process e/abli%$ by ! ,corporation "u subsection 7b77#a72 7#b7 ! f9ancial hi/ory & condition ( ! applicant2 7#c7 ! capability ( ! managem5t ( ! applicant2 7#d7 ! g5]al "* & fitness ( ! (fic]s & directors ( ! applicant1 includ+ ! compliance hi/ory ( ! applicant's (fic]s & directors ) ,f$]al & ,/ate laws & ! rules & regulations promulgat$ by self-regulatory organizations 7z def9$ 9 section #c7;a77#bf7 ( ! ,securities ,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4 #gh;c7a77#bf771 z applicable2 7#e7 ! risk pres5t$ by su* acquisition1 m]g]1 consolidation1 or dive/iture to ! ,mortgage ,insurance ,fund2 7#f7 any o!r /&>d ! ,corporation det]m9es necess>y to promote competition & mitigate m>ket dislocations among cov]$ entities 9 ! second>y mortgage m>ket2 & 7#g7 any o!r /&>d ! ,corporation det]m9es necess>y or appropriate4 7d7 ,approval ,! ,corporation-- 7#a7 may approve any application made pursuant to ?is section if ! applicant meets ! /&>ds e/abli%$ "u subsection 7c72 7#b7 may n approve-- 7,a7 any application "u ?is section :i* w\ld result 9 a monopoly2 or 7,b7 any o!r propos$ acquisition or m]g] or consolidation "u ?is section ^: effect 9 any area ( ! ,unit$ ,/ates may be sub/antially to less5 competition1 or to t5d to create a monopoly1 or :i* 9 any o!r mann] w\ld be 9 re/ra9t ( trade1 unless ! ,corporation f9ds t ! anticompetitive effects ( ! propos$ transaction are cle>ly outweigh$ 9 ! public int]e/ by ! probable effect ( ! transaction 9 meet+ ! ne$s ( consum]s & ! communities s]v$2 & 7#c7 %all h ! au?ority to d5y any application made pursuant to p>agraph 7#a7 if an (fic] or director ( ! applicant has1 at any "t prior to ! date ( ! approval ( su* application1 be5-- 7,a7 subject to a /atutory disqualification pursuant to section #c7;a77#ci7 ( ! ,securities ,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4 #gh;c7a77#ci772 or 7,b7 susp5d$1 remov$1 or prohibit$ f p>ticipation pursuant to section #h7;g7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7;g771 prohibit$ f c]ta9 action pursuant to p>agraphs 7#f7 or 7#g7 ( section #h7;e7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7;e771 subject to an action result+ 9 a writt5 agreem5t or o!r writt5 /atem5t "u section #h7u77#a7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7u77#a771 = :i* a violation may be en=c$ by an appropriate ,f$]al bank+ ag5cy1 or subject to any f9al ord] issu$ ) respect to any adm9i/rative en=cem5t proce$+ initiat$ by su* ag5cy "u section #h ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah74 7e7 ,re/rictions on engag+ 9 o!r l9es ( bus9ess 7#a7 ,= approv$ gu>antors & approv$ multifamily gu>antors ,an approv$ gu>antor or approv$ multifamily gu>antor may n engage 9 any activity relat+ to ! bus9ess ( insurance1 o!r ?an any activity c>ri$ out by an approv$ gu>antor or approv$ multifamily gu>antor & approv$ by ! ,corporation pursuant to sections #caa or #gjc4 7#b7 ,o!r activities ,an approv$ gu>antor or approv$ multifamily gu>antor may engage 9 any bus9ess activity unrelat$ to ! bus9ess ( insurance1 subject to-- 7,a7 ! prior approval ( ! ,corporation2 & 7,b7 any t]ms & conditions set =? by ! ,corporation4 7#c7 ,rule ( con/ruction ,no?+ 9 p>agraph 7#a7 or 7#b7 %all be con/ru$ to prev5t an approv$ gu>antor f be+ an affiliate ( a private mortgage insur] if approv$ by ! ,corporation4 7f7 ,limits on support or gu>antee arrangem5t 7#a7 ,9 g5]al ,an approv$ gu>antor or approv$ multifamily gu>antor may n ent] into any agreem5t1 cov5ant1 or o!r arrangem5t 7includ+ any cr$it risk-%>+ arrangem5t7 ) an affiliate or o!r p]son to support1 gu>antee1 or f9ance any op]ation or activity ( t affiliate4 7#b7 ,support ,subject to any t]ms & conditions e/abli%$ by ! ,corporation1 by regulation or ord]1 an approv$ gu>antor or approv$ multifamily gu>antor may ent] into an agreem5t1 cov5ant1 or o!r arrangem5t ) an affiliate solely = ! purpose ( support+1 gu>antee+1 or f9anc+ an op]ation or activity ( ! approv$ gu>antor or approv$ multifamily gu>antor4 7#c7 ,rule ( con/ruction ,no?+ 9 ?is section %all sup]s$e ! requirem5ts "u sections #bc;,a & #bc;,b ( ! ,f$]al ,res]ve ,act 7#ab ,u4,s4,c4 #cga;c1 #cga;c-#a74 7g7 ,anti-/e]+ requirem5t 7#a7 ,9 g5]al ,! ,corporation %all1 by regulation1 prohibit disc\nts made by an approv$ gu>antor = any mortgage orig9ator t is an inve/or1 or an affiliate ( an inve/or1 9 ! approv$ gu>antor t are n o!rwise available to o!r simil> mortgage orig9ators4 7#b7 ,report ,! ,(fice ( ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation %all1 on an annual basis1 submit a report to ! ,corporation & to ,congress on ! practices & int]nal controls ( approv$ gu>antors ) respect to /e]+ or pref]5tial treatm5t = _! inve/ors prohibit$ by ?is section4 ,c ,securitization ,plat=m & ,transp>5cy 9 ,m>ket ,op]ations ,i ,securitization ,plat=m #cba4 ,e/abli%m5t ( ! ,securitization ,plat=m 7a7 ,9 g5]al ,! ,corporation %all e/abli% an entity kn[n z ! ,securitization ,plat=m 79 ?is "p ref]r$ to z ! ,plat=m7 t %all be a utility own$ by & op]at$ = ! b5efit ( its memb]s z-- 7#a7 a nonpr(it coop]ative2 or 7#b7 a coop]ative entity o!r ?an z describ$ "u p>agraph 7#a7 t-- 7,a7 be/ a*ieves ! purposes & obligations ( ! ,plat=m "u section #cbe2 & 7,b7 s]ves ! public int]e/4 7b7 ,regulat$ by ! ,corporation ,! ,plat=m %all be regulat$ & sup]vis$ by ! ,corporation4 7c7 ,incorporation 7#a7 ,non ,f$]al /atus ,! ,plat=m %all n be an ag5cy or in/rum5tality ( ! ,f$]al ,gov]nm5t4 7#b7 ,discretion z to legal =m ,! ,corporation %all det]m9e ! legal =m ( incorporation ( ! ,plat=m4 7#c7 ,situs ( incorporation ,! ,corporation %all-- 7,a7 det]m9e 9 :i* ( ! sev]al ,/ates to incorporate ! ,plat=m2 & 7,b7 h ! au?ority to am5d ! ,/ate ( incorporation to be/ effectuate ! purposes & obligations ( ?is "p & o!r provisions ( ?is ,act4 7#d7 ,tim+ ( incorporation ,n lat] ?an #a ye> aft] ! ag5cy transf] date1 ! ,corporation %all file & submit ! necess>y docum5ts to incorporate ! ,plat=m 9 ! ,/ate det]m9$ "u p>agraph 7#c77;,a74 7d7 ,fund+ by ! ,corporation & transf] ( prop]ty 7#a7 ,transf] ( funds f ! ,corporation ,at a "t e/abli%$ by ! ,corporation1 ! ,corporation %all transf] to ! ,plat=m su* funds z ! ,corporation1 9 consultation ) ! ,plat=m ,directors1 det]m9es may be reasonably necess>y = ! ,plat=m to beg9 c>ry+ out ! activities & op]ations ( ! ,plat=m4 7#b7 ,transf] ( prop]ty 7,a7 ,9 g5]al ,consi/5t ) title ,,vi1 ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 9 consultation ) ! ,corporation &1 z appropriate1 ! ent]prises1 may direct ! ent]prises to transf] or sell to ! ,plat=m any prop]ty1 includ+ b n limit$ to1 intellectual prop]ty1 te*nology1 sy/ems1 & infra/ructure 7includ+ te*nology1 sy/ems1 & infra/ructure develop$ by ! ent]prises = ! ,,csp71 z well z any o!r legacy sy/ems1 infra/ructure1 & processes t may be necess>y = ! ,plat=m to c>ry out ! functions & op]ations ( ! ,plat=m4 7,b7 ,contractual & o!r legal obligations ,z may be necess>y = ! ,corporation1 ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 & ! ent]prises to comply ) legal1 contractual1 or o!r obligations1 ! ,f$]al ,h\s+ ,f9ance ,ag5cy %all h ! au?ority to require t any transf] au?oriz$ pursuant to subp>agraph 7,a7 occurs z an ex*ange = value1 includ+ ?r\gh ! provision ( appropriate comp5sation to ! ent]prises 7includ+ z provid$ 9 subp>agraphs 7,c7 & 7,d771 or o!r entities responsible = creat+1 or contract+ )1 ! ,,csp4 7,c7 ,maximum return to s5ior pref]r$ %>ehold]s ( ! ent]prises ,! transf] or sale ( prop]ty to ! ,plat=m "u ?is p>agraph %all1 z appropriate1 be manag$ by ! ,f$]al ,h\s+ ,f9ance ,ag5cy to obta9 resolutions t maximize ! return = ! s5ior pref]r$ %>ehold]s ( ! ent]prises to ! ext5t t su* resolutions-- 7i7 are consi/5t ) facilitat+-- 7,i7 a deep1 liquid1 & resili5t second>y mortgage m>ket = s+le-family & multifamily mortgage-back$ securities to support access to mortgage cr$it 9 ! prim>y mortgage m>ket2 & 7,,ii7 an ord]ly transition f h\s+ f9ance m>kets facilitat$ by ! ent]prises to h\s+ f9ance m>kets facilitat$ by ! ,corporation ) m9imum disruption 9 ! availability ( loan cr$it2 7ii7 are consi/5t ) applicable ,f$]al & ,/ate law2 7iii7 comply ) ! requirem5ts ( ?is ,act & ! am5dm5ts made by ?is ,act2 & 7iv7 protect ! taxpay] f hav+ to absorb losses incurr$ 9 ! second>y mortgage m>ket4 7,d7 ,requir$ det]m9ations = sale ( assets to ! ,plat=m ,! ,f$]al ,h\s+ ,f9ance ,ag5cy may n require ! ent]prises to make a sale to ! ,plat=m "u subp>agraph 7,a7 t involves ! disposition ( ! prop]ty or assets ( ! ent]prises unless ! ,f$]al ,h\s+ ,f9ance ,ag5cy det]m9es t ! sale-- 7i7 is consi/5t ) an ord]ly transition f h\s+ f9ance m>kets facilitat$ by ! ent]prises to effici5t h\s+ f9ance m>kets facilitat$ by ! ,corporation ) m9imum disruption 9 ! availability ( loan cr$it2 7ii7 does n imp$e or o!rwise int]f]e ) ! ability ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy or ! ,corporation to c>ry out ! functions & requirem5ts ( ?is ,act2 7iii7 does n transf]1 convey1 or au?orize any gu>antee or ,f$]al support1 assi/ance1 or back+1 implicit or explicit1 relat$ to any su* prop]ty or assets be+ sold2 & 7iv7 w maximize ! return = ! s5ior pref]r$ %>ehold]s z requir$ "u subp>agraph 7,c74 7e7 ,plat=m op]ability ,! ,corporation %all e/abli% suffici5t r$undancies 9 ! ,plat=m s t 9 ! ev5t ( op]ational disruption ( ! ,plat=m1 !re is suffici5t back-up capacity to-- 7#a7 process paym5ts on exi/+ securities issu$ ?r\gh ! ,plat=m2 & 7#b7 /ructure1 =m1 & issue new securities ?r\gh ! ,plat=m4 7f7 ,use by o!r entities 9 exig5t circum/ance 7#a7 ,9 g5]al ,on & aft] ! sy/em c]tification date1 if ! ,corporation det]m9es t op]ational or o!r problems ) ! ,plat=m d n p]mit ! ,plat=m to op]ate 9 a mann] t all[s ! ,plat=m to a*ieve ! purposes & obligations ( ! ,plat=m "u section #cbe1 ! ,corporation %all h ! au?ority to p]mit ! ,plat=m ,directors to use entities o!r ?an ! ,plat=m to p]=m ! issuance functions requir$ to be p]=m$ ?r\gh ! ,plat=m & t are necess>y = ! prop] function+ ( ! second>y mortgage m>ket4 7#b7 ,rule ( con/ruction ,any entity p]mitt$ to p]=m issuance functions t w\ld ord9>ily be expect$ to be p]=m$ by ! ,plat=m "u p>agraph 7#a7 %all be regulat$ & sup]vis$1 z appropriate1 by ! ,corporation z if su* entity 7 ! ,plat=m itself4 #cbb4 ,managem5t ( ! ,plat=m 7a7 ,plat=m ,directors 7#a7 ,au?ority ( ! ,bo>d 7,a7 ,9 g5]al ,! ,plat=m ,directors %all h all ! p[]s necess>y to c>ry out ! purposes1 p[]s1 & functions ( ! ,plat=m1 & 9 ! ex]cise ( su* purposes1 p[]s1 & functions1 & ^u approval ( ! ,corporation1 %all adopt su* rules & guidance & issue su* ord]s z ! ,plat=m ,directors deem necess>y & appropriate4 7,b7 ,conflicts ( int]e/ ,! ,plat=m ,directors %all develop policies & proc$ures to monitor & mitigate pot5tial conflicts ( int]e/ 9 c>ry+ out ! purposes1 p[]s1 & functions ( ! ,plat=m4 7#b7 ,initial ,bo>d 7,a7 ,composition ,! initial ,plat=m ,directors %all be compris$ ( #e directors1 ea* ( :om %all be appo9t$ by ! ,bo>d ( ,directors b none ( :om %all be a memb] ( ! ,bo>d ( ,directors4 7,b7 ,tim+ ( appo9tm5t ( initial ,plat=m ,directors ,! initial ,plat=m ,directors %all be appo9t$ pursuant to subp>agraph 7,a7 n lat] ?an #ahj days aft] ! lat] (-- 7i7 ! fil+ ( ! necess>y docum5ts to incorporate ! ,plat=m z requir$ "u section #cba7;c72 or 7ii7 ! approval ( ! incorporation ( ! ,plat=m by ! relevant ,/ate4 7,c7 ,t]m 7i7 ,9 g5]al ,ea* initial ,plat=m ,director appo9t$ pursuant to subp>agraph 7,a7 %all s]ve = a t]m ( #a ye>4 7ii7 ,au?ority to ext5d t]m ,! ,bo>d ( ,directors may-- 7,i7 9 its discretion1 ext5d = an additional ye> ! t]m ( ea* initial ,plat=m ,director appo9t$ pursuant to subp>agraph 7,a72 & 7,,ii7 ^u a det]m9ation by ! ,corporation t ! ,plat=m memb]%ip does n reflect ! div]sity or v>iety ( m>ket p>ticipants requir$ to conduct ! election ( ! ,plat=m ,directors "u p>agraph 7#c71 ext5d = an additional #b ye>s ! t]m ( ea* initial ,plat=m ,director appo9t$ pursuant to subp>agraph 7,a74 7,d7 ,purpose ( ! initial ,plat=m ,directors ,! initial ,plat=m ,directors %all-- 7i7 draft & enact initial bylaws & o!r gov]nance docum5ts = ! op]ation ( ! ,plat=m1 includ+ policies & proc$ures pursuant to p>agraph 7#a77;,b72 7ii7 e/abli% crit]ia = memb]%ip 9 ! ,plat=m consi/5t ) ! requirem5ts ( section #cbc2 7iii7 e/abli% any necess>y initial fee /ructures or usage fee /ructures "u section #cbd2 & 7iv7 organize & conduct ! election ( ! ,plat=m ,directors f ! ,plat=m memb]s z requir$ by p>agraph 7#c74 7#c7 ,elect$ ,bo>d 7,a7 ,requir$ election2 tim+ ( election ,^u ! expiration ( ! t]m ( ! memb]s ( ! initial ,plat=m ,directors1 ! memb]s ( ! ,plat=m %all1 9 accordance ) subp>agraphs 7,b7 ?r\gh 7,f71 elect new ,plat=m ,directors4 7,b7 ,composition 7i7 ,div]sity ,! ,plat=m ,directors elect$ pursuant to ?is p>agraph %all reflect ! div]se range ( ,plat=m memb]s1 includ+ l>ge1 mid-size1 & small bus9ess memb]s4 7ii7 ,memb]s 7,i7 ,9 g5]al ,! ,plat=m ,directors elect$ pursuant to ?is p>agraph %all be compris$ ( #i directors z foll[s3 7aa7 #h memb] directors1 includ+-- 7,,aa7 #g memb] directors :o %all be elect$ f among repres5tatives ( ! memb]s 9 ! ,plat=m1 at lea/ #a ( :om %all repres5t ! int]e/s ( small mortgage l5d]s2 & 7,,bb7 #a memb] director :o %all be a repres5tative ( a small l5d] mutual1 z e/abli%$ "u section #cae7k74 7bb7 #a indep5d5t director4 7,,ii7 ,indep5d5t director ,! indep5d5t director elect$ pursuant to ?is p>agraph-- 7aa7 %all n be an affiliate ( any memb] 9 ! ,plat=m2 & 7bb7 %all h demon/rat$ k (1 or exp]i5ce 91 f9ancial managem5t1 f9ancial s]vices1 risk managem5t1 in=mation te*nology1 or h\s+ f9ance1 :i* may include af=dable h\s+ f9ance4 7,c7 ,*airp]son ,! ,*airp]son ( ! ,plat=m ,directors %all be elect$ f among ! ,plat=m ,directors elect$ "u ?is p>agraph4 7,d7 ,t]m 7i7 ,9 g5]al ,ea* ,plat=m ,director elect$ "u ?is p>agraph %all s]ve = a t]m ( #b ye>s4 7ii7 ,/agg]$ t]ms ,not)/&+ clause 7i7-- 7,i7 ! fir/ elect$ *airp]son ( ! ,plat=m ,directors %all be elect$ to s]ve = a t]m ( #b ye>s2 & 7,,ii7 ( ! fir/ #h o!r ,plat=m ,directors n elect$ to s]ve z *airp]son3 7aa7 #d %all be elect$ to s]ve = a t]m ( #b ye>s4 7bb7 #d %all be elect$ to s]ve an initial t]m ( #a ye>4 7,e7 ,equal votes ,plat=m ,directors %all h equal vot+ rights on any matt]s be=e ! ,plat=m ,directors4 7,f7 ,nom9ation & election proc$ures ,proc$ures = ! nom9ation & election ( ,plat=m ,directors %all be prescrib$ by ! bylaws adopt$ by ! ,plat=m ,directors 9 a mann] consi/5t ) ! purposes & provisions ( ?is "p4 7,g7 ,re/ructur+ ( ,plat=m ,directors ,! ,plat=m ,directors elect$ "u ?is p>agraph1 ) approval f ! ,corporation1 may *oose to re/ructure or reorganize ! ,plat=m ,directors 9 a mann] diff]5t ?an :at is specifi$ "u ?is p>agraph foll[+ a det]m9ation by ! ,plat=m ,directors & ! ,corporation t a diff]5t ,plat=m bo>d /ructure or ,plat=m bo>d composition w\ld bett] a*ieve ! purposes & obligations ( ?is ,act1 or bett] s]ve ! own]s ( ! ,plat=m 9 a mann] consi/5t ) ! public int]e/4 7b7 ,executive (fic]s ,! ,plat=m ,directors %all appo9t a *ief executive (fic]1 *ief f9ancial (fic]1 comptroll]1 *ief regulatory (fic]1 & any o!r (fic]s z ! ,plat=m ,directors deem necess>y to c>ry out ! managem5t & adm9i/ration ( ! functions & op]ations ( ! ,plat=m4 #cbc4 ,memb]%ip 9 ! ,plat=m 7a7 ,application 7#a7 ,9 g5]al ,a p]son seek+ to become a memb] 9 ! ,plat=m1 or to be re9/at$ z a memb] 9 ! ,plat=m1 %all file an application ) ! ,plat=m ,directors4 7#b7 ,/&>ds ,consi/5t ) a*iev+ a broad memb]%ip t includes small mortgage l5d]s1 z well z l>ge1 mid-size1 & small bus9ess memb]s1 ! ,plat=m ,directors %all develop proc$ures & /&>ds =-- 7,a7 ! application ( p]sons seek+ to become memb]s 9 ! ,plat=m2 & 7,b7 ! approval ( applicants = memb]%ip 9 ! ,plat=m4 7#c7 ,additional /&>ds = approv$ entities ,! /&>ds = ! approval by ! ,plat=m ,directors ( an approv$ entity z a memb] 9 ! ,plat=m %all be consi/5t ) & supplem5t any /&>ds1 requirem5ts1 & obligations applicable to ! approv$ entity "u subtitle ,b ( ?is title1 or any o!r provision ( ?is ,act4 7b7 ,memb]s ,! ,plat=m ,directors may approve z a memb] ( ! ,plat=m any p]son t applies = memb]%ip 9 ! ,plat=m pursuant to subsection 7a7 t is-- 7#a7 a mortgage aggregator2 7#b7 a mortgage gu>antor2 7#c7 a mortgage orig9ator2 7#d7 a ,f$]al ,home ,loan ,bank or a subsidi>y or jo9t (fice approv$ "u section #cab ( "o or m ,f$]al ,home ,loan ,banks2 7#e7 a small l5d] mutual e/abli%$ or approv$ "u section #cae2 or 7#f7 any o!r m>ket p>ticipant1 provid$ t 9 ! sole det]m9ation ( ! ,plat=m ,directors1 hav+ su* m>ket p>ticipant z a memb] ( ! ,plat=m is necess>y or helpful to fulfill+ ! purposes & obligations ( ! ,plat=m "u section #cbe4 7c7 ,t]m9ation ,! ,plat=m ,directors may t]m9ate memb]%ip 9 ! ,plat=m ( any memb] = failure to adh]e to any /&>ds e/abli%$ by ! ,plat=m ,directors4 #cbd4 ,fees 7a7 ,9 g5]al ,! ,plat=m ,directors may assess & collect fees1 & may1 9 _! discretion1 increase or decrease su* fees1 f ! memb]s 9 ! ,plat=m-- 7#a7 = initial memb]%ip 9 ! ,plat=m1 consi/5t ) ! requirem5ts ( subsection 7b72 7#b7 to ma9ta9 ongo+ memb]%ip 9 ! ,plat=m2 7#c7 = use ( ! ,plat=m1 consi/5t ) ! requirem5ts ( subsection 7c72 & 7#d7 to cov] ! ongo+ co/s ( ! functions & op]ations ( ! ,plat=m1 includ+-- 7,a7 ! pur*ase ( prop]ty1 te*nology1 & sy/ems develop$ by ei!r ent]prise or o!rs2 7,b7 to develop & inve/ 9 new te*nology2 7,c7 to build a capital base t w\ld be able to (fset1 or o!rwise mitigate1 losses t might occur due to ! pot5tial op]ational failure ( ! ,plat=m2 & 7,d7 to conduct any o!r activities approv$ by ! ,plat=m ,directors4 7b7 ,initial fee ,^u approval ( its application to become a memb] 9 ! ,plat=m1 ea* new approv$ memb] %all pay to ! ,plat=m a fee 9 an am\nt to be det]m9$ by ! ,plat=m ,directors1 provid$ t su* fee am\nt is consi/5t ) obta9+ a broad memb]%ip 9 ! ,plat=m t includes small mortgage l5d]s1 z well z l>ge1 mid-size1 & small bus9ess memb]s4 7c7 ,usage fees 7#a7 ,e/abli%m5t ,ea* memb] 9 ! ,plat=m %all pay usage fees1 z su* fees are det]m9$ by ! ,plat=m ,directors4 7#b7 ,review ( fees ,! ,plat=m ,directors %all1 n less ?an annually1 review ! fee /ructure e/abli%$ "u ?is subsection & submit any result+ recomm5dations to am5d ! fee /ructure to ! ,corporation4 7#c7 ,assessm5t & measurem5t 7,a7 ,9 g5]al ,except z o!rwise provid$ "u subp>agraphs 7,b7 & 7,c71 usage fees *>g$ & collect$ "u ?is subsection %all be equitably assess$ & bas$ ^u ! memb]'s use ( ! s]vices (f]$ by ! ,plat=m1 z su* use is to be measur$ by ! total pr9cipal balance ( ! mortgage loans or mortgage-back$ securities securitiz$ = ! memb] ?r\gh ! ,plat=m4 7,b7 ,ti]$ fee options ,if ! ,plat=m ,directors det]m9e t c]ta9 entities face a b>ri] to use ! ,plat=m1 ! ,plat=m ,directors may adopt a ti]$ usage fee /ructure to promote great] access & a m competitive m>ket = ! ,plat=m t may include diff]5tial fee /ructures = usage fee *>ges incurr$ by h\s+ f9ance ag5cies1 small mortgage l5d]s1 ,community ,developm5t ,f9ancial ,in/itutions1 mission-bas$ nonpr(it l5d]s1 community l& tru/s1 p]man5tly af=dable home[n]%ip programs1 or o!r organizations select$ by ! ,corporation4 7,c7 ,ti]$ fee option = cov]$ & noncov]$ securities ,! ,plat=m ,directors may adopt a ti]$ usage fee /ructure "u ?is subsection t may include diff]5tial fee /ructures = usage fee *>ges = ! issuance ( noncov]$ securities t diff] f ! usage fees *>g$ = ! issuance ( cov]$ securities4 7#d7 ,paym5t ,usage fees *>g$ "u ?is subsection %all be paid by ! memb] at ! "t ! mortgage loans or mortgage-back$ securities are deliv]$ by ! memb] to ! ,plat=m4 7d7 ,corporation review ( initial fees & usage fees 7#a7 ,9 g5]al ,! ,plat=m ,directors %all submit any fee /ructure proposal = initial fees or usage fees "u subsection 7b7 or 7c7 to ! ,corporation4 ,! ,corporation %all approve any initial fee or usage fee /ructure propos$ by ! ,plat=m ,directors unless ! ,corporation det]m9es t ! fee /ructure is n consi/5t )-- 7,a7 facilitat+1 a deep1 liquid1 & resili5t second>y mortgage m>ket = mortgage-back$ securities2 & 7,b7 ! purposes & obligations ( ! ,plat=m "u section #cbe4 7#b7 ,automatic e/abli%m5t ( fees abs5t ,corporation disapproval ,if ! ,corporation does n issue an ord] ( disapproval ( an initial fee or usage fee /ructure propos$ by ! ,plat=m ,directors )9 #fj days foll[+ ! submission ( ! propos$ initial fee or usage fee /ructure to ! ,corporation1 ! propos$ initial fee or usage fee /ructure %all automatically g into effect = ! ,plat=m & its memb]s4 7#c7 ,impact ( ,corporation disapproval ,if ! ,corporation disapproves an initial fee or usage fee /ructure propos$ by ! ,plat=m ,directors pursuant to ?is subsection1 ! ,plat=m ,directors may-- 7,a7 submit to ! ,corporation a revis$ fee or usage fee /ructure = approval2 or 7,b7 if applicable1 use ! exi/+ approv$ fee or usage fee /ructure4 #cbe4 ,purposes & obligations ( ! ,plat=m 7a7 ,purpose ,! purposes ( ! ,plat=m e/abli%$ "u section #cba are to-- 7#a7 pur*ase & receive f its memb]s eligible mortgage loans or securities collat]aliz$ by eligible mortgage loans = securitization by issu]s z cov]$ securities2 7#b7 issue ?r\gh ! ,plat=m to its memb]s /&>diz$ cov]$ securities1 or o!r cov]$ securities1 insur$ by ! ,corporation pursuant to ?is ,act2 7#c7 pur*ase & receive f its memb]s noneligible mortgage loans or securities n collat]aliz$ by eligible mortgage loans = securitization z noncov]$ securities1 to ! ext5t desir$ or reque/$ by its memb]s2 & 7#d7 issue to its memb]s /&>diz$ noncov]$ securities1 or o!r noncov]$ securities1 t are n insur$ by ! ,corporation pursuant to ?is ,act1 to ! ext5t desir$ or reque/$ by its memb]s4 7b7 ,p[]s & functions ,! p[]s & functions ( ! ,plat=m are to-- 7#a7 develop ! ability to issue1 & to issue1 /&>diz$ cov]$ securities1 insur$ by ! ,corporation pursuant to ?is ,act1 9 accordance ) subsection 7e72 7#b7 develop1 adopt1 & publi% /&>diz$ securitization docum5ts & agreem5ts 7includ+1 b n limit$ to1 uni=m pool+1 tru/1 & cu/odial agreem5ts7-- 7,a7 requir$ = all cov]$ securities issu$ by or ?r\gh ! ,plat=m 9 accordance ) section #cbf7;a7 7& :i* %all be made optional = all noncov]$ securities issu$ ?r\gh ! ,plat=m72 & 7,b7 :i*-- 7i7 %all be draft$ 9 consultation ) ! ,corporation1 ! ,bureau ( ,consum] ,f9ancial ,protection1 ! ,dep>tm5t ( ,h\s+ & ,urban ,developm5t1 & su* o!r ,f$]al regulatory ag5cies z ! ,plat=m ,directors det]m9e appropriate2 7ii7 may rely ^u exi/+ docum5tation & =ms requir$ by ! ent]prises or o!r ,f$]al regulatory ag5cies1 to ! ext5t det]m9$ by ! ,plat=m ,directors to be practical or appropriate2 & 7iii7 be=e be+ issu$ ?r\gh ! ,plat=m1 %all be approv$ by ! ,corporation z be+ consi/5t )-- 7,i7 ! requirem5ts "u section #cbf7;a72 & 7,,ii7 facilitat+ a deep1 liquid1 & resili5t second>y mortgage m>ket = mortgage-back$ securities2 7#c7 develop /&>diz$ docum5ts approv$ by ! ,corporation = s]vic+ & loss mitigation /&>ds pursuant to section #cad = eligible mortgage loans t collat]alize ! cov]$ securities issu$ ?r\gh ! ,plat=m to its memb]s1 :i* %all be bas$ on /&>ds set by ! ,corporation & :i* may rely ^u exi/+ docum5tation & =ms requir$ by ! ent]prises or o!r ,f$]al or ,/ate regulatory ag5cies1 to ! ext5t det]m9$ by ! ,plat=m ,directors to be practical or appropriate2 7#d7 z expressly provid$ 9 section #cbf7;b77#b77;,f71 develop1 adopt1 & publi% ! requir$ contractual t]ms = contracts = noncov]$ securities issu$ ?r\gh ! ,plat=m1 :i* %all be-- 7,a7 develop$ 9 consultation ) ! ,corporation1 ! ,bureau ( ,consum] ,f9ancial ,protection1 ! ,dep>tm5t ( ,h\s+ & ,urban ,developm5t1 & su* o!r ,f$]al regulatory ag5cies z ! ,plat=m ,directors det]m9e appropriate2 & 7,b7 be=e be+ issu$ ?r\gh ! ,plat=m1 approv$ by ! ,corporation z be+ consi/5t )-- 7i7 ! requirem5ts "u section #cbf7;b72 & 7ii7 facilitat+ a deep1 liquid1 & resili5t second>y mortgage m>ket = mortgage-back$ securities2 7#e7 develop1 adopt1 & publi% optional /&>diz$ securitization docum5ts & agreem5ts 7includ+1 b n limit$ to1 uni=m pool+1 tru/1 & cu/odial agreem5ts7 tailor$ = noncov]$ securities issu$ ?r\gh ! ,plat=m1 & :i* may be us$ z desir$ or reque/$ by ! memb]s ( ! ,plat=m1 9 accordance ) section #cbf7;c71 & :i* /&>diz$ securitization docum5ts & agreem5ts-- 7,a7 %all be draft$ 9 consultation ) ! ,corporation1 ! ,bureau ( ,consum] ,f9ancial ,protection1 ! ,dep>tm5t ( ,h\s+ & ,urban ,developm5t1 & su* o!r ,f$]al regulatory ag5cies z ! ,plat=m ,directors det]m9e appropriate2 7,b7 may rely ^u exi/+ docum5tation & =ms requir$ by ! ent]prises or o!r ,f$]al or ,/ate regulatory ag5cies1 to ! ext5t det]m9$ by ! ,plat=m ,directors to be practical or appropriate2 & 7,c7 be=e be+ issu$ ?r\gh ! ,plat=m1 %all be approv$ by ! ,corporation z be+ consi/5t )-- 7i7 ! requirem5ts "u section #cbf7;c72 & 7ii7 facilitat+ a deep1 liquid1 & resili5t second>y mortgage m>ket = mortgage-back$ securities2 7#f7 ! ext5t n o!rwise provid$ 9 p>agraphs 7#b71 7#c71 & 7#e71 to endeavor to use or rely ^u exi/+ docum5tation & =ms requir$ by ! ent]prises or o!r ,f$]al or ,/ate regulatory ag5cies1 to ! ext5t det]m9$ by ! ,plat=m ,directors to be practical or appropriate2 7#g7 e/abli% a /rong bus9ess cont9uity plan t meets indu/ry be/ practices & e/abli% suffici5t r$undancies s t 9 ! ev5t ( an op]ational failure ( ! ,plat=m !re is suffici5t back-up capacity to process paym5ts & issue cov]$ & noncov]$ securities2 7#h7 v]ify t ! eligible mortgage loans & securities collat]aliz$ by eligible mortgage loans pur*as$ & receiv$ by ! ,plat=m1 includ+ f any small l5d] mutual e/abli%$ or approv$ "u section #cae1 = securitization z cov]$ securities1 meet ! requirem5ts = cov]$ securities "u ?is ,act & any regulations adopt$ by ! ,corporation pursuant !reto2 7#i7 v]ify t ! noneligible mortgage loans & securities n collat]aliz$ by eligible mortgage loans pur*as$ & receiv$ by ! ,plat=m1 includ+ f any small l5d] mutual e/abli%$ or approv$ "u section #cae1 = securitization z noncov]$ securities1 meet ! requirem5ts = noncov]$ securities "u ?is ,act & any regulations adopt$ by ! ,corporation pursuant !reto2 7#aj7 = ! purpose ( securitization1 pur*ase or receive f memb]s ( ! ,plat=m-- 7,a7 eligible mortgage loans1 pools ( eligible mortgage loans1 securities collat]aliz$ by eligible mortgage loans1 or out/&+ mortgage-back$ securities issu$ by ! ent]prises = securitization z cov]$ securities2 & 7,b7 noneligible mortgage loans1 pools ( noneligible mortgage loans1 or securities collat]aliz$ by noneligible mortgage loans = securitization z noncov]$ securities1 to ! ext5t desir$ or reque/$ by memb]s ( ! ,plat=m2 7#aa7 = ! purpose ( securitization1 facilitate ! issuance (-- 7,a7 all cov]$ securities ( memb]s ( ! ,plat=m t are collat]aliz$ by eligible mortgage loans1 or out/&+ mortgage-back$ securities issu$ by ! ent]prises2 7,b7 all cov]$ securities ( memb]s ( ! ,plat=m t are pool$ f-- 7i7 a s+le mortgage orig9ator1 mortgage aggregator1 approv$ entity1 or regulat$ entity2 or 7ii7 multiple mortgage orig9ators1 mortgage aggregators1 approv$ entities1 or regulat$ entities2 7,c7 noncov]$ securities collat]aliz$ by noneligible mortgage loans receiv$ f memb]s ( ! ,plat=m2 & 7,d7 noncov]$ securities collat]aliz$ by noneligible mortgage loans receiv$ f memb]s ( ! ,plat=m t are pool$ f-- 7i7 a s+le mortgage orig9ator1 mortgage aggregator1 or regulat$ entity2 or 7ii7 multiple mortgage orig9ators1 mortgage aggregators1 or regulat$ entities2 7#ab7 p]=m bond adm9i/ration1 data validation1 & report+ = all cov]$ & noncov]$ securities issu$ ?r\gh ! ,plat=m1 includ+ ^? issu$ on behalf ( any small l5d] mutual e/abli%$ or approv$ "u section #cae2 7#ac7 facilitate sy/ems to l[] b>ri]s to entry = new mortgage orig9ators & approv$ entities or access to memb]%ip 9 ! ,plat=m2 7#ad7 provide ess5tial functions necess>y to issue /&>diz$ securities :i* may be compatible ) ! ,to-,be-,ann\nc$ m>ket1 = cov]$ securities &1 if appropriate1 noncov]$ securities2 7#ae7 manage op]ational & sy/ems relat$ risks associat$ ) deliv]+ cov]$ & noncov]$ securities & receiv+ eligible & noneligible mortgage loans2 7#af7 develop ! capability to (f] securitization s]vices to private label issu]s2 7#ag7 require ! s]vic+ docum5tation us$ = mortgage loans t collat]alize securities issu$ ?r\gh ! ,plat=m to provide a /&>d me?od 7:i* may include ! use ( a s+le electronic v]ification sy/em7 = a mortgagor :o has be5 d5i$ a loan modification to v]ify su* d5ial at no co/ to ! mortgagor2 7#ah7 facilitate ! issuance ( securitizations = multifamily loans1 e/abli% common docum5tation1 or develop o!r requirem5ts necess>y to p]mit ! ,plat=m1 or a subsidi>y or affiliate !re(1 to be us$ = multifamily loan securitizations if ! ,plat=m ,directors issue a det]m9ation t x w\ld be desirable & practical = ! ,plat=m1 or a subsidi>y or affiliate !re(1 to be us$ to issue or o!rwise facilitate multifamily loan securitizations2 & 7#ai7 e/abli%1 n lat] ?an ! sy/em c]tification date1 a ,collat]al ,valuation ,advisory ,committee-- 7,a7 :i* %all be compris$ ( #i memb]s appo9t$ by ! ,plat=m ,directors1 includ+ repres5tatives ( apprais]s1 appraisal managem5t companies1 mortgage orig9ators 7includ+ small mortgage l5d]s71 inve/ors1 real e/ate pr(essionals1 homebuild+ pr(essionals1 consum] advocates1 z well z ,f$]al & ,/ate appraisal regulatory organizations2 7,b7 ! purpose ( :i* %all be to-- 7i7 provide recomm5dations to ! ,plat=m & ! ,corporation reg>d+ second>y mortgage m>ket resid5tial appraisal guidel9es1 /&>ds1 & report+ =mats consi/5t ) ! ,real ,e/ate ,settlem5t ,proc$ures ,act 7#ab ,u4,s4,c4 #bfjc71 ! ,tru? 9 ,l5d+ ,act 7#ae ,u4,s4,c4 #afca et seq471 & all o!r applicable ,f$]al & ,/ate laws2 & 7ii7 make recomm5dations reg>d+ ! cont9uation ( a repository = valuation reports1 tak+ into acc\nt exi/+ op]ational /ructures & contractual arrangem5ts2 & 7,c7 :i*1 9 fulfill+ its purpose "u ?is p>agraph1 %all1 z appropriate1 consult & coord9ate ) ! ,appraisal ,subcommittee ( ! ,f$]al ,f9ancial ,in/itutions ,exam9ations ,c\ncil e/abli%$ "u title ,,xi ( ! ,f9ancial ,in/itutions ,re=m1 ,recov]y1 & ,en=cem5t ,act ( #aihi 7#ab ,u4,s4,c4 #ccca et seq474 7c7 ,prohibit$ activities ,! ,plat=m may n-- 7#a7 gu>antee any mortgage loans or mortgage-back$ securities2 7#b7 assume or hold mortgage loan cr$it risk2 7#c7 pur*ase any mortgage loans = ca% on a s+le loan basis = ! purpose ( securitization2 7#d7 und]take ! issuance ( any cov]$ securities ?r\gh ! ,plat=m unless ! fir/ loss position is already held by a private entity2 7#e7 own or hold any mortgage loans or mortgage-back$ securities = inve/m5t purposes2 7#f7 make or be a p>ty to any repres5tation & w>ranty agreem5t on any mortgage loans2 or 7#g7 take l5d] repres5tation & w>ranty risk4 7d7 ,int]op]ability ) multifamily loan securitization issuance ,! ,plat=m %all be develop$ 9 a mann] t may p]mit1 & w\ld n preclude1 ! ,plat=m1 or any subsidi>y or affiliate !re(1 to be us$ = ! issuance ( multifamily loan securitizations1 provid$ t ! developm5t ( ?is vehicle = multifamily loan securitizations does n delay ! ability ( ! ,plat=m to p]=m its obligations "u ?is section ) respect to s+le-family securities by ! sy/em c]tification date4 7e7 ,tim+ ( ,plat=m capacity to develop & to issue /&>diz$ securities = ! s+le-family cov]$ securities ,n lat] ?an #b ye>s foll[+ ! election ( ! ,plat=m ,directors "u section #cbb7;a77#c71 or z o!rwise p]mitt$ "u section #fja1 ! ,plat=m %all develop ! ,plat=m's ability to issue1 & issue1 /&>diz$ securities = s+le-family cov]$ securities4 7f7 ,discretion = ,plat=m ,directors to issue /&>diz$ securities = s+le-family noncov]$ securities ,! ,plat=m ,directors may develop an ability = ! ,plat=m to issue /&>diz$ securities = s+le-family noncov]$ securities1 if ! ,plat=m ,directors det]m9e t suffici5t dem& exi/s among ! ,plat=m memb]s = ! ,plat=m to issue su* a product4 #cbf4 ,uni=m securitization agreem5ts = cov]$ securities & requir$ contractual t]ms = noncov]$ securities 7a7 ,requir$ uni=m securitization agreem5ts = cov]$ securities issu$ ?r\gh ! ,plat=m 7#a7 ,9 g5]al ,! ,plat=m ,directors %all develop /&>d uni=m securitization agreem5ts = all cov]$ securities to be issu$ ?r\gh ! ,plat=m1 z requir$ pursuant to section #cbe7;b77#b74 7#b7 ,requir$ t]ms ,! /&>d uni=m securitization agreem5ts requir$ to be develop$ "u p>agraph 7#a7 %all include t]ms relat+ to-- 7,a7 pool+ & s]vic+1 includ+ ! developm5t ( uni=m /&>ds & practices consi/5t ) ! /&>ds specifi$ by ! ,corporation pursuant to section #cad2 7,b7 loss mitigation proc$ures consi/5t ) ^? specifi$ by ! ,corporation pursuant to section #cad2 7,c7 m9imum repres5tations & w>ranties2 7,d7 indemnification & rem$ies1 includ+ = ! re/itution or indemnification ( ! ,corporation ) respect to e>ly t]m del9qu5cies ( eligible mortgage loans t collat]alize a cov]$ security2 7,e7 ! requirem5ts ( ! ind5ture = mortgage-back$ securities t are exempt f ! ,tru/ ,ind5ture ,act ( #aici 7#ae ,u4,s4,c4 #gg;aaa et seq47 & ! requirem5ts1 responsibilities1 & duties ( tru/ees1 z set =? 9 ! ind5ture or pool+ & s]vic+ agreem5t2 7,f7 ! qualification1 responsibilities1 & duties ( tru/ees2 & 7,g7 any o!r t]ms or /&>ds ! ,plat=m ,directors1 ) approval ( ! ,corporation1 det]m9e to be necess>y or appropriate4 7#c7 ,def9+ repres5tation & w>ranty violations ,9 develop+ ! uni=m securitization agreem5ts requir$ "u p>agraph 7#a71 ! ,plat=m ,directors %all also develop1 adopt1 & publi%1 ^u approval by ! ,corporation1 cle> & uni=m /&>ds t def9e & illu/rate :at actions1 or omissions to act1 comprise a violation ( ! repres5tations & w>ranties clauses t are made a "p ( su* agreem5ts4 7b7 ,requir$ contractual t]ms = contracts = all noncov]$ securities issu$ ?r\gh ! ,plat=m 7#a7 ,9 g5]al ,all contracts = noncov]$ securities issu$ ?r\gh ! ,plat=m %all include a set ( requir$ contractual t]ms relat+ to ! obligations ( ! p>ties to ea* contract4 7#b7 ,requir$ contractual t]ms ,! requir$ contractual t]ms = agreem5ts = all noncov]$ securities issu$ ?r\gh ! ,plat=m %all provide ! obligations ( ! p>ties to a contract includ+ ! foll[+ consid]ations3 7,a7 ,pool+ & s]vic+4 7,b7 ,loss mitigation proc$ures4 7,c7 ,repres5tations & w>ranties4 7,d7 ,indemnification & rem$ies4 7,e7 ,! qualification1 responsibilities1 & duties ( tru/ees1 includ+1 b n limit$ to1 requirem5ts set =? 9 ! ind5ture or pool+ & s]vic+ agreem5t1 or any applicable provisions ( ! ,tru/ ,ind5ture ,act ( #aici 7#ae ,u4,s4,c4 #gg;aaa et seq474 7,f7 ,o!r t]ms or /&>ds ! ,plat=m ,directors1 ) approval ( ! ,corporation1 det]m9e to be necess>y or appropriate to protect or facilitate ! op]ation ( ! ,plat=m4 7#c7 ,p]missible adju/m5ts ,p>ties to contracts = noncov]$ securities describ$ "u ?is subsection may supplem5t ! requir$ contractual t]ms id5tifi$ "u p>agraph 7#b7 ) any additional contractual t]ms s desir$ by ! p>ties to contracts = noncov]$ securities issu$ ?r\gh ! ,plat=m4 7c7 ,optional uni=m securitization agreem5ts = noncov]$ securities issu$ ?r\gh ! ,plat=m ,! ,plat=m ,directors may develop optional uni=m securitization agreem5ts = use by noncov]$ securities t are issu$ ?r\gh ! ,plat=m t include /&>ds & obligations t are diff]5t f ^? includ$ 9 ! uni=m securitization agreem5ts = cov]$ securities z set =? 9 subsection 7a71 provid$ t-- 7#a7 ! agreem5ts include ! requir$ contractual t]ms requir$ = noncov]$ securities t are issu$ ?r\gh ! ,plat=m set =? 9 subsection 7b72 & 7#b7 ! ,plat=m ,directors det]m9e t suffici5t dem& exi/s among ! memb]s ( ! ,plat=m = ! ,plat=m to issue su* optional uni=m securitization agreem5ts = use by noncov]$ securities4 7d7 ,agreem5ts = noncov]$ securities issu$ (f ! ,plat=m ,no?+ 9 ?is section %all preclude1 or require1 noncov]$ securities t are n issu$ ?r\gh ! ,plat=m f adopt+ !-- 7#a7 uni=m securitization agreem5ts = cov]$ securities issu$ ?r\gh ! ,plat=m develop$ "u subsection 7a72 7#b7 optional uni=m securitization agreem5ts = noncov]$ securities issu$ ?r\gh ! ,plat=m develop$ "u subsection 7c72 or 7#c7 requir$ contractual t]ms = contracts = noncov]$ securities issu$ ?r\gh ! ,plat=m develop$ "u subsection 7b74 7e7 ,consultation requir$ ,! ,plat=m ,directors %all consult ) m>ket p>ticipants1 includ+ s]vic]s1 orig9ators1 issu]s1 & mortgage inve/ors1 & community /akehold]s & repres5tatives ( home[n]s 9 develop+-- 7#a7 ! uni=m securitization agreem5ts pursuant to subsection 7a72 7#b7 ! requir$ contractual t]ms = contracts = noncov]$ securities issu$ ?r\gh ! ,plat=m pursuant to subsection 7b72 & 7#c7 ! optional uni=m securitization agreem5ts = noncov]$ securities issu$ ?r\gh ! ,plat=m pursuant to subsection 7c74 #cbg4 ,approval & /&>ds = collat]al risk manag]s 7a7 ,/&>ds = approval ( collat]al risk manag]s ,! ,corporation %all develop1 adopt1 & publi% /&>ds = ! use ( collat]al risk manag]s :o may "w ) ! ,plat=m1 z well z tru/ees & s]vic]s ( mortgage-back$ securities to manage mortgage loan collat]al1 includ+ /&>ds ) respect to-- 7#a7 track+ mortgage loan repur*ases2 7#b7 compliance ) obligations "u any applicable securitization docum5ts2 & 7#c7 manag+-- 7,a7 any disputes2 & 7,b7 ! resolution process4 7b7 ,additional requir$ /&>ds ,! /&>ds requir$ "u subsection 7a7 %all include ! review ( =eclosure loss mitigation programs e/abli%$ "u section #cad = approv$ s]vic]s4 ,,ii ,transp>5cy 9 m>ket op]ations #cca4 ,review ( loan docum5ts2 disclosures 7a7 ,9 g5]al ,! ,corporation1 9 consultation & coord9ation ) ! ,securities & ,ex*ange ,commission1 %all1 by rule-- 7#a7 require m>ket p>ticipants1 z appropriate1 to make available to private m>ket inve/ors 9 connection ) ! fir/ loss position on a cov]$ security1 includ+ ?r\gh use ( ! ,securitization ,plat=m e/abli%$ "u section #cba1 all-- 7,a7 docum5ts relat+ to eligible mortgage loans collat]aliz+ t cov]$ security2 & 7,b7 s]vic+ reports ( ! approv$ s]vic] relat+ to su* eligible mortgage loans2 7#b7 require m>ket p>ticipants1 z appropriate1 to disclose to inve/ors in=mation t is sub/antially simil>1 to ! ext5t practicable1 to disclosures requir$ ( issu]s ( asset-back$ securities "u section #ac7;a7 or #ae7;d7 ( ! ,securities ,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4 #ghm7a71 #gho7d77 until ! cov]$ security is fully paid1 o!r ?an in=mation t ! ,corporation det]m9es1 9 consultation & coord9ation ) ! ,securities & ,ex*ange ,commission1 is n applicable to a cov]$ security1 a p>ticul> type ( cov]$ security1 or eligible mortgage loans collat]aliz+ a cov]$ security2 7#c7 require t all disclosures mu/ be made consi/5t ) ! antifraud provisions ( ! ,f$]al securities laws2 & 7#d7 e/abli% ! tim+1 frequ5cy1 & mann] 9 :i* su* access & disclosures are made4 7b7 ,access & disclosures ,9 prescrib+ ! rules requir$ "u subsection 7a71 ! ,corporation %all take into consid]ation-- 7#a7 ! pot5tial co/ ( su* access & disclosures2 7#b7 ! effect ( su* access & disclosures on liquidity 9 ! h\s+ f9ance m>ket2 & 7#c7 ! int]e/s ( inve/ors4 7c7 ,privacy protections ,9 prescrib+ ! rules requir$ "u subsection 7a71 ! ,corporation %all take into consid]ation issues ( consum] privacy & all /atutes1 rules1 & regulations relat$ to privacy ( consum] cr$it in=mation & p]sonally id5tifiable in=mation4 ,su* rules %all expressly prohibit ! id5tification ( specific borr[]s4 #ccb4 ,national mortgage database 7a7 ,transf] ,effective on ! sy/em c]tification date1 !re are transf]r$ to ! ,corporation all functions ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation relat+ to ! rights1 responsibilities1 & obligations ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy pursuant to ! ,int]-,ag5cy ,agreem5t 7or any successor !reto7 ent]$ into by ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ! ,bureau ( ,consum] ,f9ancial ,protection ) respect to ! developm5t1 con/ruction1 ma9t5ance1 op]ation1 & fund+ ( ! ,national ,mortgage ,database4 7b7 ,privacy ,9 ex]cis+ au?ority "u ?is section1 ! ,corporation & ! ,bureau ( ,consum] ,f9ancial ,protection %all-- 7#a7 take /eps to ensure ! privacy ( consum]s1 includ+ prohibit+ ! id5tification ( specific borr[]s2 7#b7 m9imize ! collection & /orage ( p]sonally id5tifiable in=mation2 & 7#c7 consid] all /atutes1 rules1 & regulations relat+ to ! privacy ( consum] cr$it in=mation & p]sonally id5tifiable in=mation4 7c7 ,duplication ,! ,*airp]son & ! ,director ( ! ,bureau ( ,consum] ,f9ancial ,protection %all take all reasonable /eps necess>y to m9imize conflicts & duplication ( ! data requir$ "u ?is section ) data collect$1 publi%$1 or o!rwise obta9$ by o!r ,f$]al regulators1 includ+ ! data disclosure sy/em requir$ "u section #cjd7;f7 ( ! ,home ,mortgage ,disclosure ,act ( #aige 7#ab ,u4,s4,c4 #bhjc7;f774 7d7 ,m9imize burd5 on report+ entities ,if #b or m entities are requir$ by ?is section to report ! same mortgage data relat+ to ! same mortgage loan1 ! entities may1 by agreem5t t is cle>ly communicat$ to ! ,corporation & ! ,bureau1 det]m9e t only #a ( su* entities w report ! data4 ,if #a ( su* entities reports ! requir$ mortgage data1 x %all n be a violation ( ?is section = ! o!r entities n to report ! data4 7e7 ,access to data ,! ,corporation & ! ,bureau ( ,consum] ,f9ancial ,protection %all ea* e/abli%1 & cause to be publi%$ 9 ! ,f$]al ,regi/]1 ! initial date on :i*-- 7#a7 ! public %all beg9 to h access to any data put into ! public doma91 9 accordance ) ?is section & 9 a mann] t is easily accessible to ! public2 & 7#b7 all mortgage data is requir$ to be put into ! public doma91 9 accordance ) ?is section4 #ccc4 ,work+ gr\p on electronic regi/ration ( mortgage loans 7a7 ,e/abli%m5t ,n lat] ?an #ahj days aft] ! ag5cy transf] date1 ! ,corporation %all e/abli% a work+ gr\p to /udy-- 7#a7 :e!r ! e/abli%m5t ( a national electronic mortgage regi/ry sy/em is necess>y2 & 7#b7 h[ to e/abli%1 op]ate1 & ma9ta9 a national electronic mortgage regi/ry sy/em = s+le-family mortgage loans & multifamily mortgage loans4 7b7 ,composition ,! work+ gr\p e/abli%$ "u subsection 7a7 %all be compos$ ( ! foll[+3 7#a7 ,! ,*airp]son or ! ,*airp]son's designee4 7#b7 ,! ,director ( ! ,bureau ( ,consum] ,f9ancial ,protection or ! ,director's designee4 7#c7 ,! ,*airman ( ! ,f$]al ,deposit ,insurance ,corporation or ! ,*airman's designee4 7#d7 ,! ,*airman ( ! ,securities & ,ex*ange ,commission or ! ,*airman's designee4 7#e7 ,! ,*airman ( ! ,f$]al ,res]ve ,bo>d or ! ,*airman's designee4 7#f7 ,! ,comptroll] ( ! ,curr5cy or ! ,comptroll]'s designee4 7#g7 ,a repres5tative f ! ,f$]al ,home ,loan ,bank ,sy/em4 7#h7 ,a repres5tative f a ,f$]al ,res]ve ,bank4 7#i7 ,individuals select$ by ! ,*airp]son f among ! foll[+3 7,a7 ,/ate & local gov]nm5t ag5cies & repres5tatives1 includ+ h\s+ f9ance ag5cies & ^? ) exp]tise 9 prop]ty records1 electronic record+1 & ! ,uni=m ,comm]cial ,code4 7,b7 ,! ,national ,conf]5ce ( ,commission]s on ,uni=m ,/ate ,laws 7,c7 ,indu/ry gr\ps1 includ+ s+le-family & multifamily mortgage orig9ators1 title insur]s1 s]vic]s1 issu]s1 & inve/ors4 7,d7 ,consum] gr\ps1 includ+ repres5tatives ( home[n]s1 community /akehold]s1 & h\s+ organizations4 7,e7 ,individuals ) te*nical exp]tise1 includ+ ^? ) exp]tise 9 design+1 con/ruct+ & ma9ta9+ mortgage databases4 7c7 ,duties ,! duties ( ! work+ gr\p e/abli%$ "u subsection 7a7 are to assess & develop recomm5dations on ! necessity = & feasibility ( e/abli%+1 op]at+1 & ma9ta9+ a national electronic mortgage regi/ry sy/em = s+le-family mortgage loans & multifamily mortgage loans to docum5t cu/ody & regi/ration ( mortgage loans1 notes1 titles1 li5s1 de$s ( tru/1 & o!r security in/rum5ts1 9 ord] to automate1 c5tralize1 /&>dize1 & improve ! track+ ( *anges 9-- 7#a7 ! own]%ip ( mortgage loans1 de$s ( tru/1 & o!r security in/rum5ts2 7#b7 ! own]%ip ( ! b5eficial int]e/ 9 promissory notes secur$ by any mortgage loan1 de$ ( tru/1 or o!r security in/rum5t2 7#c7 ! s]vic+ rights = any mortgage loan1 de$ ( tru/1 or o!r security in/rum5t2 & 7#d7 su* o!r in=mation z ! ,corporation may require4 7d7 ,consid]ations ,9 c>ry+ out ! duties "u ?is section1 ! work+ gr\p e/abli%$ "u subsection 7a7 %all consid]-- 7#a7 ! co/ to ,/ates & localities1 includ+ any impact on rev5ue g5]at$ by local record+ ( mortgage loan docum5ts2 7#b7 ! feasibility ( all[+ ,/ates & localities to cont9ue to collect fees & rev5ue2 7#c7 ! implications ( data accuracy on judicial or non-judicial =eclosure2 7#d7 ! ne$ to m9imize conflict+ mortgage loan regi/ry requirem5ts2 7#e7 ! ne$ to provide consum]s ) access to key in=mation ab\t ! own]%ip & s]vic+ ( _! mortgage loans2 7#f7 ! ne$ to provide data accuracy1 security1 & privacy2 7#g7 exi/+ ,/ate real prop]ty & comm]cial laws & any su* laws 9 developm5t1 includ+ an electronic mortgage regi/ry law develop$ z a uni=m ,/ate law proposal2 7#h7 ! co/s & b5efits ( develop+ & ma9ta9+ a national mortgage regi/ry sy/em1 includ+ any pot5tial impact on consum] mortgage cr$it & indu/ry p>ticipants2 7#i7 ! feasibility ( us+ exi/+ indu/ry /&>ds & capabilities 9 ! op]ation ( a national mortgage regi/ry sy/em2 & 7#aj7 any rese>*1 reports1 or o!r "w und]tak5 by outside exp]ts1 includ+ ,f$]al & ,/ate entities4 7e7 ,report ,n lat] ?an #b ye>s aft] ! date on :i* ! work+ gr\p is e/abli%$ "u subsection 7a71 ! work+ gr\p %all issue a publicly available report1 :i* %all-- 7#a7 include recomm5dations-- 7,a7 z to :e!r ! e/abli%m5t ( a national electronic mortgage regi/ry sy/em is necess>y or appropriate 9 ! public int]e/ or = ! protection ( ! ,mortgage ,insurance ,fund2 & 7,b7 on h[ to e/abli%1 op]ate1 & ma9ta9 a national electronic mortgage regi/ry sy/em = s+le-family mortgage loans & multifamily mortgage loans2 & 7#b7 if ! work+ gr\p recomm5ds t ! e/abli%m5t ( ! national electronic mortgage regi/ry sy/em is necess>y or appropriate "u p>agraph 7#a71 outl9e ! m9imum requirem5ts = su* regi/ry1 :i* %all-- 7,a7 include consid]ations = ! developm5t & implem5tation ( electronic mortgage regi/ry sy/ems by ,/ate & local gov]nm5t ag5cies1 includ+ requirem5ts to ensure accurate report+ to su* sy/ems2 & 7,b7 satisfy ! recomm5dations ( ?is report4 7f7 ,rulemak+ 7#a7 ,9 g5]al ,beg9n+ #e ye>s aft] publication ( ! report "u subsection 7e71 ! ,corporation may1 by rule1 e/abli% a national electronic mortgage regi/ry sy/em = s+le-family mortgage loans & multifamily mortgage loans1 de$s ( tru/1 or o!r security in/rum5ts 9 accordance ) ! f9d+s ( ! report if-- 7,a7 ! ,corporation det]m9es t electronic mortgage regi/ry sy/ems h n be5 creat$ by ,/ate & local gov]nm5t ag5cies 9 accordance ) ! m9imum requirem5ts e/abli%$ 9 ! report2 & 7,b7 ! e/abli%m5t ( a national electronic mortgage regi/ry sy/em = s+le-family mortgage loans & multifamily mortgage loans rema9s necess>y or appropriate 9 ! public int]e/ or = ! protection ( ! ,mortgage ,insurance ,fund4 7#b7 ,conflict+ reports ,if ! ,corporation e/abli%es a national electronic mortgage regi/ry sy/em "u p>agraph 7#a71 ! ,corporation %all provide approv$ entities a reasonable am\nt ( "t to correct a fil+ made 9 ! national electronic mortgage regi/ry sy/em e/abli%$ "u p>agraph 7#a7 t is 9 direct conflict ) any fil+ 9 a ,/ate or local real prop]ty record+ sy/em4 7#c7 ,au?ority to ext5d e/abli%m5t ( regi/ries ,! ,corporation1 9 consultation ) appropriate ,/ate & local gov]nm5t ag5cies responsible = real prop]ty recordation1 may ext5d ! p]iod ( "t provid$ "u p>agraph 7#a7 = a s+le p]iod ( n m ?an #e ye>s if ! ,corporation det]m9es t ! ext5sion is necess>y or appropriate4 7#d7 ,consultation & coord9ation ) ,/ate & local ag5cies ,to promote consi/5cy 9 & m9imize disruption to ! h\s+ f9ance sy/em & sy/ems = ! local record+ ( mortgage loan docum5ts1 ! ,corporation %all consult & coord9ate ) appropriate ,/ate & local gov]nm5t ag5cies responsible = real prop]ty recordation :5 develop+ & issu+ rules "u ?is subsection4 7#e7 ,requirem5ts on rules ,! rules & /&>ds promulgat$ "u ?is section %all recognize & protect valid p]fect$ security int]e/s 9 regi/]$ mortgage-relat$ docum5ts4 7g7 ,rules ( con/ruction 7#a7 ,limitation on liability ,no?+ 9 ?is section %all be con/ru$ z imply+ or e/abli%+ a private "r ( action aga9/ an approv$ entity = fil+s made to a national electronic mortgage regi/ry sy/em e/abli%$ "u subsection 7f77#a7 or o!r fil+ actions tak5 pursuant to subsection 7f74 7#b7 ,limitation on sup]visory or en=cem5t au?ority ,no?+ 9 ?is section %all be con/ru$ z au?oriz+ ! ,corporation1 be=e ! e/abli%m5t ( a national electronic mortgage regi/ry sy/em "u subsection 7f77#a71 to ex]cise sup]visory or en=cem5t au?ority ) respect to an approv$ entity relat+ to a real prop]ty fil+ action 9 a ,/ate or local real prop]ty record+ sy/em by ! approv$ entity4 7#c7 ,preemption ,no?+ 9 ?is section %all be con/ru$ z preempt+1 alt]+1 annull+1 exempt+1 or affect+ ! applicability ( any ,/ate or local law1 includ+ ^? laws relat+ to real prop]ty record+ or =eclosure4 #ccd4 ,multiple l5d] issues ,) respect to ! dwell+ ( a borr[] t s]ves z security = an eligible mortgage loan1 if ! borr[] ent]s into any cr$it transaction t w\ld result 9 ! creation ( a new mortgage loan or o!r cr$it li5 on su* dwell+ :]e ! loan-to-value ratio ( su* cr$it transaction am\nt is #hj p]c5t or m1 ! cr$itor 7z def9$ 9 section #ajbf4b7;a77#ag7 ( title #ab ( ! ,code ( ,f$]al ,regulations7 %all notify ! cr$itor ( ! s5ior eligible mortgage loan )9 #cj days aft] consummation ( su* transaction4 #cce4 ,requir$ h>monization ( /&>ds )9 eligible mortgage crit]ia 7a7 ,9 g5]al ,! ,corporation %all consult & coord9ate ) ! ,bureau ( ,consum] ,f9ancial ,protection to ensure t ! m9imum /&>ds issu$ by ! ,corporation ) respect to eligible s+le-family mortgage loans pursuant to section #b7bi7 rema91 to ! greate/ ext5t possible1 sub/antially simil> to rules promulgat$ by ! ,bureau pursuant to section #abi;,c7b7 ( ! ,tru? 9 ,l5d+ ,act 7#ae ,u4,s4,c4 #afci;c7b77 provid$ t any revisions to1 or am5dm5ts (1 su* m9imum /&>ds issu$ by ! ,corporation-- 7#a7 con=m to all ( ! o!r requirem5ts set =? "u section #b7bi72 & 7#b7 9 ! det]m9ation ( ! ,corporation1 d n negatively impact ! ,mortgage ,insurance ,fund4 7b7 ,annual report on any *anges or diff]5ces 9 rules ,! ,corporation %all1 on an annual basis1 submit to ! ,*air & ,rank+ ,memb] ( ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,*air & ,rank+ ,memb] ( ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives a report t-- 7#a7 describes any *anges to ! m9imum /&>ds id5tifi$ 9 subsection 7a72 7#b7 describes ! economic analysis develop$ & us$ by ! ,corporation = any *anges describ$ "u p>agraph 7#a7 9 ord] to ensure su* *anges d n violate ! duties ( ! ,corporation to protect ! ,mortgage ,insurance ,fund2 & 7#c7 id5tifies any *anges t occurr$ & diff]5ces t exi/ betwe5 ! m9imum /&>ds develop$1 adopt$1 & ma9ta9$ by ! ,corporation & ! rules promulgat$ by ! ,bureau pursuant to section #abi;,c7b7 ( ! ,tru? 9 ,l5d+ ,act 7#ae ,u4,s4,c4 #afci;c7b774 ,,iv ,,fhfa & ,,fmic ,transition #dja4 ,def9itions ,9 ?is title-- 7#a7 ! t]m ,director means-- 7,a7 dur+ ! p]iod beg9n+ on ! date ( enactm5t ( ?is ,act & end+ on ! day be=e ! ag5cy transf] date1 ! ,director ( ! ,exi/+ ,ag5cy2 & 7,b7 on & aft] ! ag5cy transf] date1 ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation appo9t$ "u section #djb7;a77#b72 7#b7 ! t]m ,exi/+ ,ag5cy means ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 z con/itut$ on ! day be=e ! ag5cy transf] date2 7#c7 ! t]m function means any duty1 obligation1 p[]1 au?ority1 responsibility1 "r1 privilege1 activity1 or program2 7#d7 ! t]m regulat$ entity has ! same mean+ z 9 section #acjc7bj7 ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #dejb7bj772 & 7#e7 ! t]m ,transition ,committee means ! ,f$]al ,mortgage ,insurance ,corporation ,transition ,committee e/abli%$ "u section #djd7;a77#a74 #djb4 ,,fhfa transition 7a7 ,e/abli%m5t 7#a7 ,9 g5]al ,effective on ! ag5cy transf] date1 !re is e/abli%$ 9 ! ,corporation ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 :i* %all be ma9ta9$ z a di/9ct entity )9 ! ,corporation4 7#b7 ,director ,! ,f$]al ,h\s+ ,f9ance ,ag5cy %all be head$ by a ,director1 :o %all be-- 7,a7 appo9t$ by ! ,presid5t1 by & ) ! advice & cons5t ( ! ,s5ate2 & 7,b7 a non-vot+ memb] ( ! ,bo>d ( ,directors4 7b7 ,f$]al ,h\s+ ,f9ance ,ag5cy ,transf] 7#a7 ,transf] ( prop]ty & functions ,effective on ! ag5cy transf] date & unless o!rwise specifi$ by ?is ,act1 all prop]ty & functions ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy are transf]r$ to ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation4 7#b7 ,incumb5t ,director ,! individual s]v+ z ! ,director ( ! ,exi/+ ,ag5cy on ! day be=e ! ag5cy transf] date may s]ve z ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation until ! end ( ! t]m ( su* individual z ,director ( ! ,exi/+ ,ag5cy "u section #acab7;b77#b7 ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #deab7;b77#b771 z 9 effect on ! day be=e ! ag5cy transf] date4 7#c7 ,transition *airp]son 7,a7 ,9 g5]al ,dur+ ! p]iod beg9n+ on ! ag5cy transf] date & end+ on ! date on :i* ! fir/ individual is appo9t$ z ,*airp]son "u section #bjb1 ! ,director %all s]ve z ! ,transition ,*airp]son ( ! ,corporation &1 except z provid$ 9 subp>agraph 7,b71 %all ex]cise all au?orities ( ! ,*airp]son1 unless /at$ o!rwise4 7,b7 ,limitation on au?ority ,9 s]v+ z ! ,transition ,*airp]son ( ! ,corporation pursuant to subp>agraph 7,a71 ! ,director %all n h ! au?ority to e/abli% any rule "u section #b or any rule relat+ to approv$ entities "u title ,,iii4 7c7 ,p[]s & duties 7#a7 ,9 g5]al ,! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation %all-- 7,a7 reta9 & ex]cise all p[]s1 includ+ cons]vator%ip & receiv]%ip p[]s1 z am5d$ by ?is ,act1 ( ! ,director ( ! ,exi/+ ,ag5cy on ! day be=e ! ag5cy transf] date relat+ to ! ,f$]al ,home ,loan ,bank ,sy/em1 ! ,f$]al ,home ,loan ,banks1 & ! ent]prises2 7,b7 manage & implem5t actions au?oriz$ by ! ,corporation relat$ to ! transition to ! new h\s+ f9ance sy/em t impact ! cons]vator%ip or receiv]%ip ( regulat$ entities2 & 7,c7 consult ) o!r memb]s ( ! ,transition ,committee & ! ,bo>d ( ,directors z may be appropriate to fulfill ! requirem5ts ( ?is ,act4 7#b7 ,autonomy ( ,,fhfa ,except z provid$ 9 section #fjd7;a77#b71 or z o!rwise specifically provid$ 9 ?is ,act1 ! ,*airp]son & ! ,bo>d ( ,directors may n-- 7,a7 int]v5e 9 any matt] or proce$+ be=e ! ,director1 unless o!rwise specifically provid$ by law2 7,b7 appo9t1 direct1 or remove any (fic] or employee ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation2 or 7,c7 m]ge or consolidate ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation1 or any ( ! functions or responsibilities ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation1 ) any division1 (fice1 or o!r compon5t ( ! ,corporation4 7d7 ,ag5cy exp5ditures & budget 7#a7 ,9 g5]al ,aft] ! ag5cy transf] date1 ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation-- 7,a7 except z provid$ 9 p>agraph 7#b71 may obligate & exp5d am\nts available to ! ,f$]al ,h\s+ ,f9ance ,ag5cy2 & 7,b7 %all submit regul> updates to ! ,bo>d ( ,directors4 7#b7 ,limitation on am\nt 7,a7 ,be=e ,*airp]son appo9t$ ,dur+ ! p]iod beg9n+ on ! ag5cy transf] date & end+ on ! date on :i* ! fir/ individual is appo9t$ z ,*airp]son "u section #bjb1 ! ,director %all require approval f ! ,transition ,committee = any ag5cy capital exp5diture 9 excess ( #e1jjj1jjj4 7,b7 ,*airp]son appo9t$ ,on & aft] ! date on :i* ! fir/ individual is appo9t$ z ,*airp]son "u section #bjb1 ! ,director %all require approval f ! ,bo>d ( ,directors = any ag5cy capital exp5diture 9 excess ( #e1jjj1jjjj4 7e7 ,coop]ation ,dur+ ! p]iod beg9n+ on ! date ( enactm5t ( ?is ,act & end+ on ! sy/em c]tification date1 ! ,bo>d ( ,directors & ! ,director %all coop]ate & coord9ate 9 ! ex]cise ( _! respective au?orities to facilitate & a*ieve an ord]ly transition f h\s+ f9ance m>kets facilitat$ by ! ent]prises to h\s+ f9ance m>kets facilitat$ by ! ,corporation ) m9imum disruption 9 ! availability ( mortgage cr$it4 7f7 ,coord9ation & cont9uation ( c]ta9 actions 7#a7 ,9 g5]al ,all regulations1 ord]s1 det]m9ations1 & resolutions describ$ 9 p>agraph 7#b7 %all rema9 9 effect accord+ to ! t]ms ( su* regulations1 ord]s1 det]m9ations1 & resolutions1 & %all be en=ceable by or aga9/ ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation until modifi$1 t]m9at$1 set aside1 or sup]s$$ 9 accordance ) applicable law by ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation1 any c\rt ( compet5t jurisdiction1 or op]ation ( law4 7#b7 ,applicability ,a regulation1 ord]1 det]m9ation1 or resolution is describ$ 9 ?is p>agraph if x-- 7,a7 0 issu$1 made1 prescrib$1 or all[$ to become effective by-- 7i7 ! ,exi/+ ,ag5cy2 7ii7 ! ,f$]al ,h\s+ ,f9ance ,bo>d2 or 7iii7 a c\rt ( compet5t jurisdiction1 & relates to functions transf]r$ by ?is section2 7,b7 relates to ! p]=mance ( functions t are transf]r$ by ?is section2 & 7,c7 is 9 effect on ! ag5cy transf] date4 7g7 ,use ( ag5cy s]vices ,any ag5cy1 dep>tm5t1 or o!r in/rum5tality ( ! ,unit$ ,/ates1 & any successor to any su* ag5cy1 dep>tm5t1 or in/rum5tality1 :i* 0 provid+ support+ s]vices to ! ,exi/+ ,ag5cy be=e ! ag5cy transf] date 9 connection ) functions t are transf]r$ to ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation %all-- 7#a7 cont9ue to provide su* s]vices1 on a reimbursable basis1 until ! transf] ( su* functions is complete2 & 7#b7 consult ) any su* ag5cy to coord9ate & facilitate a prompt & reasonable transition4 7h7 ,sav+s provisions 7#a7 ,exi/+ rights1 duties1 & obligations n affect$ ,subsection 7a7 %all n affect ! validity ( any "r1 duty1 or obligation ( ! ,unit$ ,/ates1 ! ,director ( ! ,exi/+ ,ag5cy1 or any o!r p]son1 :i*-- 7,a7 arises "u-- 7i7 ! ,safety & ,s\ndness ,act2 7ii7 ! ,f$]al ,national ,mortgage ,association ,*>t] ,act2 7iii7 ! ,f$]al ,home ,loan ,mortgage ,corporation ,act2 or 7iv7 any o!r provision ( law applicable ) respect to ! ,exi/+ ,ag5cy2 & 7,b7 exi/$ on ! day be=e ! ag5cy transf] date4 7#b7 ,cont9uation ( suits ,no action or o!r proce$+ comm5c$ by or aga9/ ! ,director ( ! ,exi/+ ,ag5cy 9 connection ) functions t are transf]r$ to ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation %all abate by reason ( ! enactm5t ( ?is ,act1 except t ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation %all be sub/itut$ = ! ,director ( ! ,exi/+ ,ag5cy z a p>ty to any su* action or proce$+4 7i7 ,te*nical & con=m+ am5dm5ts 7#a7 ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib ,! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #deja et seq47 is am5d$-- 7,a7 9 section #acjc-- 7i7 9 p>agraph 7#b71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy e/abli%$ "u section #acaa & ins]t+ ! ,f$]al ,h\s+ ,f9ance ,ag5cy )9 ! ,f$]al ,mortgage ,insurance ,corporation e/abli%$ "u section #djb7;a77#a7 ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad2 & 7ii7 9 p>agraph 7#i71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,ag5cy2 7,b7 9 section #acaa7;a71 by /rik+ e/abli%$ & all t foll[s ?r\gh ,gov]nm5t & ins]t+ e/abli%$ 9 ! ,f$]al ,mortgage ,insurance ,corporation1 ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 :i* %all be ma9ta9$ z a di/9ct entity )9 ! ,f$]al ,mortgage ,insurance ,corporation2 7,c7 9 section #acab-- 7i7 9 subsection 7a7-- 7,i7 9 ! head+1 by /rik+ ,e/abli%m5t ( position & ins]t+ ,director2 & 7,,ii7 by /rik+1 e/abli%$ ! position (2 & 7ii7 9 subsection 7b77#a71 by /rik+ by ! ,presid5t & all t foll[s ?r\gh h\s+ f9ance & ins]t+ 9 accordance ) section #djb7;a77#b7 ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad2 & 7,d7 9 section #acfg-- 7i7 9 subsection 7a77#g71 by /rik+ ,:5 act+ & ins]t+ ,except z may be provid$ 9 section #fjd7;a77#b7 ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad1 or z o!rwise specifically provid$ = 9 su* ,act1 :5 act+2 & 7ii7 by am5d+ subsection 7b77#b77;,d7 to read z foll[s3 7,d7 ,p[] z cons]vator 7i7 ,ent]prises ,on & aft] ! ag5cy transf] date1 z t t]m is def9$ 9 section #b ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad1 ! ,ag5cy %all1 z cons]vator1 take su* actions z are necess>y-- 7,i7 to w9d d[n ! op]ations ( ! ent]prises 9 an ord]ly mann] t complies ) ! requirem5ts ( su* ,act2 7,,ii7 to manage ! affairs1 assets1 & obligations ( ! ent]prises & to op]ate ! ent]prises 9 compliance ) ! requirem5ts ( su* ,act2 7,,iii7 to und]take & c>ry out any sale1 transf]1 or disposition au?oriz$ 9 sections #cae7;c71 #cba7;d71 #fjd7;i77#b71 #gja7;b71 or #gjb ( su* ,act 9 ord] to facilitate ! ord]ly transition to ! new h\s+ f9ance sy/em au?oriz$ by su* ,act2 & 7,,iv7 to ma9ta9 liquidity & /ability 9 ! second>y mortgage m>ket until su* "t z ! ent]prises %all h no au?ority to conduct new bus9ess1 pursuant to title ,,vi ( su* ,act4 7ii7 ,f$]al ,home ,loan ,banks ,! ,corporation may1 z cons]vator1 take su* actions z are-- 7,i7 necess>y to put a ,f$]al ,home ,loan ,bank 9 a s\nd & solv5t condition2 & 7,,ii7 appropriate to c>ry on ! bus9ess ( a ,f$]al ,home ,loan ,bank & pres]ve & cons]ve ! assets & prop]ty ( ! ,f$]al ,home ,loan ,bank4 4 7#b7 ,f$]al ,home ,loan ,bank ,act ,! ,f$]al ,home ,loan ,bank ,act 7#ab ,u4,s4,c4 #adba et seq47 is am5d$-- 7,a7 by /rik+ ,*airman ( ! ,director ( ,gov]nors ea* place t t]m appe>s & ins]t+ ,*airman ( ! ,bo>d ( ,gov]nors2 & 7,b7 9 section #b-- 7i7 9 p>agraph 7#aa71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,ag5cy2 & 7ii7 9 p>agraph 7#ab71 by /rik+ ! ,f$]al ,h\s+ ,f9ance ,ag5cy & all t foll[s ?r\gh ! p]iod at ! end & ins]t+ ! ,f$]al ,h\s+ ,f9ance ,ag5cy )9 ! ,f$]al ,mortgage ,insurance ,corporation e/abli%$ "u section #djb7;a77#a7 ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad4 7#c7 ,f$]al ,deposit ,insurance ,act ,! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahaa et seq47 is am5d$-- 7,a7 9 section #aa7t77#b77;,a71 by ins]t+ aft] clause 7vii7 ! foll[+3 7viii7 ,! ,f$]al ,mortgage ,insurance ,corporation4 2 & 7,b7 9 section #ah7x7-- 7i7 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 be=e any ,f$]al bank+ ag5cy ea* place t t]m appe>s2 & 7ii7 by ins]t+ ,corporation1 aft] su* ,bureau1 ea* place t t]m appe>s4 7#d7 ,f$]al ,f9ancial ,in/itutions ,exam9ation ,c\ncil ,act ( #aigh ,! ,f$]al ,f9ancial ,in/itutions ,exam9ation ,c\ncil ,act ( #aigh 7#ab ,u4,s4,c4 #ccja et seq47 is am5d$-- 7,a7 9 section #ajjd7;a7-- 7i7 by r$esignat+ p>agraphs 7#e7 & 7#f7 z p>agraphs 7#f7 & 7#g71 respectively2 & 7ii7 by ins]t+ aft] p>agraph 7#d7 ! foll[+3 7#e7 ! ,*airman ( ! ,f$]al ,mortgage ,insurance ,corporation1 2 7,b7 9 section #ajaa1 9 fir/ s5t5ce1 by ins]t+ ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f9ancial ,protection12 & 7,c7 by ins]t+ at ! end ! foll[+3 #ajab4 ,e/abli%m5t ( ! ,subcommittee on ,mortgage ,s]vic+ ,!re %all be )9 ! ,c\ncil a subcommittee to be kn[n z ! ,subcommittee on ,mortgage ,s]vic+1 :i* %all consi/ ( designees ( heads ( ! ,f$]al f9ancial in/itution regulatory ag5cies1 ! ,bureau ( ,consum] ,f9ancial ,protection1 ! ,f$]al ,mortgage ,insurance ,corporation1 ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 & a repres5tative ( ! ,/ate ,liaison ,committee e/abli%$ "u section #ajjg4 4 7#e7 ,,firrea ,section #abaf ( ! ,f9ancial ,in/itutions ,re=m1 ,recov]y1 & ,enhancem5t ,act ( #aihi 7#ab ,u4,s4,c4 #ahcc;e7 is am5d$-- 7,a7 9 subsection 7a71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 & 7,b7 9 subsection 7c71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation4 7#f7 ,h\s+ & ,urban-,rural ,recov]y ,act ( #aihc ,! fir/ s5t5ce ( section #dfi ( ! ,h\s+ & ,urban-,rural ,recov]y ,act ( #aihc 7#ab ,u4,s4,c4 #agjap-#a7 is am5d$ by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] coop]ation ( 4 7#g7 ,pap]work ,r$uction ,act ,section #cejb7e7 ( title #dd1 ,unit$ ,/ates ,code 7commonly kn[n z ! ,pap]work ,r$uction ,act71 is am5d$ by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation4 7#h7 ,public ,law #ic-die ,section #aaa ( ,public ,law #ic-die 7#ab ,u4,s4,c4 #bej7 is am5d$ by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy14 7#i7 ,"r to ,f9ancial ,privacy ,act ( #aigh ,section #aaja7g7 ( ! ,"r to ,f9ancial ,privacy ,act ( #aigh 7#ab ,u4,s4,c4 #cdja7g77 is am5d$-- 7,a7 9 subp>agraph 7,h71 by /rik+ 2 or & ins]t+ a semicolon2 7,b7 9 subp>agraph 7,i71 by /rik+ 2 & & ins]t+ 2 or2 & 7,c7 by add+ at ! end ! foll[+3 7,j7 ! ,f$]al ,mortgage ,insurance ,corporation2 & 4 7#aj7 ,title #e1 ,unit$ ,/ates ,code ,title #e1 ,unit$ ,/ates ,code1 is am5d$-- 7,a7 9 section #ecac1 by ins]t+ ! foll[+ new item3 ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation4 2 & 7,b7 9 section #cacb7;a77#a77;,d7-- 7i7 by /rik+ ,sup]vision11 & ins]t+ ,sup]vision12 & 7ii7 by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 aft] ,f$]al ,h\s+ ,f9ance ,ag5cy14 7#aa7 ,title #ah1 ,unit$ ,/ates ,code ,title #ah1 ,unit$ ,/ates ,code1 is am5d$ by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy ea* place su* t]m appe>s 9 ea* ( sections #bab1 #feg1 #ajjf1 #ajad1 & #aije & ins]t+ ,f$]al ,mortgage ,insurance ,corporation4 7#ab7 ,f$]al ,cr$it ,union ,act ,section #ajg7g77;,e7 ( ! ,f$]al ,cr$it ,union ,act 7#ab ,u4,s4,c4 #ageg7g77;,e77 is am5d$ by ins]t+ ! ,f$]al ,mortgage ,insurance ,corporation1 be=e ! ,f$]al ,national ,mortgage ,association4 7#ac7 ,bank ,hold+ ,company ,act ,section #e7;c77#e77;,b7 ( ! ,bank ,hold+ ,company ,act 7#ab ,u4,s4,c4 #ahdd7;c77#e77;,b77 is am5d$-- 7,a7 9 clause 7iv71 by /rik+ 2 or & ins]t+ a semicolon2 7,b7 9 clause 7v71 by /rik+ ! p]iod at ! end & ins]t 2 or2 & 7,c7 by add+ at ! end ! foll[+3 7vi7 an approv$ gu>antor approv$ "u section #caa ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad4 4 7#ad7 ,congressional ,budget ,act ( #aigd ,section #ejd7;c7 ( ! ,congressional ,budget ,act ( #aigd 7#b ,u4,s4,c4 #ffa;c7c77 is am5d$-- 7,a7 9 p>agraph 7#a71 by /rik+ or2 7,b7 by r$esignat+ p>agraph 7#b7 z p>agraph 7#c72 & 7,c7 by ins]t+ aft] p>agraph 7#a7 ! foll[+3 7#b7 are cr$it programs ( ! ,f$]al ,mortgage ,insurance ,corporation2 or 4 7#ae7 ,effective date ,! am5dm5ts made by ?is subsection %all take effect on ! ag5cy transf] date4 #djc4 ,transf] & rights ( employees ( ! ,,fhfa 7a7 ,transf] 7#a7 ,9 g5]al ,effective on ! ag5cy transf] date1 ea* employee ( ! ,exi/+ ,ag5cy1 includ+ ea* employee ( ! ,(fice ( ! ,inspector ,g5]al ( ! ,exi/+ ,ag5cy1 :o is 9 good /&+1 %all be transf]r$ to ! ,corporation = employm5t1 & su* transf] %all be deem$ a transf] ( function = purposes ( section #cejc ( title #e1 ,unit$ ,/ates ,code4 7#b7 ,assignm5t 7,a7 ,9 g5]al ,except z provid$ 9 subp>agraph 7,b71 an employee transf]r$ "u p>agraph 7#a7 %all be appo9t$ to a position 9 ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation4 7,b7 ,exception ,on & aft] ! ag5cy transf] date1 ! ,*airp]son1 9 consultation ) ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation1 may reassign an employee transf]r$ "u p>agraph 7#a7 to a compon5t ( ! ,corporation o!r ?an ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation1 if ! reassignm5t is 9 ! be/ int]e/ ( ! ,corporation4 7b7 ,gu>ante$ positions 7#a7 ,9 g5]al ,ea* employee transf]r$ "u subsection 7a7 %all be gu>ante$ a position ) ! same /atus1 t5ure1 grade1 & pay z t held on ! day imm$iately prec$+ ! transf]4 7#b7 ,no involunt>y sep>ation or r$uction ,an employee transf]r$ "u subsection 7a7 hold+ a p]man5t position on ! day imm$iately prec$+ ! transf] may n be involunt>ily sep>at$ or r$uc$ 9 grade or comp5sation dur+ ! #ab-mon? p]iod beg9n+ on ! date ( transf]1 except = cause1 or1 9 ! case ( a tempor>y employee1 sep>at$ 9 accordance ) ! t]ms ( ! appo9tm5t ( ! employee4 7c7 ,appo9tm5t au?ority = except$ & s5ior executive s]vice employees 7#a7 ,9 g5]al ,9 ! case ( an employee occupy+ a position 9 ! except$ s]vice or ! ,s5ior ,executive ,s]vice1 any appo9tm5t au?ority e/abli%$ "u law or by regulations ( ! ,(fice ( ,p]sonnel ,managem5t = fill+ su* position %all be transf]r$1 subject to p>agraph 7#b74 7#b7 ,decl9e ( transf] ,! ,corporation may decl9e a transf] ( au?ority "u p>agraph 7#a71 to ! ext5t t su* au?ority relates to-- 7,a7 a position except$ f ! competitive s]vice because ( its confid5tial1 policymak+1 policy-det]m9+1 or policy-advocat+ "*2 or 7,b7 a nonc>e] appo9tee 9 ! ,s5ior ,executive ,s]vice 7)9 ! mean+ ( section #cacb7;a77#g7 ( title #e1 ,unit$ ,/ates ,code74 7d7 ,employee b5efit programs 7#a7 ,9 g5]al ,any employee ( ! ,exi/+ ,ag5cy accept+ employm5t ) ! ,corporation z a result ( a transf] "u subsection 7a7 may reta91 = #ab mon?s aft] ! date on :i* su* transf] occurs1 memb]%ip 9 any employee b5efit program ( ! ,exi/+ ,ag5cy or ! ,corporation1 z applicable1 includ+ insurance1 to :i* su* employee belongs on ! date ( ! transf] "u subsection 7a71 if-- 7,a7 ! employee does n elect to give up ! b5efit or memb]%ip 9 ! program2 & 7,b7 ! b5efit or program is cont9u$ by ! ,corporation4 7#b7 ,co/ diff]5tial 7,a7 ,9 g5]al ,! diff]5ce 9 ! co/s betwe5 ! b5efits :i* w\ld h be5 provid$ by ! ,exi/+ ,ag5cy & ^? provid$ by ?is section %all be paid by ! ,corporation4 7,b7 ,heal? insurance ,if any employee elects to give up memb]%ip 9 a heal? insurance program or ! heal? insurance program is n cont9u$ by ! ,corporation1 ! employee %all be p]mitt$ to select an alt]nate ,f$]al heal? insurance program n lat] ?an #cj days aft] ! date ( su* election or notice1 )\t reg>d to any o!r regul>ly s*$ul$ op5 season4 7e7 ,ent]prise employees ,to ensure an ord]ly transition to ! new h\s+ f9ance sy/em e/abli%$ "u ?is ,act & to facilitate ! organization1 =mation1 & compet5cy ( ! ,corporation1 ! ,corporation may hire employees f ! ent]prises4 7f7 ,reorganization ,if ! ,corporation det]m9es t a reorganization ( ! work=ce is requir$1 ! reorganization %all be deem$ a major reorganization = purposes ( af=d+ affect$ employee retirem5t "u section #hccf7;d77#b7 or #hdad7;b77#a77;,b7 ( title #e1 ,unit$ ,/ates ,code4 #djd4 ,transition ,committee 7a7 ,e/abli%m5t & purpose 7#a7 ,9 g5]al ,effective on ! date ( enactm5t ( ?is ,act1 !re is e/abli%$ ! ,f$]al ,mortgage ,insurance ,corporation ,transition ,committee4 7#b7 ,purpose ,! purpose ( ! ,transition ,committee %all be to-- 7,a7 develop a plan to facilitate an ord]ly transition to a new h\s+ f9ance sy/em 9 accordance ) ?is ,act2 & 7,b7 provide advice to ! ,transition ,*airp]son or ! ,bo>d :5 consult$4 7b7 ,composition 7#a7 ,memb]s ,! ,transition ,committee %all be compris$ (-- 7,a7 ! ,director2 7,b7 ! ,*airman ( ! ,f$]al ,deposit ,insurance ,corporation2 7,c7 ! ,comptroll] ( ! ,curr5cy2 7,d7 ! ,*airp]son2 & 7,e7 any memb] ( ! ,bo>d ( ,directors4 7#b7 ,*airp]son 7,a7 ,be=e ,*airp]son ( ,corporation ,until ! date on :i* ! fir/ individual is appo9t$ z ,*airp]son "u section #bjb1 ! ,director %all s]ve z ! ,*airp]son ( ! ,transition ,committee4 7,b7 ,*airp]son ( ,corporation appo9t$ ,on & aft] ! date on :i* ! fir/ individual is appo9t$ z ,*airp]son "u section #bjb1 ! ,*airp]son %all s]ve z ! ,*airp]son ( ! ,transition ,committee4 7#c7 ,act+ (ficials may s]ve ,9 ! ev5t ( a vacancy 9 ! (fice ( ! head ( a memb] ag5cy1 & p5d+ ! appo9tm5t ( a successor1 or dur+ ! abs5ce or disability ( ! head ( a memb] ag5cy1 ! act+ head ( ! memb] ag5cy %all s]ve z a memb] ( ! ,transition ,committee 9 ! place ( t ag5cy head4 7#d7 ,/aff ,z necess>y to c>ry out ! duties ( ! ,transition ,committee1 ! ,*airp]son ( ! ,transition ,committee may-- 7,a7 be=e ! ag5cy transf] date1 use employees ( ! ,exi/+ ,ag5cy2 & 7,b7 on & aft] ! ag5cy transf] date1 use employees ( ! ,corporation4 7c7 ,transition plan 7#a7 ,developm5t ,! ,transition ,committee %all develop ! transition plan requir$ by section #fjb4 7#b7 ,approval ,! transition plan may n be submitt$ to ,congress "u section #fjb1 unless x is approv$ by a majority ( ! ,transition ,committee4 7d7 ,dissolution ,! ,transition ,committee %all be dissolv$ ^u ! lat] (-- 7#a7 ! date on :i* ! fir/ individual is appo9t$ z ,*airp]son "u section #bjb2 or 7#b7 ! date on :i* ! transition plan is submitt$ to ,congress 9 accordance ) subsection 7c77#b7 & section #fjb4 #dje4 ,transition assessm5ts 7a7 ,9 ,g5]al ,section #acaf ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #deaf7 is am5d$ by add+ at ! end ! foll[+3 7i7 ,annual assessm5ts relat+ to initial fund+ ( ! ,,fmic ,not)/&+ title ,,vi ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad or any o!r provision ( law1 = ! p]iod beg9n+ on ! date ( enactm5t ( ?is subsection & end+ on ! sy/em c]tification date 7z t date is set =? "u title ,,vi ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad71 ! ,ag5cy %all e/abli% & collect f ! ent]prises annual assessm5ts 9 addition to ^? requir$ "u subsection 7a7 9 an am\nt n exce$+ ! am\nt suffici5t to provide = ! reasonable co/s 7includ+ adm9i/rative co/s7 & exp5ses ( ! ,f$]al ,mortgage ,insurance ,corporation1 includ+ ^? purposes detail$ 9 section #cjc7;e77#f7 ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad4 ,all am\nts collect$ "u ?is subsection %all be transf]r$ to ! ,f$]al ,mortgage ,insurance ,corporation4 ,! annual assessm5t %all be payable semiannually = ea* fiscal ye>1 on ,octob] #a & ,april #a4 4 7b7 ,treatm5t ( ,assessm5ts 7#a7 ,deposit 7,a7 ,am\nts receiv$ by ! ,corporation ,am\nts receiv$ by ! ,corporation f assessm5ts impos$ "u section #acaf7;i7 ( ! ,safety & ,s\ndness ,act %all be deposit$ by ! ,corporation 9 ! ,mortgage ,insurance ,fund4 7,b7 ,am\nts receiv$ by ! ,exi/+ ,ag5cy ,am\nts receiv$ by ! ,exi/+ ,ag5cy beg9n+ on ! date ( enactm5t ( ?is ,act until ! ag5cy transf] date f assessm5ts impos$ "u section #acaf7;i7 ( ! ,safety & ,s\ndness ,act %all be held 9 an acc\nt ( ! ,exi/+ ,ag5cy & %all be transf]r$ to ! ,corporation on ! ag5cy transf] date = deposit 9 ! ,mortgage ,insurance ,fund 9 accordance ) subp>agraph 7,a74 7,c7 ,exemption f apportionm5t ,not)/&+ any o!r provision ( law1 am\nts receiv$ by ! ,corporation f any assessm5t impos$ "u section #acaf7;i7 ( ! ,safety & ,s\ndness ,act %all n be subject to apportionm5t = ! purposes ( *apt] #ae ( title #ca1 ,unit$ ,/ates ,code1 or "u any o!r au?ority4 7,d7 ,rule ( con/ruction ,am\nts receiv$ by ! ,corporation f any assessm5t impos$ "u section #acaf7;i7 ( ! ,safety & ,s\ndness ,act %all n be con/ru$ to be ,gov]nm5t or public funds or appropriat$ money4 7#b7 ,use ( funds 7,a7 ,9 g5]al ,! ,exi/+ ,ag5cy %all use am\nts receiv$ f assessm5ts impos$ "u section #acaf7;i7 ( ! ,safety & ,s\ndness ,act solely = ! purpose ( fund+ ! ,mortgage ,insurance ,fund on ! ag5cy transf] date4 7,b7 ,treasury inve/m5ts ,! ,exi/+ ,ag5cy may reque/ ! ,secret>y ( ! ,treasury to inve/ ! am\nts receiv$ f assessm5ts impos$ "u section #acaf7;i7 ( ! ,safety & ,s\ndness ,act4 7,c7 ,gov]nm5t obligations ,pursuant to a reque/ "u subp>agraph 7,b71 ! ,secret>y ( ! ,treasury %all inve/ su* am\nts 9 ,f$]al ,gov]nm5t obligations-- 7i7 gu>ante$ z to pr9cipal & int]e/ by ! ,unit$ ,/ates ) maturities suitable to ! ne$s ( ! ,exi/+ ,ag5cy2 & 7ii7 be>+ int]e/ at a rate det]m9$ by ! ,secret>y ( ! ,treasury1 tak+ into consid]ation curr5t m>ket yields on out/&+ m>ketable obligations ( ! ,unit$ ,/ates ( comp>able maturity4 #djf4 ,transf] ( p[]s & duties on ! sy/em c]tification date2 cont9uation & coord9ation ( c]ta9 actions 7a7 ,transf] ( functions ,effective on ! sy/em c]tification date & except z provid$ 9 section #ccb7;a71 !re are transf]r$ to ! ,corporation all functions ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation & ! ,director !re(4 7b7 ,coord9ation & cont9uation ( c]ta9 actions 7#a7 ,9 g5]al ,all regulations1 ord]s1 det]m9ations1 & resolutions describ$ 9 p>agraph 7#b7 %all rema9 9 effect accord+ to ! t]ms ( su* regulations1 ord]s1 det]m9ations1 & resolutions1 & %all be en=ceable by or aga9/ ! ,corporation until modifi$1 t]m9at$1 set aside1 or sup]s$$ 9 accordance ) applicable law by ! ,corporation1 any c\rt ( compet5t jurisdiction1 or op]ation ( law4 7#b7 ,applicability ,a regulation1 ord]1 det]m9ation1 or resolution is describ$ 9 ?is p>agraph if x-- 7,a7 0 issu$1 made1 prescrib$1 or all[$ to become effective by-- 7i7 ! ,exi/+ ,ag5cy2 7ii7 ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation2 7iii7 ! ,f$]al ,h\s+ ,f9ance ,bo>d2 or 7iv7 a c\rt ( compet5t jurisdiction2 7,b7 relates to ! p]=mance ( functions t are transf]r$ by subsection 7a72 & 7,c7 is 9 effect on ! effective date ( ! transf] "u subsection 7a74 7c7 ,use ( ag5cy s]vices ,any ag5cy1 dep>tm5t1 or o!r in/rum5tality ( ! ,unit$ ,/ates1 & any successor to any su* ag5cy1 dep>tm5t1 or in/rum5tality1 :i* 0 provid+ support+ s]vices to ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation be=e ! sy/em c]tification date 9 connection ) functions t are transf]r$ to ! ,corporation "u subsection 7a7 %all-- 7#a7 cont9ue to provide su* s]vices1 on a reimbursable basis1 until ! transf] ( su* functions is complete2 & 7#b7 consult ) any su* ag5cy to coord9ate & facilitate a prompt & reasonable transition4 7d7 ,sav+s provisions 7#a7 ,exi/+ rights1 duties1 & obligations n affect$ ,subsection 7a7 %all n affect ! validity ( any "r1 duty1 or obligation ( ! ,unit$ ,/ates1 ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation1 or any o!r p]son1 :i*-- 7,a7 arises "u-- 7i7 ! ,safety & ,s\ndness ,act2 7ii7 ! ,f$]al ,national ,mortgage ,association ,*>t] ,act2 7iii7 ! ,f$]al ,home ,loan ,mortgage ,corporation ,act2 or 7iv7 any o!r provision ( law applicable ) respect to ! ,f$]al ,h\s+ ,f9ance ,ag5cy2 & 7,b7 exi/$ on ! day be=e ! sy/em c]tification date4 7#b7 ,cont9uation ( suits ,no action or o!r proce$+ comm5c$ by or aga9/ ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation 9 connection ) functions t are transf]r$ to ! ,corporation "u subsection 7a7 %all abate by reason ( ! enactm5t ( ?is ,act1 except t ! ,corporation %all be sub/itut$ = ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ( ! ,corporation z a p>ty to any su* action or proce$+4 #djg4 ,te*nical & con=m+ am5dm5ts relat+ to aboli%m5t ( ,,fhfa 7a7 ,effective date ,! am5dm5ts made by ?is section %all take effect on ! sy/em c]tification date4 7b7 ,access to ,local ,,tv ,act ( #bjjj ,section #ajjd7;d77#b77;,d77iii7 ( ! ,laun*+ ,our ,communities' ,access to ,local ,television ,act ( #bjjj 7#dg ,u4,s4,c4 #aajc7;d77#b77;,d77iii77 is am5d$ by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation4 7c7 ,commodity ,ex*ange ,act ,section #a;a7#ci77;,e7 ( ! ,commodity ,ex*ange ,act 7#g ,u4,s4,c4 #a;a7#ci77;,e77 is am5d$ by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation4 7d7 ,em]g5cy ,economic ,/abilization ,act ( #bjjh ,! ,em]g5cy ,economic ,/abilization ,act ( #bjjh 7#ab ,u4,s4,c4 #ebja note7 is am5d$-- 7#a7 9 section #ajd7;b77#c71 by /rik+ ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ! ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation2 7#b7 9 section #aji7;b71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 & 7#c7 9 section #aaj7;a77#a77;,a71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation4 7e7 ,f$]al ,national ,mortgage ,association ,*>t] ,act ,! ,f$]al ,national ,mortgage ,association ,*>t] ,act 7#ab ,u4,s4,c4 #agaf et seq47 is am5d$-- 7#a7 9 section #cjc7;c77#b71 by /rik+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation2 & 7#b7 9 section #cji-- 7,a7 9 subsection 7d77#c77;,b7-- 7i7 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 & 7ii7 by /rik+ ,director ea* place t t]m appe>s & ins]t+ ,*airp]son2 7,b7 9 subsection 7k77#a71 by /rik+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation2 7,c7 9 subsection 7m7-- 7i7 9 p>agraph 7#a71 by /rik+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation2 & 7ii7 9 p>agraph 7#b7-- 7,i7 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 & 7,,ii7 by /rik+ ,director ea* place t t]m appe>s & ins]t+ ,*airp]son2 & 7,d7 9 subsection 7n7-- 7i7 9 p>agraph 7#a71 by /rik+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation2 7ii7 9 p>agraph 7#b77,l71 by /rik+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation2 & 7iii7 9 p>agraph 7#c77;,b71 by /rik+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation4 7f7 ,f$]al ,deposit ,insurance ,act ,! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahaa et seq47 is am5d$-- 7#a7 9 section #g7;a77#b77;,a71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy ea* place t t]m appe>s & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 7#b7 9 section #h7;e77#g77;,a77vi71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy ea* place t t]m appe>s & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 & 7#c7 9 section #cc7;e71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation4 7g7 ,f$]al ,f9ancial ,in/itutions ,exam9ation ,c\ncil ,act ( #aigh ,! fir/ s5t5ce ( section #ajaa ( ! ,f$]al ,f9ancial ,in/itutions ,exam9ation ,c\ncil ,act ( #aigh 7#ab ,u4,s4,c4 #ccaj7 is am5d$ by /rik+ & ! ,f$]al ,h\s+ ,f9ance ,ag5cy4 7h7 ,f$]al ,home ,loan ,bank ,act ,! ,f$]al ,home ,loan ,bank ,act 7#ab ,u4,s4,c4 #adba et seq47 is am5d$-- 7#a7 9 section #b-- 7,a7 9 p>agraph 7#aa71 z previ\sly am5d$ by section #djb7;i71 by /rik+ ,ag5cy & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation2 & 7,b7 9 p>agraph 7#ab71 z previ\sly am5d$ by section #djb7;i71 by /rik+ ! ,f$]al ,h\s+ ,f9ance ,ag5cy )9 ! ,f$]al ,mortgage ,insurance ,corporation e/abli%$ "u section #djb7;a77#a7 ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad & ins]t+ ,f$]al ,mortgage ,insurance ,corporation e/abli%$ "u section #bja ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad2 7#b7 9 section #aj7;a77#c77;,b71 by ins]t+ 1 subject to su* regulations t ! ,f$]al ,mortgage ,insurance ,corporation may issue to ensure ! safety & s\ndness ( ! ,f$]al ,home ,loan ,banks1 cov]$ securities insur$ by ! ,f$]al ,mortgage ,insurance ,corporation "u ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad aft] ,gov]nm5t ,national ,mortgage ,association2 & 7#c7 9 section #aa7;h71 by ins]t+ 1 subject to su* regulations t ! ,f$]al ,mortgage ,insurance ,corporation may issue to ensure ! safety & s\ndness ( ! ,f$]al ,home ,loan ,banks1 cov]$ securities insur$ by ! ,f$]al ,mortgage ,insurance ,corporation "u ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad aft] ,f$]al ,home ,loan ,mortgage ,corporation pursuant to section #cje or section #cjf ( ! ,f$]al ,home ,loan ,mortgage ,corporation ,act4 7i7 ,f$]al ,home ,loan ,mortgage ,corporation ,act ,! ,f$]al ,home ,loan ,mortgage ,corporation ,act 7#ab ,u4,s4,c4 #adea et seq47 is am5d$-- 7#a7 9 section #cjc-- 7,a7 9 subsection 7b77#b71 by /rik+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation2 & 7,b7 9 subsection 7h7-- 7i7 9 p>agraph 7#b7-- 7,i7 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 & 7,,ii7 by /rik+ ,director ea* place t t]m appe>s & ins]t+ ,*airp]son2 & 7ii7 9 p>agraph 7#d71 by /rik+ ,director & ins]t+ ,*airp]son2 7#b7 9 section #cje7;a77#b71 by /rik+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation2 & 7#c7 9 section #cjg-- 7,a7 9 subsection 7c77#a71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 7,b7 9 subsection 7e7-- 7i7 9 p>agraph 7#a7-- 7,i7 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 & 7,,ii7 by /rik+ ,director ea* place t t]m appe>s & ins]t+ ,*airp]son2 & 7ii7 9 p>agraph 7#b7-- 7,i7 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 & 7,,ii7 by /rik+ ,director ea* place t t]m appe>s & ins]t+ ,*airp]son2 & 7,c7 9 subsection 7f7-- 7i7 9 p>agraph 7#a71 by /rik+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation2 7ii7 9 p>agraph 7#b71 by /rik+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ea* place t t]m appe>s & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation2 & 7iii7 9 p>agraph 7#c77;,b71 by /rik+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation4 7j7 ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib ,! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #deja et seq47 is am5d$-- 7#a7 9 section #acjc-- 7,a7 9 p>agraph 7#b71 z previ\sly am5d$ by section #djb7;i71 by /rik+ ! ,f$]al ,h\s+ ,f9ance ,ag5cy )9 ! ,f$]al ,mortgage ,insurance ,corporation e/abli%$ "u section #djb7;a77#a7 ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad & ins]t+ ,f$]al ,mortgage ,insurance ,corporation e/abli%$ "u section #bja ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad2 7,b7 by /rik+ p>agraph 7#d7 & ins]t+ ! foll[+3 7#d7 ,res]v$4 2 & 7,c7 9 p>agraph 7#i71 z previ\sly am5d$ by section #djb7;i71 by /rik+ ,ag5cy & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation2 7#b7 by repeal+ section #acac;,a2 7#c7 9 section #acag-- 7,a7 by /rik+ subsection 7d72 & 7,b7 by r$esignat+ subsections 7e7 ?r\gh 7i7 z subsections 7d7 ?r\gh 7h71 respectively2 & 7#d7 9 section #acfg-- 7,a7 9 subsection 7a71 9 ! head+1 by /rik+ ,ag5cy & ins]t+ ,corporation2 & 7,b7 9 subsection 7b71 9 ! head+ to p>agraph 7#i77;,b71 z s r$esignat$1 by /rik+ ,ag5cy & ins]t+ ,corporation4 7k7 ,f9ancial ,in/itutions ,re=m1 ,recov]y1 & ,enhancem5t ,act ( #aihi ,! ,f9ancial ,in/itutions ,re=m1 ,recov]y1 & ,enhancem5t ,act ( #aihi 7,public ,law #aja-gc2 #ajc ,/at4 #ahc7 is am5d$-- 7#a7 9 section #djb7;e71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy ea* place t t]m appe>s & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 7#b7 9 section #aabd1 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy ea* place t t]m appe>s & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 & 7#c7 9 section #aabe7;b71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation4 7l7 ,flood ,disa/] ,protection ,act ( #aigc ,section #ajb7;f77#c77;,a7 ( ! ,flood ,disa/] ,protection ,act ( #aigc 7#db ,u4,s4,c4 #djab;a7f77#c77;,a77 is am5d$ by /rik+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation4 7m7 ,h\s+ ,economic ,recov]y ,act ( #bjjh ,section #ajjb7;b7 ( ! ,h\s+ & ,economic ,recov]y ,act ( #bjjh 7,public ,law #aaj-bhi2 #abb ,/at4 #bffa7 is am5d$-- 7#a7 9 p>agraph 7#a71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 & 7#b7 9 p>agraph 7#b71 by /rik+ ,director ( ! ,ag5cy & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation4 7n7 ,h\s+ & ,urban-,rural ,recov]y ,act ( #aihc ,! fir/ s5t5ce ( section #dfi ( ! ,h\s+ & ,urban-,rural ,recov]y ,act ( #aihc 7#ab ,u4,s4,c4 #agjap-#a7 is am5d$ by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy14 7o7 ,multifamily ,assi/$ ,h\s+ ,re=m & ,af=dability ,act ( #aiig ,section #eag7;b77#d7 ( ! ,multifamily ,assi/$ ,h\s+ ,re=m & ,af=dability ,act ( #aiig 7#db ,u4,s4,c4 #adcg;f note7 is am5d$ by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation4 7p7 ,public law #ic-die ,section #aaa ( ,public ,law #ic-die 7#ab ,u4,s4,c4 #bej7 is am5d$ by /rik+ ! ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy14 7q7 ,neighborhood ,re9ve/m5t ,corporation ,act ,section #fjf7;c77#c7 ( ! ,neighborhood ,re9ve/m5t ,corporation ,act 7#db ,u4,s4,c4 #haje7;c77#c77 is am5d$ by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation4 7r7 ,riegle ,community ,developm5t & ,regulatory ,improvem5t ,act ( #aiid ,section #aag7;e7 ( ! ,riegle ,community ,developm5t & ,regulatory ,improvem5t ,act ( #aiid 7#ab ,u4,s4,c4 #dgaf7;e77 is am5d$ by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation4 7s7 ,"r to ,f9ancial ,privacy ,act ( #aigh ,section #aaac7o7 ( ! ,"r to ,f9ancial ,privacy ,act ( #aigh 7#ab ,u4,s4,c4 #cdac7o77 is am5d$-- 7#a7 9 ! head+ to ! subsection1 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 7#b7 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 & 7#c7 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy's & ins]t+ ,f$]al ,mortgage ,insurance ,corporation's4 7t7 ,s>banes-,oxley ,act ( #bjjb ,section #aje7;b77#e77;,b77ii77,,ii7 ( ! ,s>banes-,oxley ,act ( #bjjb 7#ae ,u4,s4,c4 #gbae7;b77#e77;,b77ii77,,ii77 is am5d$ by /rik+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation4 7u7 ,securities ,ex*ange ,act ,section #ae;,g ( ! ,securities ,ex*ange ,act 7#ae ,u4,s4,c4 #gho-#aa7 is am5d$-- 7#a7 9 subsection 7b77#b71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 & 7#b7 9 subsection 7e77#d71 by /rik+ ,director ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy ea* place t t]m appe>s & ins]t+ ,*airp]son ( ! ,f$]al ,mortgage ,insurance ,corporation4 7v7 ,tru? 9 ,l5d+ ,act ,! ,tru? 9 ,l5d+ ,act 7#ae ,u4,s4,c4 #afja et seq47 is am5d$-- 7#a7 section #abi;,h7b77#d71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 & 7#b7 9 section #abi;,e-- 7,a7 9 subsection 7g77#a71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation2 & 7,b7 9 subsection 7h71 by /rik+ ,f$]al ,h\s+ ,f9ance ,ag5cy & ins]t+ ,f$]al ,mortgage ,insurance ,corporation4 7w7 ,o!r ref]5ces 9 ,f$]al law ,on & aft] ! sy/em c]tification date1 any ref]5ce to ! ,f$]al ,h\s+ ,f9ance ,ag5cy or ! ,director !re( 9 any law1 rule1 regulation1 c]tificate1 directive1 in/ruction1 or o!r (ficial pap] 9 =ce on ! sy/em c]tification date %all be consid]$ to ref] & apply to ! ,f$]al ,mortgage ,insurance ,corporation & ! ,*airp]son !re(1 respectively4 #djh4 ,repeal ( m&atory h\s+ goals 7a7 ,repeal ( h\s+ goals ,! ,safety & ,s\ndness ,act is am5d$ by /rik+ sections #acca ?r\gh #accf 7#ab ,u4,s4,c4 #defa-f74 7b7 ,con=m+ am5dm5ts ,! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #deja et seq47 is am5d$-- 7#a7 9 section #acjc7bh71 by /rik+ 1 &1 = ! purposes & all t foll[s ?r\gh designat$ disa/] areas2 7#b7 9 section #acbd7;b77#a77;,a71 by /rik+ clauses 7i71 7ii71 & 7iv72 7#c7 9 section #acda-- 7,a7 9 subsection 7a7-- 7i7 9 p>agraph 7#a71 by ins]t+ or aft] ! semicolon at ! end2 7ii7 9 p>agraph 7#b71 by /rik+ ! semicolon at ! end & ins]t+ a p]iod2 & 7iii7 by /rik+ p>agraphs 7#c7 & 7#d72 & 7,b7 9 subsection 7b77#b7-- 7i7 9 subp>agraph 7,a71 by ins]t+ or aft] ! semicolon at ! end2 7ii7 by /rik+ subp>agraphs 7,b7 & 7,c72 & 7iii7 by r$esignat+ subp>agraph 7,d7 z subp>agraph 7,b72 7#d7 9 section #acde7;a7-- 7,a7 9 p>agraph 7#a71 by ins]t+ or aft] ! semicolon at ! end2 7,b7 9 p>agraph 7#b71 by /rik+ ! semicolon at ! end & ins]t+ a p]iod2 & 7,c7 by /rik+ p>agraphs 7#c7 & 7#d72 & 7#e7 9 section #acga7;a77#b71 by /rik+ ) any h\s+ goal e/abli%$ "u subp>t ,b ( "p #b ( subtitle ,a ( ?is title1 ) section #accf or #accg ( ?is title14 7c7 ,effective date ,! am5dm5ts made by ?is section %all take effect on ! date ( enactm5t ( ?is ,act4 7d7 ,requir$ compliance ) nondiscrim9ation laws 7#a7 ,approv$ entities2 ,plat=m ,not)/&+ any o!r provision ( ?is ,act1 approv$ entities & ! ,securitization ,plat=m %all comply ) ,f$]al & ,/ate nondiscrim9ation laws1 includ+ ! ,fair ,h\s+ ,act 7#db ,u4,s4,c4 #cfja et seq47 & ! ,equal ,cr$it ,opportunity ,act 7#ae ,u4,s4,c4 #afia et seq474 7#b7 ,corporation 7,a7 ,9 g5]al ,9 c>ry+ out ?is ,act1 ! ,corporation %all comply ) ,f$]al & ,/ate nondiscrim9ation laws4 7,b7 ,p]iodic review ,! ,corporation %all p]iodically review its policies1 /&>ds1 & guidel9es ) respect to eligible mortgage loans1 includ+1 b n limit$ to1 any automat$ und]writ+ sy/ems1 to ensure t su* policies1 /&>ds1 & guidel9es are consi/5t ) ! requirem5ts ( section #djh7;d74 7#c7 ,safety & ,s\ndness ,act ,section #acbe ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #dede7 is am5d$-- 7,a7 9 ! matt] prec$+ p>agraph 7#a71 by /rik+ ,! ,secret>y & ins]t+ ! foll[+3 7a7 ,9 g5]al ,! ,secret>y 2 7,b7 9 p>agraph 7#a7-- 7i7 by ins]t+ 1 approv$ gu>antor1 approv$ multifamily gu>antor1 approv$ aggregator1 & ! ,securitization ,plat=m aft] ent]prise2 7ii7 by ins]t+ or gu>antee aft] pur*ase2 & 7iii7 by ins]t+ or mortgage-back$ security aft] mortgage2 7,c7 9 p>agraph 7#b7-- 7i7 by /rik+ 7#b7 by regulation & by ins]t+ 7#b77;,a7 by regulation2 7ii7 by ins]t+ & aft] ! semicolon2 & 7iii7 by add+ at ! end ! foll[+3 7,b7 ) respect to ! m>ket = cov]$ gu>antee transactions & cov]$ m>ket-bas$ risk-%>+ transactions1 by regulation1 require ea* approv$ gu>antor1 approv$ multifamily gu>antor1 & approv$ aggregator to submit data to ! ,secret>y to assi/ ! ,secret>y 9 inve/igat+ :e!r a mortgage l5d] ) :i* ! approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator does bus9ess has fail$ to comply ) ! ,fair ,h\s+ ,act 7#db ,u4,s4,c4 #cfja et seq472 2 7,d7 9 p>agraph 7#c7-- 7i7 by /rik+ 7#c7 by regulation & by ins]t+ 7#c77;,a7 by regulation2 7ii7 by ins]t+ & aft] ! semicolon2 & 7iii7 by add+ at ! end ! foll[+3 7,b7 ) respect to ! m>ket = cov]$ gu>antee transactions & cov]$ m>ket-bas$ risk-%>+ transactions1 by regulation1 require ea* approv$ gu>antor1 approv$ multifamily gu>antor1 & approv$ aggregator to submit data to ! ,secret>y to assi/ 9 inve/igat+ :e!r a mortgage l5d] ) :i* ! approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator does bus9ess has fail$ to comply ) ! ,equal ,cr$it ,opportunity ,act 7#ae ,u4,s4,c4 #afia et seq471 & %all submit any su* in=mation receiv$ to ! appropriate ,f$]al ag5cies1 z provid$ 9 section #gjd ( ! ,equal ,cr$it ,opportunity ,act 7#ae ,u4,s4,c4 #afia;c71 = appropriate action2 2 7,e7 9 p>agraph 7#d71 by ins]t+ & ! ,f$]al ,mortgage ,insurance ,corporation aft] ent]prises2 7,f7 9 p>agraph 7#e7-- 7i7 by /rik+ 7#e7 direct ! & by ins]t+ 7#e77;,a7 direct !2 7ii7 by ins]t+ & aft] ! semicolon2 & 7iii7 by add+ at ! end ! foll[+3 7,b7 ) respect to ! m>ket = cov]$ gu>antee transactions & cov]$ m>ket-bas$ risk-%>+ transactions1 apply v>i\s rem$ial actions1 includ+ susp5sion1 probation1 reprim&1 or settlem5t1 aga9/ l5d]s t h be5 f\nd to h engag$ 9 discrim9atory l5d+ practices 9 violation ( ! ,fair ,h\s+ ,act or ! ,equal ,cr$it ,opportunity ,act1 pursuant to a f9al adjudication on ! record1 & aft] opportunity = an adm9i/rative he>+1 9 accordance ) sub*apt] ,,ii ( *apt] #e ( title #e1 ,unit$ ,/ates ,code2 & 2 7,g7 9 p>agraph 7#f7-- 7i7 by /rik+ 7#f7 p]iodically review & by ins]t+ 7#f77;,a7 p]iodically review2 7ii7 by /rik+ ! p]iod at ! end & ins]t+ 2 &2 & 7iii7 by add+ at ! end ! foll[+3 7,b7 ) respect to ! m>ket = cov]$ gu>antee transactions & cov]$ m>ket-bas$ risk-%>+ transactions1 p]iodically review & comm5t on ! und]writ+ & appraisal guidel9es ( ea* approv$ gu>antor1 approv$ multifamily gu>antor1 & approv$ aggregator1 & ! policies1 /&>ds1 & guidel9es ( ! ,securitization ,plat=m to ensure t su* guidel9es are consi/5t ) ! ,fair ,h\s+ ,act & ?is section4 2 & 7,h7 by add+ at ! end ! foll[+3 7b7 ,def9itions ,9 ?is section1 ! t]ms approv$ gu>antor1 approv$ multifamily gu>antor1 approv$ aggregator1 cov]$ gu>antee transaction1 cov]$ m>ket-bas$ risk-%>+ transaction1 & ,securitization ,plat=m h ! mean+s giv5 su* t]ms 9 section #b ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad4 4 ,v ,improv+ transp>5cy1 acc\ntability1 & efficacy )9 af=dable h\s+ #eja4 ,af=dable h\s+ allocations 7a7 ,fee & allocation ( am\nts ,9 addition to any fees = ! provision ( insurance e/abli%$ 9 accordance ) title ,,iii1 9 ea* fiscal ye> ! ,corporation %all-- 7#a7 *>ge & collect a fee det]m9$ z provid$ 9 subsection 7b7 = ea* doll> ( ! out/&+ pr9cipal balance ( all eligible mortgage loans t collat]alize cov]$ securities insur$ "u ?is ,act2 & 7#b7 allocate or o!rwise transf]1 on an annual basis-- 7,a7 #ge p]c5t ( su* fee am\nts to ! ,secret>y ( ,h\s+ & ,urban ,developm5t to fund ! ,h\s+ ,tru/ ,fund e/abli%$ "u section #acch ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #defh72 7,b7 #ae p]c5t ( su* fee am\nts to ! ,secret>y ( ! ,treasury to fund ! ,capital ,magnet ,fund e/abli%$ "u section #acci ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #defi72 & 7,c7 #aj p]c5t ( su* fee am\nts to ! ,corporation to fund ! ,m>ket ,access ,fund e/abli%$ "u section #ejd4 7b7 ,det]m9ation ( fee ,! fee requir$ to be *>g$ "u subsection 7a7 %all be det]m9$ z foll[s3 7#a7 ,initial fee ,beg9n+ on ! date ( enactm5t ( ?is ,act & end+ ^u ! date set =? "u p>agraph 7#b77;,e71 ! fee %all be an am\nt equal to #aj basis po9ts = ea* doll> ( ! out/&+ pr9cipal balance ( eligible mortgage loans collat]aliz+ cov]$ securities insur$ "u ?is ,act4 7#b7 ,subsequ5t inc5tive-bas$ fee ,n lat] ?an #f mon?s aft] ! date t ! ,corporation has approv$ at lea/ #b approv$ gu>antors1 approv$ multifamily gu>antors1 or approv$ aggregators1 ! ,corporation %all1 by regulation1 aft] notice & comm5t1 e/abli% a =mula = det]m9+ ! fee t meets ! foll[+ crit]ia3 7,a7 ,av]age = all fees ,! av]age ( fees *>g$ on ! total out/&+ pr9cipal balance ( all eligible mortgage loans collat]aliz+ cov]$ securities insur$ "u ?is ,act %all be equal to #aj basis po9ts4 7,b7 ,p]missible range ,! highe/ basis po9t fee *>g$ to an approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator engag$ 9 a cov]$ gu>antee transaction or an approv$ aggregator engag$ 9 a cov]$ m>ket-bas$ risk-%>+ transaction %all n exce$ #b times ! l[e/ basis po9t fee *>g$4 7,c7 ,inc5tives to s]ve und]s]v$ m>ket segm5ts 7i7 ,9 g5]al ,! =mula det]m9$ "u ?is subsection %all provide t ! am\nt by :i* any p>ticul> fee *>g$ to an approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator engag$ 9 a cov]$ gu>antee transaction or an approv$ aggregator engag$ 9 a cov]$ m>ket-bas$ risk-%>+ transaction may be m or less ?an ! av]age fee requir$ "u subp>agraph 7,a7 bas$ ^u consid]ation ( ! foll[+ factors3 7,i7 ,p]=mance relative to pe]s ,! p]=mance ( ea* approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator engag$ 9 a cov]$ gu>antee transaction & ea* approv$ aggregator engag$ 9 a cov]$ m>ket-bas$ risk-%>+ transaction 9 s]v+ und]s]v$ m>ket segm5ts1 z id5tifi$ & def9$ "u section #baj1 relative to ! p]=mance ( all o!r approv$ gu>antors1 approv$ multifamily gu>antors1 or approv$ aggregators engag$ 9 cov]$ gu>antee transactions or approv$ aggregators engag$ 9 cov]$ m>ket-bas$ risk-%>+ transactions4 7,,ii7 ,p]=mance relative to prim>y m>ket loan orig9ation data ,! p]=mance ( ea* approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator engag$ 9 a cov]$ gu>antee transaction & ea* approv$ aggregator engag$ 9 a cov]$ m>ket-bas$ risk-%>+ transaction 9 s]v+ und]s]v$ m>ket segm5ts1 z id5tifi$ & def9$ "u section #baj1 relative to ! level ( prim>y m>ket mortgage orig9ations 9 ea* ( ! und]s]v$ m>ket segm5ts s id5tifi$ & def9$ t 7 facilitat$ by ! approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator's engagem5t 9 a cov]$ gu>antee transaction or ! approv$ aggregator's engagem5t 9 a cov]$ m>ket-bas$ risk-%>+ transaction4 7,,iii7 ,relative ext5t to :i* individual m>ket segm5ts are und]s]v$ ,! relative ext5t to :i* ea* ( ! und]s]v$ m>ket segm5ts1 z id5tifi$ & def9$ "u section #baj1 t h prim>y m>ket mortgage orig9ations facilitat$ by ! approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator's engagem5t 9 a cov]$ gu>antee transaction or ! approv$ aggregator's engagem5t 9 a cov]$ m>ket-bas$ risk-%>+ transaction is und]s]v$4 7ii7 ,weigh+ factors ,! =mula det]m9$ "u ?is subsection %all assign su* weights to ea* ( ! factors set =? "u clause 7i7 z ! ,corporation det]m9es necess>y & appropriate4 7iii7 ,data = measur+ factors ,to measure ! p]=mance 9 s]v+ und]s]v$ m>ket segm5ts1 z id5tifi$ & def9$ "u section #baj1 by approv$ gu>antors1 approv$ multifamily gu>antors1 or approv$ aggregators engag$ 9 a cov]$ gu>antee transaction & approv$ aggregators engag$ 9 a cov]$ m>ket-bas$ risk-%>+ transaction & ! ext5t to :i* a m>ket segm5t is und]s]v$1 ! =mula det]m9$ "u ?is subsection %all provide = ! use (-- 7,i7 ! id5tifications & def9itions ( und]s]v$ m>ket segm5ts e/abli%$ by ! ,corporation "u section #baj2 7,,ii7 data & o!r in=mation 9 ! annual report fil$ ) ! ,corporation by ea* approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator engag$ 9 a cov]$ gu>antee transaction & ea* approv$ aggregator engag$ 9 a cov]$ m>ket-bas$ risk-%>+ transaction1 z requir$ "u section #baj2 7,,iii7 loan level data1 to ! ext5t possible 9 ! mann] requir$ by ! ,home ,mortgage ,disclosure ,act 7#ab ,u4,s4,c4 #bhja et seq47 on activities relat$ to cov]$ securities2 & 7,,iv7 o!r publicly available data4 7,d7 ,?ird-p>ty entity to measure factors 7i7 ,selection ,! ,corporation1 ?r\gh a competitive process1 %all select an entity indep5d5t ( ! ,corporation to ga!r1 use1 & provide to ! ,corporation ! data requir$ "u subp>agraph 7,c77iii74 7ii7 ,rank+ ,! entity select$ "u clause 7i7 %all-- 7,i7 analyze ! data requir$ "u subp>agraph 7,c77iii72 & 7,,ii7 rank ! approv$ gu>antors1 approv$ multifamily gu>antors1 or approv$ aggregators engag$ 9 cov]$ gu>antee transactions & ! approv$ aggregators engag$ 9 cov]$ m>ket-bas$ risk-%>+ transactions1 apply+ ! =mula e/abli%$ by ! ,corporation4 7iii7 ,tim+ ( rank+ ,! entity select$ "u clause 7i7 %all1 on an annual basis1 provide ! rank+s requir$ "u clause 7ii77,,ii74 ,! annual rank+s requir$ "u ?is clause %all beg9 at a "t to be det]m9$ mutually by ! entity select$ "u clause 7i7 & ! ,corporation1 s t ! ,corporation w be position$ to det]m9e1 *>ge1 & collect ! fir/ inc5tive-bas$ fees beg9n+ on ! date t is #ab mon?s aft] ! date ( approval ( at lea/ #b approv$ gu>antors1 approv$ multifamily gu>antors1 or approv$ aggregators4 7,e7 ,tim+ ( *>g+ & collect+ inc5tive-bas$ fees 7i7 ,fir/ inc5tive-bas$ fees ,subject to p>agraph 7#c71 ! ,corporation %all *>ge & collect ! fir/ inc5tive-bas$ fees requir$ "u ?is subsection beg9n+ on ! date t is #ab mon?s aft] ! date ( ! approval ( at lea/ #b approv$ gu>antors1 approv$ multifamily gu>antors1 or approv$ aggregators4 7ii7 ,subsequ5t annual inc5tive-bas$ fees ,subject to p>agraph 7#c71 ! ,corporation %all *>ge & collect inc5tive-bas$ fees annually on ! fir/ bus9ess day ( ea* #ab-mon? p]iod t beg9s aft] ! expiration ( ! initial #ab-mon? p]iod set =? 9 clause 7i74 7iii7 ,collection 7,i7 ,proc$ures ,! ,corporation %all1 by regulation1 e/abli% proc$ures = collect+ ! inc5tive-bas$ fee requir$ "u ?is p>agraph on a p]iodic basis det]m9$ by ! ,corporation4 7,,ii7 ,compliance ) proc$ures ,! ,corporation %all collect all inc5tive-bas$ fees requir$ "u ?is p>agraph consi/5t ) ! proc$ures e/abli%$ pursuant to subclause 7,i74 7iv7 ,adju/m5ts to inc5tive-bas$ fees paid 7,i7 ,9 g5]al ,! ,corporation %all make appropriate adju/m5ts to ! inc5tive-bas$ fee *>g$ to an approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator engag$ 9 a cov]$ gu>antee transaction or an approv$ aggregator engag$ 9 a cov]$ m>ket-bas$ risk-%>+ transaction = any ye> bas$ on !-- 7aa7 application ( ! =mula e/abli%$ "u ?is p>agraph to su* approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator2 & 7bb7 measur$ p]=mance ( su* approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator 9 t ye>4 7,,ii7 ,=m ( adju/m5ts ,any adju/m5ts made pursuant to subclause 7,i7 may take ! =m (-- 7aa7 a cr$it aga9/ ! fee paid by an approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator = ! ye>2 or 7bb7 an additional am\nt ow+ on ! fee = ! ye> by ! approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator4 7v7 ,frequ5cy ( inc5tive-bas$ fee collection ,9 det]m9+ ! appropriate p]iodic basis = collect+ ! inc5tive-bas$ fees requir$ "u clause 7iii71 ! ,corporation %all take into consid]ation ! ne$ to make appropriate adju/m5ts to ! fees "u clause 7iv7 ?r\gh cr$its or additional bill+s4 7vi7 ,rule ( con/ruction ,no?+ 9 ?is subp>agraph %all be con/ru$ to waive1 ov]ride1 or 9 any mann] sup]s$e ! requirem5t set =? "u subp>agraph 7,a74 7,f7 ,additional inc5tives to s]ve und]s]v$ m>ket segm5ts 7i7 ,fee cr$its f ! ,m>ket ,access ,fund ,not)/&+ any provision ( section #ejd or any o!r provision ( law1 ! ,corporation may use up to #ej p]c5t ( ! am\nts 9 ! ,m>ket ,access ,fund1 det]m9$ z ( ! date t an inc5tive-bas$ fee "u subp>agraph 7,e7 is to be *>g$ 9 any ye>1 to provide #a or m approv$ gu>antors1 approv$ multifamily gu>antors1 or approv$ aggregators engag$ 9 a cov]$ gu>antee transaction or approv$ aggregators engag$ 9 a cov]$ m>ket-bas$ risk-%>+ transaction ) additional inc5tives to s]ve und]s]v$ m>ket segm5ts1 z id5tifi$ & def9$ "u section #baj1 ?r\gh ! aw>d ( a cr$it t may be appli$ to r$uce ! annual fee *>g$ to ! approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator if t p]son exce$s p]=mance measures relat$ to ! s]vice ( su* und]s]v$ m>ket segm5ts e/abli%$ by ! ,corporation4 7ii7 ,rule requir$ ,! ,corporation %all e/abli%1 by regulation1 ! t]ms1 conditions1 & p]=mance measures = ! aw>d+ ( cr$its "u clause 7i74 7#c7 ,opt-out f inc5tive-bas$ fees 7,a7 ,election & writt5 agreem5t ,an approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator engag$ 9 a cov]$ gu>antee transaction or an approv$ aggregator engag$ 9 a cov]$ m>ket-bas$ risk-%>+ transaction may elect to be except$ f ! inc5tive-bas$ fee t is *>g$ "u p>agraph 7#b7 by notify+ ! ,corporation 9 writ+ t ! approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator agrees to pay ! fee am\nt describ$ 9 subp>agraph 7,c74 7,b7 ,tim+ = election ,= any #ab-mon? p]iod = :i* an inc5tive-bas$ fee w be *>g$ "u p>agraph 7#b71 an approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator engag$ 9 a cov]$ gu>antee transaction or an approv$ aggregator engag$ 9 a cov]$ m>ket-bas$ risk-%>+ transaction may make an election "u subp>agraph 7,a7 n lat] ?an #c mon?s prior to ! beg9n+ ( su* #ab-mon? p]iod4 7,c7 ,fee am\nt = opt-out ,if an approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator engag$ 9 a cov]$ gu>antee transaction or an approv$ aggregator engag$ 9 a cov]$ m>ket-bas$ risk-%>+ transaction makes an election "u subp>agraph 7,a71 ! ,corporation %all *>ge to1 & collect f1 ! approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator a fee 9 an am\nt equal to ! highe/ fee *>g$ by ,corporation = ! #ab-mon? p]iod "u ! rank+ made "u p>agraph 7#b77;,d74 7,d7 ,opt-out n to affect report+ requirem5ts ,an election made "u subp>agraph 7,a7 %all n release1 dim9i%1 or o!rwise affect any requirem5t set =? by ?is ,act t requires an approv$ gu>antor1 approv$ multifamily gu>antor1 or approv$ aggregator engag$ 9 a cov]$ gu>antee transaction or an approv$ aggregator engag$ 9 a cov]$ m>ket-bas$ risk-%>+ transaction to furni% to ! ,corporation su* in=mation z ! ,corporation is au?oriz$ by ?is ,act to obta91 includ+ ! annual report requir$ to be fil$ ) ! ,corporation "u section #baj4 7c7 ,cont9u+ obligation ,! fee requir$ to be *>g$ "u subsection 7a7 %all be collect$ = ! life ( ! cov]$ security4 7d7 ,susp5sion ( contributions ,! ,corporation may tempor>ily susp5d allocations "u subsection 7a77#b7 ^u a f9d+ by ! ,corporation t su* allocations are contribut+1 or w\ld contribute1 to ! f9ancial in/ability ( ! ,mortgage ,insurance ,fund e/abli%$ "u section #cjc4 7e7 ,rule ( con/ruction ,! co/ ( ! fee requir$ to be *>g$ "u subsection 7a7 %all n be borne by eligible borr[]s4 #ejb4 ,h\s+ ,tru/ ,fund ,section #acch ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #defh7 is am5d$-- 7#a7 9 subsection 7a77#a7-- 7,a7 9 ! fir/ s5t5ce1 by ins]t+ or pursuant to section #eja ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad aft] section #accg2 & 7,b7 9 ! second s5t5ce1 by ins]t+ f$]ally-recogniz$ tribes & aft] grants to2 7#b7 by /rik+ subsection 7b7 & ins]t+ ! foll[+3 7b7 ,res]v$4 2 7#c7 9 subsection 7c7-- 7,a7 9 p>agraph 7#a71 by /rik+ ,except z provid$ 9 subsection 7b71 ! & ins]t+ ,!2 7,b7 9 p>agraph 7#b7-- 7i7 by /rik+ 7z su* t]m is def9$ 9 section #d ( ! ,native ,am]ican ,h\s+ ,assi/ance & ,self-,det]m9ation ,act ( #aiig 7#be ,u4,s4,c4 #dajc772 & 7ii7 by add+ at ! end ! foll[+3 ,an ,indian tribe receiv+ grant am\nts "u ?is subsection may designate a f$]ally recogniz$ tribe or a tribally designat$ h\s+ entity to receive su* grant am\nts4 ,no?+ 9 ?is subsection %all limit or be con/ru$ to limit ! ability ( an ,indian tribe or a tribally designat$ h\s+ entity f be+ a p]missible designat$ recipi5t ( grant am\nts provid$ by a ,/ate "u ?is section42 7,c7 9 p>agraph 7#c7-- 7i7 9 ! head+-- 7,i7 by ins]t+ ,indian tribes & be=e ,/ates2 & 7,,ii7 by /rik+ by ne$s-bas$ =mula2 7ii7 9 subp>agraph 7,a71 by /rik+ ,! ,secret>y %all & ins]t+ ! foll[+3 7i7 ,m9imum tribal di/ributions 7,i7 ,9 g5]al ,! ,secret>y1 act+ ?r\gh ! ,(fice ( ,native ,am]ican ,programs1 %all di/ribute via competitive grants ! am\nts det]m9$ "u subclause 7,,ii7 & made available "u ?is subsection to f$]ally recogniz$ tribes & tribally designat$ h\s+ entities4 7,,ii7 ,am\nts ,! total am\nt requir$ to be di/ribut$ "u ?is subclause = a fiscal ye> %all be ! great] ( #bj1jjj1jjj1 or #b p]c5t ( ! total am\nt ( am\nts allocat$ = ! ,h\s+ ,tru/ ,fund "u ?is section4 7,,iii7 ,use ( am\nts ,competitive grant am\nts receiv$ by a f$]ally recogniz$ tribe or a tribally designat$ h\s+ entity "u ?is clause may be us$1 or committ$ to use1 only = ^? activities t are id5tifi$ z eligible af=dable h\s+ activities "u section #bjb ( ! ,native ,am]ican ,h\s+ ,assi/ance & ,self-,det]m9ation ,act ( #aiif 7#be ,u4,s4,c4 #dacb74 7,,iv7 ,evaluation ( applications 7aa7 ,9 g5]al ,9 evaluat+ any application = ! receipt ( competitive grant am\nts au?oriz$ "u ?is clause1 ! ,secret>y1 act+ ?r\gh ! ,(fice ( ,native ,am]ican ,programs1 %all consid] ) respect to ! f$]ally recogniz$ tribe applicant or tribally designat$ h\s+ entity applicant & to ,indian res]vations & o!r ,indian areas associat$ ) ! f$]ally recogniz$ tribe applicant or s]v$ by ! tribally designat$ h\s+ entity applicant evaluation crit]ia1 includ+ ! foll[+3 7,,aa7 ,level ( pov]ty on ! ,indian res]vation or 9 ! ,indian area4 7,,bb7 ,level ( unemploym5t on ! ,indian res]vation or 9 ! ,indian area4 7,,cc7 ,condition ( h\s+ /ock on ! ,indian res]vation or 9 ! ,indian area4 7,,dd7 ,level ( ov]cr[d$ h\s+ on ! ,indian res]vation or 9 ! ,indian area1 z measur$ by ! numb] ( h\seholds 9 :i* ! numb] ( p]sons p] room is great] ?an #a4 7,,ee7 ,pres5ce & preval5ce ( black mold on ! ,indian res]vation or 9 ! ,indian area4 7,,ff7 ,demon/rat$ exp]i5ce1 capacity1 & ability ( ! applicant to manage ! developm5t & con/ruction ( af=dable h\s+1 & manage af=dable h\s+ programs1 includ+ r5tal h\s+ programs1 home[n]%ip programs1 & programs to assi/ pur*as]s ) d[n paym5ts1 clos+ co/s1 or int]e/ rate buy-d[ns4 7,,gg7 ,demon/rat$ ability ( ! applicant to meet ! requirem5ts "u ! ,native ,am]ican ,h\s+ ,assi/ance & ,self-,det]m9ation ,act ( #aiif 7#be ,u4,s4,c4 #daja et seq471 includ+ ! timely & effici5t exp5diture ( funds4 7,,hh7 ,su* o!r crit]ia z may be specifi$ by ! ,secret>y 9 ord] to evaluate ! ov]all quality ( ! propos$ project1 ! feasibility ( ! propos$ project1 & :e!r ! propos$ project w address ! h\s+ ne$s on ! ,indian res]vation or 9 ! ,indian area4 7bb7 ,review ( data ,9 evaluat+ any application = ! receipt ( competitive grant am\nts au?oriz$ "u ?is clause1 ! ,secret>y1 act+ ?r\gh ! ,(fice ( ,native ,am]ican ,programs1 %all p]mit a f$]ally recogniz$ tribe applicant or a tribally designat$ h\s+ entity applicant to supplem5t or replace1 9 :ole or 9 "p1 any data compil$ & produc$ by ! ,bureau ( ! ,c5sus & ^u :i* ! ,secret>y1 act+ ?r\gh ! ,(fice ( ,native ,am]ican ,program1 relies1 provid$ su* tribally-collect$ data meets ! ,dep>tm5t ( ,h\s+ & ,urban ,developm5t's /&>ds = accuracy4 7,v7 ,treatm5t ( funds ,not)/&+ any o!r provision ( law1 competitive grant am\nts receiv$ "u ?is clause %all n be consid]$ ,f$]al funds = purposes ( mat*+ o!r ,f$]al s\rces ( funds4 7,,vi7 ,rule ( con/ruction ,! requirem5ts "u clause 7ii71 subp>agraphs 7,b7 & 7,c7 ( ?is p>agraph1 & p>agraphs 7#d7 ?r\gh 7#h7 & p>agraph 7#aj77;,a7 ( ?is subsection %all n apply to any am\nts di/ribut$ "u ?is clause to a f$]ally recogniz$ tribe or a tribally designat$ h\s+ entity4 7ii7 ,/ate di/ributions ,f any am\nts rema9+ 9 ! ,h\s+ ,tru/ ,fund aft] ! di/ribution ( ! am\nts requir$ "u clause 7i71 ! ,secret>y %all 2 7iii7 9 subp>agraph 7,b71 by /rik+ subp>agraph 7,a7 & ins]t+ subp>agraph 7,a77ii72 & 7iv7 9 subp>agraph 7,c71 by /rik+ subp>agraph 7,a7 & ins]t+ subp>agraph 7,a77ii72 7,d7 9 p>agraph 7#d7-- 7i7 9 subp>agraph 7,b71 by /rik+ o!r ?an fiscal ye> #bjji2 & 7ii7 by /rik+ subp>agraph 7,c71 & ins]t+ ! foll[+3 7,c7 ,m9imum ,/ate allocations 7i7 ,9 g5]al ,except z provid$ 9 clause 7ii71 ! m9imum allocation1 foll[+ ! det]m9ation ( ! =mula am\nt 9 p>agraph 7#c71 to any ( ! #ej ,/ates ( ! ,unit$ ,/ates or ! ,di/rict ( ,columbia %all be #aj1jjj1jjj & ! increase 9 any su* allocation %all be d$uct$ pro rata f ! allocations made above su* m9imum to all o!r ( ! ,/ates 7z su* t]m is def9$ 9 section #acjc74 7ii7 ,exception ,if ! allocation to ! ,h\s+ ,tru/ ,fund "u section #eja7;a77#b77;,a7 ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad = a fiscal ye> is less ?an #a1jjj1jjj1jjj1 ! m9imum allocation to any ( ! #ej ,/ates ( ! ,unit$ ,/ates or ! ,di/rict ( ,columbia %all be ! great] ( #e1jjj1jjj or #a p]c5t ( ! total am\nt ( am\nts allocat$ = ! ,h\s+ ,tru/ ,fund "u ?is section & ! increase 9 any su* allocation %all be d$uct$ pro rata f ! allocations made above su* m9imum to all o!r ( ! ,/ates 7z su* t]m is def9$ 9 section #acjc74 2 7,e7 9 p>agraph 7#e77;,a7-- 7i7 9 clause 7iii71 by /rik+ & at ! end2 7ii7 by r$esignat+ clause 7iv7 z clause 7v72 & 7iii7 by ins]t+ aft] clause 7iii7 ! foll[+3 7iv7 set =? a plan = a*iev+ geographic div]sity1 includ+ ! di/ribution ( grant am\nts to rural areas 9 proportion to h\s+ ne$s 9 ^? areas2 & 4 7,f7 9 p>agraph 7#g77;,a71 by /rik+ h\s+ "u ! programs id5tifi$ 9 section #acce7;a77#b77;,b7 ( ?is title & ins]t+ h\s+ subsidiz$ "u ,f$]al law or comp>able ,/ate or local laws2 7,g7 9 p>agraph 7#g77;,b77iv71 by /rik+ section #acb & ins]t+ section #aacb2 7,h7 9 p>agraph 7#i71 by ins]t+ 7includ+ a public h\s+ ag5cy7 aft] ag5cy2 & 7,i7 by add+ at ! end ! foll[+3 7#aa7 ,rule ( con/ruction ,no?+ 9 ?is subsection %all be con/ru$ to limit ! ability ( a f$]ally recogniz$ tribe or a tribally designat$ h\s+ entity f receiv+ grant am\nts provid$ by a ,/ate "u ?is section4 2 7#d7 9 subsection 7f71 by add+ at ! end ! foll[+3 7#g7 ,tribal t]ms 7,a7 ,9 g5]al ,! t]ms f$]ally recogniz$ tribe1 ,indian area1 ,indian tribe1 & tribally designat$ h\s+ entity h ! same mean+ z 9 section #d ( ! ,native ,am]ican ,h\s+ ,assi/ance & ,self-,det]m9ation ,act ( #aiif 7#be ,u4,s4,c4 #dajc74 7,b7 ,indian res]vation ,! t]m ,indian res]vation means l& subject to ! jurisdiction ( an ,indian tribe4 7#h7 ,rural area ,! t]m rural area means any community eligible = assi/ance "u section #ebj ( ! ,h\s+ ,act ( #aidi 7#db ,u4,s4,c4 #adij74 2 & 7#e7 9 subsection 7g77#b77;,d77i71 by ins]t+ 1 includ+ ! di/ribution ( grant am\nts to rural areas 9 proportion to h\s+ ne$s 9 ^? areas aft] div]sity4 #ejc4 ,capital ,magnet ,fund ,section #acci ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #defi7 is am5d$-- 7#a7 9 subsection 7b77#a71 by ins]t+ or section #eja ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad aft] section #accg2 7#b7 9 subsection 7c7-- 7,a7 9 p>agraph 7#a71 by /rik+ 2 & & ins]t+ a semicolon2 7,b7 9 p>agraph 7#b7-- 7i7 by ins]t+ 1 activities design$ to fo/] revitalization 9 areas exp]i5c+ sev]e economic di/ress & prop]ty dis9ve/m5t1 includ+1 b n limit$ to1 demolition1 prop]ty rehabilitation1 & infra/ructure configuration1 aft] economic developm5t activities2 & 7ii7 by ins]t+ & tribal aft] rural2 & 7#c7 9 subsection 7h77#b77;,a71 by ins]t+ or tribal aft] rural4 #ejd4 ,m>ket ,access ,fund 7a7 ,e/abli%m5t ,! ,corporation %all e/abli% a fund1 to be kn[n z ! ,m>ket ,access ,fund1 :i* %all be ma9ta9$ & adm9i/]$ by ! ,(fice ( ,consum] & ,m>ket ,access4 7b7 ,deposits ,! ,m>ket ,access ,fund %all be cr$it$ )-- 7#a7 ! %>e ( ! fee *>g$ & collect$ by ! ,corporation "u section #eja2 & 7#b7 su* o!r am\nts z may be appropriat$ or transf]r$ to ! ,m>ket ,access ,fund4 7c7 ,purpose ,am\nts 9 ! ,m>ket ,access ,fund %all be eligible = use by grantees to address ! home[n]%ip & r5tal h\s+ ne$s ( und]s]v$ or h>d-to-s]ve populations by-- 7#a7 provid+ grants & loans = rese>*1 developm5t1 & pilot te/+ ( innovations 9 consum] education1 product design1 und]writ+1 & s]vic+2 7#b7 (f]+ additional cr$it support = c]ta9 eligible mortgage loans or pools ( eligible mortgage loans1 su* z by cov]+ a portion ( any capital requir$ to obta9 insurance f ! ,corporation "u ?is ,act1 provid$ t am\nts = su* additional cr$it support d n replace borr[] funds requir$ ( an eligible mortgage loan2 7#c7 provid+ grants & loans1 includ+ ?r\gh ! use ( pilot programs ( suffici5t scale1 to support ! rese>* & developm5t ( su/a9able home[n]%ip & af=dable r5tal programs1 :i* programs %all include manufactur$ homes pur*as$ ?r\gh real e/ate & p]sonal prop]ty loans & manufactur$ homes us$ z r5tal h\s+1 provid$ t su* grant or loan am\nts are us$ only = ! b5efit ( families ^: income does n exce$ #abj p]c5t ( ! m$ian income = ! area z det]m9$ by ! ,corporation1 ) adju/m5ts = family size2 7#d7 provid+ limit$ cr$it enhancem5t1 & o!r =ms ( cr$it support1 = product & s]vices t-- 7,a7 w increase ! rate ( su/a9able home[n]%ip & af=dable r5tal h\s+1 includ+ manufactur$ homes pur*as$ ?r\gh real e/ate & p]sonal prop]ty loans & manufactur$ homes us$ z r5tal h\s+1 by individuals or families ^: income does n exce$ #abj p]c5t ( ! area m$ian income z det]m9$ by ! ,corporation1 ) adju/m5ts = family size2 & 7,b7 might n o!rwise be (f]$ or support$ by a pilot program ( suffici5t scale to det]m9e ! viability ( su* products & s]vices 9 ! private m>ket2 7#e7 provid+ h\s+ c\nsel+ by a ,,hud-approv$ h\s+ c\nsel+ ag5cy2 7#f7 provid+ inc5tives to a*ieve broad] access to mortgage cr$it2 & 7#g7 provid+ grants & loans = activities design$ to fo/] revitalization 9 areas exp]i5c+ sev]e economic di/ress & prop]ty dis9ve/m5t1 includ+1 b n limit$ to1 demolition1 rehabilitation1 infra/ructure configuration1 & reuse ( vacant l&4 7d7 ,annual report 7#a7 ,9 g5]al ,! ,*airp]son %all1 on an annual basis1 report to ,congress on ! p]=mance & outcome ( grants1 loans1 or cr$it support programs fund$ by ! ,m>ket ,access ,fund 9 accordance ) subsection 7c71 includ+-- 7,a7 an evaluation ( h[ ea* grant1 loan1 or cr$it support program-- 7i7 succe$$ 9 meet+ or fail$ to meet ! ne$ ( c]ta9 populations1 especially extremely l[-1 v l[-1 l[-1 & mod]ate-income & und]s]v$ or h>d-to-s]ve populations2 & 7ii7 succe$$ 9 maximiz+ or fail$ to maximize ! lev]age ( public inve/m5t made = ea* su* grant1 loan1 or cr$it support program2 & 7,b7 = ea* aw>d ( funds = a grant1 loan1 or cr$it support program by ! ,m>ket ,access ,fund-- 7i7 ! recipi5t ( ! funds2 7ii7 ! purpose = :i* ! recipi5t receiv$ ! funds2 7iii7 ! am\nt ( funds provid$ to ! recipi5t2 & 7iv7 ! am\nt ( funds1 exclud+ adm9i/rative co/s1 t are us$ to directly meet ! purpose id5tifi$ "u clause 7ii71 includ+ meet+ ! h\s+ ne$s ( extremely l[-1 v l[-1 l[-1 & mod]ate-income & und]s]v$ or h>d-to-s]ve populations4 7#b7 ,inclusion 9 annual report ,! ,*airp]son %all include ! report requir$ "u p>agraph 7#a7 9 ! annual report requir$ "u section #bjf4 #eje4 ,additional taxpay] protections 7a7 ,n to be us$ = political activities ,consi/5t ) ! exi/+ requirem5ts "u sections #acch7;c77#aj77;,d7 & #acci7;h77#e7 ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #defh7;c77#aj77;,d7 & #defi7;h77#e771 ! ,secret>y ( ,h\s+ & ,urban ,developm5t1 ! ,secret>y ( ! ,treasury1 & ! ,(fice ( ,community & ,m>ket ,access1 respectively1 %all ensure t grant am\nts allocat$ by cov]$ grantees to eligible recipi5ts or allocat$ to individuals by su* eligible recipi5ts are n us$ =-- 7#a7 political activities2 7#b7 political advocacy2 7#c7 lobby+1 :e!r directly or ?r\gh o!r p>ties2 7#d7 influ5c+ ! selection1 nom9ation1 election1 or appo9tm5t ( #a or m c&idates to any ,f$]al1 ,/ate or local (fice2 7#e7 p]sonal c\nsel+ s]vices2 7#f7 travel exp5ses2 & 7#g7 prep>+ or provid+ advice on tax returns4 7b7 ,p5alties 7#a7 ,civil money p5alty ,if an eligible recipi5t or any o!r individual 9 receipt ( grant am\nts describ$ by ?is section violates any provision ( subsection 7a71 ! ,secret>y ( ,h\s+ & ,urban ,developm5t1 ! ,secret>y ( ! ,treasury1 or ! ,corporation1 z ! case may be1 may impose a civil p5alty on su* recipi5t or individual1 z ! case may be1 ( n m ?an #a1jjj1jjj = ea* violation4 7#b7 ,crim9al p5alties ,:oev]1 be+ subject to ! provisions ( subsection 7a71 kn[+ly p>ticipates1 directly or indirectly1 9 any mann] 9 conduct t results 9 a violation ( su* provisions %all1 not)/&+ section #cega ( title #ah1 ,unit$ ,/ates ,code1 be f9$ n m ?an #a1jjj1jjj = ea* violation1 imprison$ = n m ?an #e ye>s1 or bo?4 7#c7 ,rule ( con/ruction ,! p5alties impos$ "u p>agraphs 7#a7 or 7#b7 %all be 9 addition to any o!r available civil rem$y or any o!r available crim9al p5alty & may be impos$ :e!r or n ! ,secret>y ( ,h\s+ & ,urban ,developm5t1 ! ,secret>y ( ! ,treasury1 or ! ,corporation1 z ! case may be1 imposes o!r adm9i/rative sanctions4 7c7 ,def9itions ,z us$ 9 ?is section-- 7#a7 ! t]m cov]$ grantee means-- 7,a7 = purposes ( ! ,h\s+ ,tru/ ,fund1 a ,/ate or ,/ate designat$ entity2 7,b7 = purposes ( ! ,capital ,magnet ,fund1 an eligible grantee z describ$ "u section #acci7;e7 ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #defi7;e772 & 7,c7 = purpose ( ! ,m>ket ,access ,fund1 an eligible grantee z describ$ "u section #ejd7;c72 7#b7 ! t]m eligible recipi5t means-- 7,a7 = purposes ( ! ,h\s+ ,tru/ ,fund1 a recipi5t z describ$ "u section #acch7;c77#i7 ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #defh7;c77#i772 7,b7 = purposes ( ! ,capital ,magnet ,fund1 a recipi5t ( assi/ance f ! ,capital ,magnet ,fund2 & 7,c7 = purposes ( ! ,m>ket ,access ,fund1 a recipi5t ( assi/ance f ! ,m>ket ,access ,fund2 7#c7 ! t]m ,capital ,magnet ,fund means ! ,capital ,magnet ,fund e/abli%$ "u section #acci ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #defi72 & 7#d7 ! t]m ,h\s+ ,tru/ ,fund means ! ,h\s+ ,tru/ ,fund e/abli%$ "u section #acch ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #defh74 7d7 ,rule ( con/ruction ,no?+ 9 subsection 7a7 %all be con/ru$ to prev5t funds f be+ us$ =-- 7#a7 ,,hud-approv$ h\s+ c\nsel+ s]vices2 7#b7 f9ancial lit]acy education2 or 7#c7 application fees1 p]mits1 or o!r con/ruction-relat$ exp5ses1 if funds are au?oriz$ = su* con/ruction4 #ejf4 ,promot+ af=dable h\s+ inve/m5t 7a7 ,h\s+ & ,community ,developm5t ,act ( #aiib ,p>agraph 7#f7 ( section #edb7;c7 ( ! ,h\s+ & ,community ,developm5t ,act ( #aiib 7#ab ,u4,s4,c4 #agaez-#bb7;c77 is am5d$ to read z foll[s3 7#f7 ,g9nie ,mae securitization ,! ,gov]nm5t ,national ,mortgage ,association may1 at ! discretion ( ! ,secret>y1 securitize any multifamily loan insur$ "u ?is subsection1 provid$ t-- 7,a7 ! ,f$]al ,h\s+ ,adm9i/ration provides mortgage insurance bas$ on ! unpaid pr9cipal balance ( ! loan1 z %all be describ$ by regulation2 7,b7 ! ,f$]al ,h\s+ ,adm9i/ration %all n require an assignm5t fee = mortgage insurance claims relat$ to ! securitiz$ mortgages2 7,c7 ! risk-%>+ agreem5t mu/ provide = reimbursem5t to ! ,secret>y by ! risk %>e p>tn] or p>tn]s = ei!r all or a portion ( ! losses incurr$ on ! loans insur$1 reg>dless ( :e!r ! s]vic+ rights or o!r relat$ mortgage int]e/ h be5 transf]r$ to a diff]5t entity2 & 7,d7 any entity t subsequ5tly acquires ! s]vic+ rights or o!r relat$ mortgage int]e/ ( ! risk %>e p>tn] or p>tn]s %all n assume any obligation "u ! risk-%>+ agreem5t4 4 7b7 ,national ,h\s+ ,act ,clause 7ii7 ( ! fir/ s5t5ce ( section #cjf7;g77#a7 ( ! ,national ,h\s+ ,act 7#ab ,u4,s4,c4 #agba7;g77#a77 is am5d$-- 7#a7 by /rik+ ! semicolon & ins]t+ a comma2 & 7#b7 by ins]t+ be=e ! p]iod at ! end ! foll[+3 1 or :i* are insur$ "u subsection 7c7 ( section #edb ( ! ,h\s+ & ,community ,developm5t ,act ( #aiib 7#ab ,u4,s4,c4#agaez-#bb71 subject to ! t]ms ( subsection 7c77#f7 ( su* section4 7c7 ,effective date2 sunset 7#a7 ,effective date ,! am5dm5ts made by ?is section %all take effect beg9n+ on ,octob] #a1 #bjad4 7#b7 ,sunset ,! am5dm5ts made by ?is section %all expire on ,septemb] #cj1 #bjba4 ,effective ,octob] #a1 #bjba1 ! provisions ( p>agraph 7#f7 ( section #edb7;c7 ( ! ,h\s+ & ,community ,developm5t ,act ( #aiib 7#ab ,u4,s4,c4 #agaez-#bb7;c77 & clause 7ii7 ( ! fir/ s5t5ce ( section #cjf7;g77#a7 ( ! ,national ,h\s+ ,act 7#ab ,u4,s4,c4 #agba7;g77#a771 z 9 effect on ! day be=e ! date ( ! enactm5t ( ?is ,act1 are h]eby reviv$4 ,,vi ,transition & t]m9ation ( ,fannie ,mae & ,fr$die ,mac #fja4 ,m9imum h\s+ f9ance sy/em crit]ia to be met prior to sy/em c]tification date 7a7 ,sy/em c]tification date ,! sy/em c]tification date %all be ! date t ! ,bo>d ( ,directors1 9 its sole discretion1 c]tifies by a majority vote t-- 7#a7 ! ,corporation is able to und]take1 9 a mann] f\nd satisfactory to ! ,bo>d1 ! duties specifi$ by ?is ,act1 & any am5dm5ts made by ?is ,act2 & 7#b7 all ! m9imum crit]ia set =? "u subsection 7b7 ) respect to ! new h\s+ f9ance sy/em h be5 fully satisfi$4 7b7 ,m9imum h\s+ f9ance sy/em crit]ia ,! ,bo>d ( ,directors %all consid] ! foll[+ m9imum crit]ia 9 det]m9+ :e!r to c]tify t ! new h\s+ f9ance sy/em is ready3 7#a7 ,taxpay] protection ,! ,dep>tm5t ( ! ,treasury advis$ ! ,bo>d ( ,directors t laws & contracts are 9 place to provide = comp5sation to ! ,dep>tm5t = its support ( ! ent]prises & ! h\s+ f9ance sy/em4 7#b7 ,securitization plat=m & /&>diz$ securities ,! ,securitization ,plat=m is develop$ & able to issue /&>diz$ securities = ! s+le-family cov]$ securities m>ket4 7#c7 ,small l5d] mutuals ,at lea/ #a small l5d] mutual is fully op]ational & able to und]take ! duties specifi$ 9 section #cae4 7#d7 ,approv$ entities ,a suffici5t numb] ( approv$ entities h be5 approv$ pursuant ! provisions ( subtitle ,b ( title ,,iii-- 7,a7 to assume a reasonable level ( fir/ loss position ?r\gh approv$ gu>antors or ?r\gh approv$ cr$it risk-%>+ me*anisms e/abli%$ "u section #cjb2 & 7,b7 to g5]ate a sub/antial volume ( second>y mortgage m>ket activity ) respect to eligible s+le-family mortgage loans collat]aliz+ s+le-family cov]$ securities insur$ 9 accordance ) ?is ,act4 7#e7 ,multifamily m>ket 7,a7 ,well-function+ multifamily m>ket ,! ,corporation has approv$ multiple multifamily gu>antors pursuant to title ,,vii :o are provid+ suffici5t multifamily f9anc+ 9 ! prim>y1 second>y1 & t]ti>y geographical m>kets1 includ+ 9 rural m>kets & ?r\gh a div]sity ( exp]i5c$ multifamily l5d]s4 7,b7 ,requirem5ts ( ! ,act ,approv$ multifamily gu>antors are meet+ ! requirem5ts ( ?is ,act4 7,c7 ,competitive m>ket ,!re is a competitive multifamily m>ket = approv$ multifamily gu>antors engag+ 9 multifamily cov]$ securities4 7,d7 ,rule ( con/ruction ,noncompliance ) ! requirem5ts ( ?is ,act by any individual approv$ multifamily gu>antor %all n con/itute gr\nds to prev5t sy/em c]tification4 7c7 ,rule ( con/ruction ,! ,corporation %all take all /eps necess>y to meet ea* m9imum h\s+ f9ance sy/em crit]ia set =? "u subsection 7b7 z exp$iti\sly & effici5tly z practicable4 ,! ,corporation may comm5ce provid+ gu>antees on s+le-family or multifamily cov]$ securities prior to meet+ all ! m9imum h\s+ f9ance sy/em crit]ia set =? "u subsection 7b74 7d7 ,notification to ,congress 7#a7 ,9 g5]al ,! ,*airp]son %all promptly submit to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives a writt5 notification t ! ,bo>d ( ,directors has c]tifi$ t ! crit]ia set =? "u subsection 7b7 h be5 met4 7#b7 ,tim+ ,! ,corporation %all provide ! notification requir$ "u p>agraph 7#a7 n lat] ?an #e ye>s aft] ! date ( enactm5t ( ?is ,act4 7#c7 ,deadl9e ext5sions 7,a7 ,fir/ ext5sion ,if ! ,bo>d ( ,directors is unable to make ! c]tification requir$ by ?is section prior to ! deadl9e requir$ 9 p>agraph 7#b71 ! ,bo>d ( ,directors may1 ) an affirmative vote ( ! majority ( ! ,bo>d1 ext5d ! deadl9e an additional #b ye>s4 7,b7 ,second ext5sion ,if1 aft] ! expiration ( ! fir/ ext5sion ( #b ye>s1 ! ,bo>d ( ,directors is unable to make ! c]tification requir$ by ?is section1 ! ,bo>d ( ,directors may1 ) an affirmative vote ( at lea/ #b_/c ( ! ,bo>d1 ext5d ! deadl9e an additional #b ye>s4 7,c7 ,additional ext5sions ,if1 aft] ! expiration ( ! second ext5sion ( #b ye>s1 ! ,bo>d ( ,directors is unable to make ! c]tification requir$ by ?is section1 ! ,bo>d ( ,directors may1 ) a unanim\s affirmative vote ( ! ,bo>d & ^u ! writt5 agreem5t ( ! ,*airman ( ! ,bo>d ( ,gov]nors ( ! ,f$]al ,res]ve ,sy/em & ! ,secret>y ( ! ,treasury1 & 9 consultation ) ! ,secret>y ( ,h\s+ & ,urban ,developm5t1 ext5d ! deadl9e an additional ye>1 & annually !reaft] utiliz+ ! same process describ$ 9 ?is subp>agraph until su* "t z ! ,bo>d ( ,directors makes ! c]tification requir$ by ?is section4 #fjb4 ,transition ( ! h\s+ f9ance sy/em 7a7 ,transition plan ,! ,transition ,committee e/abli%$ "u section #djd %all develop a transition plan n lat] ?an #ab mon?s aft] ! date ( enactm5t ( ?is ,act to facilitate an ord]ly transition to ! new h\s+ f9ance sy/em au?oriz$ by ?is ,act4 7b7 ,cont5ts ( plan ,! transition plan requir$ "u subsection 7a7 %all include-- 7#a7 e/imat$ timeframes by :i* to a*ieve ! m9imum h\s+ f9ance sy/em crit]ia set =? "u section #fja7;b7 )9 #e ye>s aft] ! date ( enactm5t ( ?is ,act2 7#b7 detail$ actions t ! ,corporation w take to a*ieve su* m9imum crit]ia2 7#c7 e/imat$ timeframes & detail$ actions t ! ,corporation1 includ+ ! ,f$]al ,h\s+ ,f9ance ,ag5cy1 w take to provide an ord]ly w9d d[n ( ! ,f$]al ,national ,mortgage ,association & ! ,f$]al ,home ,loan ,mortgage ,corporation2 7#d7 a detail$ inv5tory ( all intellectual prop]ty own$1 held1 or lic5s$ by ! ent]prises1 includ+ pat5ts1 tradem>ks1 s(tw>e1 cr$it evaluation sy/ems1 & data & in=mation on mortgage p]=mance & plans = utiliz+ any su* intellectual prop]ty1 te*nology1 infra/ructure1 or processes ( ! ent]prises 9 effect+ ! transition plan2 7#e7 a description ( & updates on ! ongo+ op]ations ( ! ,corporation1 includ+ ! op]ations ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy2 7#f7 detail$ plans & timeframes = e/abli%+1 z soon z practicable1 a multifamily cov]$ securities m>ket2 7#g7 detail$ plans & timeframes = e/abli%+1 z soon z practicable1 a /&>diz$ security issu$ ?r\gh ! ,securitization ,plat=m = ! s+le-family cov]$ securities m>ket2 & 7#h7 detail$ plans = increas+ ! level ( cr$it risk-%>+ 9 ! second>y mortgage m>ket4 7c7 ,consid]ations 7#a7 ,9 g5]al ,= purposes ( facilitat+ an ord]ly transition to ! new h\s+ f9ance sy/em au?oriz$ by ?is ,act1 ! ,corporation %all consid] 9 det]m9+ h[ to be/ fulfill ! requirem5ts ( ?is title ! e/imat$ impact ( v>i\s transition options ) respect to ! foll[+3 7,a7 ,h\s+ prices & af=dability4 7,b7 ,! effectiv5ess ( consum] protections 9 ! h\s+ m>ket4 7,c7 ,volume & *>act]i/ics ( mortgage loan orig9ations4 7,d7 ,! condition ( ! r5tal h\s+ m>ket4 7,e7 ,small l5d] p>ticipation 9 ! second>y mortgage m>ket4 7,f7 ,access to cr$it 9 rural & und]s]v$ communities4 7,g7 ,competition among m>ket p>ticipants4 7,h7 ,! condition ( ! multifamily h\s+ m>ket4 7,i7 ,innovation among second>y mortgage m>ket p>ticipants4 7,j7 ,taxpay] repaym5t4 7,k7 ,private capital 9 ! second>y mortgage m>ket4 7#b7 ,inclusion 9 annual report ,a description & analysis ( ea* consid]ation requir$ "u p>agraph 7#a7 %all be includ$ 9 ! report requir$ to be submitt$ to ,congress "u subsection 7d74 7d7 ,report to ,congress 7#a7 ,9 g5]al ,n lat] ?an #ab mon?s aft] ! date ( enactm5t ( ?is ,act & 9 accordance ) section #djd7;c77#b71 ! ,transition ,committee %all submit ! transition plan requir$ "u subsection 7a7 to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives4 7#b7 ,updates ,n lat] ?an #a ye> aft] ! date on :i* ! transition plan is submitt$ "u p>agraph 7#a7 & annually !reaft] until ! sy/em c]tification date1 ! ,*airp]son %all-- 7,a7 update ! transition plan1 subject to ! requirem5ts ( subsection 7b72 & 7,b7 submit su* updat$ plan to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives4 #fjc4 ,resolution au?ority2 te*nical am5dm5ts 7a7 ,effective date ,! am5dm5ts made by ?is section %all take effect on ! ag5cy transf] date4 7b7 ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib ,section #acfg ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #dfag7 is am5d$-- 7#a7 by /rik+ /ockhold] & /ockhold]s & ins]t+ %>ehold]1 memb]1 & %>ehold]s1 memb]s11 respectively1 ea* place ^? t]ms appe>2 7#b7 by /rik+ w9d up & w9d+ up & ins]t+ w9d d[n & w9d+ d[n1 respectively1 ea* place ^? t]ms appe>2 7#c7 9 subsection 7a7-- 7,a7 9 p>agraph 7#c77;,g71 by /rik+ 1 & !re is no reasonable prospect = ! regulat$ entity to become adequately capitaliz$ 7z def9$ 9 section #acfd7;a77#a772 7,b7 by /rik+ p>agraph 7#c77;,j7 & ins]t+ ! foll[+3 7,j7 ,insolv5cy ,! regulat$ entity is insolv5t or ne>-insolv5t4 2 7,c7 by /rik+ p>agraph 7#c77,k72 7,d7 by r$esignat+ p>agraph 7#c77,l7 z p>agraph 7#c77,k72 & 7,e7 9 p>agraph 7#d77;,b7-- 7i7 9 ! head+1 by /rik+ critically und]capitaliz$ regulat$ entity & ins]t+ insolv5t or ne>-insolv5t regulat$ entities2 7ii7 9 ! matt] prec$+ clause 7i71 by /rik+ critically und]capitaliz$ & ins]t+ insolv5t or ne>-insolv5t2 & 7iii7 9 clause 7i71 by /rik+ critically und]capitaliz$ & ins]t+ insolv5t or ne>-insolv5t2 7#d7 9 subsection 7b7-- 7,a7 9 p>agraph 7#b77;,b7-- 7i7 9 clause 7iii71 by add+ & aft] cons]vator or receiv]22 7ii7 by /rik+ clause 7iv72 & 7iii7 by r$esignat+ clause 7v7 z clause 7iv72 7,b7 9 p>agraph 7#b77;,h71 by /rik+ ( proce$s realiz$ f ! p]=mance ( contracts or sale ( ! assets ( a regulat$ entity & ins]t+ t funds are available2 7,c7 9 p>agraph 7#b77;,i77i77,i71 by /rik+ section #acdh & ins]t+ "p ,,ii ( ?is subtitle2 7,d7 9 p>agraph 7#b77;,i77iii71 by /rik+ section #acag or #acgi;,b & ins]t+ subtitle ,b ( ?is ,act2 7,e7 by /rik+ p>agraph 7#c77;,a7 & ins]t+ ! foll[+3 7,a7 ,9 g5]al ,! ,ag5cy-- 7i7 may1 z receiv]1 det]m9e claims 9 accordance ) ! requirem5ts ( ?is subsection & any regulations prescrib$ "u p>agraph 7#d72 & 7ii7 may def9e ! t]m cr$itor & may di/+ui% betwe5 cr$itors1 9 ord] to facilitate ! ord]ly adm9i/ration ( ! regulat$ entity 9 cons]vator%ip or receiv]%ip1 9 accordance ) ! requirem5ts ( ?is section4 2 7,f7 9 p>agraph 7#c77;,b71 by /rik+ clos$2 7,g7 9 p>agraph 7#e77;,d77iii77,,ii71 by ins]t+ legally en=ceable & p]fect$ be=e security int]e/2 7,h7 by /rik+ p>agraph 7#g72 7,i7 by r$esignat+ p>agraphs 7#h7 ?r\gh 7#ai7 z p>agraphs 7#g7 ?r\gh 7#ah71 respectively2 & 7,j7 9 p>agraph 7#aj77;,e71 z s r$esignat$-- 7i7 9 clause 7ii71 by /rik+ 2 & & ins]t+ a semicolon2 7ii7 9 clause 7iii71 by /rik+ ! p]iod & ins]t+ a semicolon2 & 7iii7 by add+ at ! end ! foll[+3 7iv7 prohibits discrim9ation on ! basis ( race1 sex1 or e?nic gr\p 9 ! solicitation or consid]ation ( (f]s2 & 7v7 mitigates ! pot5tial = s]i\s adv]se effects to ! f9ancial sy/em4 2 & 7#e7 by /rik+ subsection 7c7 & ins]t+ ! foll[+3 7c7 ,priority ( exp5ses & unsecur$ claims 7#a7 ,9 g5]al ,unsecur$ claims aga9/ a regulat$ entity1 or ! receiv] !re=1 t are prov5 to ! satisfaction ( ! receiv] %all h priority 9 ! foll[+ ord]3 7,a7 ,claims ( ! receiv] = adm9i/rative exp5ses4 7,b7 ,any am\nts ow$ to ! ,unit$ ,/ates1 unless ! ,unit$ ,/ates agrees or cons5ts o!rwise4 7,c7 ,wages1 sal>ies1 or commissions1 includ+ vacation1 sev]ance1 & sick leave pay e>n$ by an individual 7o!r ?an an individual describ$ 9 subp>agraph 7,f771 b only to ! ext5t ( #ab1dge = ea* individual 7z index$ = inflation1 by regulation ( ! ,ag5cy7 e>n$ n lat] ?an #ahj days be=e ! date ( appo9tm5t ( ! ,ag5cy z receiv]4 7,d7 ,contributions ow$ to employee b5efit plans aris+ f s]vices r5d]$ n lat] ?an #ahj days be=e ! date ( appo9tm5t ( ! ,ag5cy z receiv]1 to ! ext5t ( ! numb] ( employees cov]$ by ea* su* plan1 multipli$ by #ab1dge 7z index$ = inflation1 by regulation ( ! ,ag5cy71 less ! aggregate am\nt paid to su* employees "u subp>agraph 7,c71 plus ! aggregate am\nt paid by ! receiv]%ip on behalf ( su* employees to any o!r employee b5efit plan4 7,e7 ,any claim aris+ solely f a cov]$ gu>antee transaction involv+ ! regulat$ entity4 7,f7 ,any o!r g5]al or s5ior liability ( ! regulat$ entity 7:i* is n a liability describ$ "u subp>agraph 7,g71 7,h71 or 7,i774 7,g7 ,any obligation subord9at$ to g5]al cr$itors 7:i* is n an obligation describ$ "u subp>agraph 7,h7 or 7,i774 7,h7 ,any wages1 sal>ies1 or commissions1 includ+ any vacation1 sev]ance1 & sick leave pay e>n$1 ow$ to s5ior executives & directors ( ! regulat$ entity4 7,i7 ,any obligation to %>ehold]s or memb]s aris+ z a result ( _! /atus z %>ehold]s or memb]s4 7#b7 ,claims ( ! ,unit$ ,/ates ,unsecur$ claims ( ! ,unit$ ,/ates %all1 at a m9imum1 h a high] priority ?an liabilities ( ! regulat$ entity t c\nt z regulatory capital4 7#c7 ,cr$itors simil>ly situat$ ,all cr$itors t are simil>ly situat$ "u p>agraph 7#a7 %all be treat$ 9 a simil> mann]1 except t ! receiv] may take any action 7includ+ mak+ paym5ts7 t does n comply ) ?is subsection1 if-- 7,a7 ! ,ag5cy det]m9es t su* action is necess>y to-- 7i7 maximize ! value ( ! assets ( ! regulat$ entity2 7ii7 maximize ! pres5t value return f ! sale or o!r disposition ( ! assets ( ! regulat$ entity2 7iii7 initiate & cont9ue op]ations ess5tial to implem5tation ( ! receiv]%ip or any limit$-life regulat$ entity2 7iv7 m9imize ! am\nt ( any loss realiz$ ^u ! sale or o!r disposition ( ! assets ( ! regulat$ entity2 or 7v7 pres]ve ! f9ancial /ability ( ! ,unit$ ,/ates2 & 7,b7 all cr$itors t are simil>ly situat$ "u p>agraph 7#a7 receive n less ?an ! am\nt provid$ 9 subsection 7f77#b74 7#d7 ,def9ition ,z us$ 9 ?is subsection1 ! t]m adm9i/rative exp5ses ( ! receiv] includes-- 7,a7 ! actual1 necess>y co/s & exp5ses incurr$ by ! receiv] 9 pres]v+ ! assets ( a fail$ regulat$ entity or liquidat+ or o!rwise resolv+ ! affairs ( a fail$ regulat$ entity2 & 7,b7 any obligations t ! receiv] det]m9es are necess>y & appropriate to facilitate ! smoo? & ord]ly liquidation or o!r resolution ( ! regulat$ entity4 2 7#f7 by r$esignat+ subsections 7d7 ?r\gh 7j7 z subsections 7e7 & 7k71 respectively2 7#g7 by ins]t+ aft] section 7c7 ! foll[+3 7d7 ,subrogation 7#a7 ,9 g5]al ,not)/&+ any o!r provision ( ,f$]al law1 ! law ( any ,/ate1 or ! con/itution ( any ,/ate1 ! ,ag5cy1 ^u ! paym5t to any p]son z provid$ 9 subsection 7c7 9 connection ) any cov]$ gu>antee transaction 7z t t]m is def9$ 9 section #b ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act ( #bjad71 %all be subrogat$ to all rights ( ! p]son aga9/ su* regulat$ entity to ! ext5t ( su* paym5t or assumption4 7#b7 ,divid5ds on subrogat$ am\nts ,! subrogation ( ! ,ag5cy "u p>agraph 7#a7 ) respect to any regulat$ entity %all include ! "r on ! "p ( ! ,ag5cy to receive ! same divid5ds1 fees1 or o!r am\nts f ! proce$s ( ! assets ( su* regulat$ entity & recov]ies on acc\nt ( /ockhold]s' liability z w\ld h be5 payable to ! p]son on a claim relat$ to ! cov]$ gu>antee transaction4 7#c7 ,waiv] ( c]ta9 claims ,! ,ag5cy %all waive1 9 favor only ( any p]son aga9/ :om /ockhold]s' individual liability may be ass]t$1 any claim on acc\nt ( su* liability 9 excess ( ! liability1 if any1 to ! regulat$ entity or its cr$itors1 = ! am\nt unpaid ^u su* /ock 9 su* regulat$ entity1 b any su* waiv] %all be effect$ 9 su* mann] & on su* t]ms & conditions z w n increase recov]ies or divid5ds on acc\nt ( claims to :i* ! ,ag5cy is n subrogat$4 2 7#h7 9 subsection 7e71 z s r$esignat$-- 7,a7 9 p>agraph 7#h71 by add+ at ! end ! foll[+3 7,h7 ,recordkeep+ ,! ,ag5cy may prescribe regulations requir+ t regulat$ entities ma9ta9 su* records ) respect to qualifi$ f9ancial contracts 7includ+ m>ket valuations7 t ! ,ag5cy det]m9es to be necess>y or appropriate 9 ord] to assi/ ! ,ag5cy z receiv] = a regulat$ entity 9 be+ able to ex]cise its rights & fulfill its obligations "u ?is p>agraph or p>agraph 7#i7 or 7#aj74 2 7,b7 by /rik+ p>agraph 7#i7 & ins]t+ ! foll[+3 7#i7 ,transf] ( qualifi$ f9ancial contracts 7,a7 ,9 g5]al ,9 mak+ any transf] ( assets or liabilities ( a regulat$ entity 9 default :i* includes any qualifi$ f9ancial contract1 ! cons]vator or receiv] = su* regulat$ entity %all ei!r-- 7i7 transf] to #a p]son1 o!r ?an a p]son = :i* a cons]vator1 receiv]1 tru/ee 9 bankruptcy1 or o!r legal cu/odian has be5 appo9t$ or :i* is o!rwise ! subject ( a bankruptcy or insolv5cy proce$+-- 7,i7 all qualifi$ f9ancial contracts betwe5 any p]son 7or any affiliate ( su* p]son7 & ! regulat$ entity 9 default2 7,,ii7 all claims ( su* p]son 7or any affiliate ( su* p]son7 aga9/ su* regulat$ entity "u any su* contract 7o!r ?an any claim :i*1 "u ! t]ms ( any su* contract1 is subord9at$ to ! claims ( g5]al unsecur$ cr$itors ( su* regulat$ entity72 7,,iii7 all claims ( su* regulat$ entity aga9/ su* p]son 7or any affiliate ( su* p]son7 "u any su* contract2 & 7,,iv7 all prop]ty secur+1 or any o!r cr$it enhancem5t = any contract describ$ 9 subclause 7,i71 or any claim describ$ 9 subclause 7,,ii7 or 7,,iii7 "u any su* contract2 or 7ii7 transf] none ( ! f9ancial contracts1 claims1 or prop]ty ref]r$ to "u clause 7i7 7) respect to su* p]son & any affiliate ( su* p]son74 7,b7 ,transf] to =eign bank1 f9ancial in/itution1 or bran* or ag5cy !re( ,9 transf]r+ any qualifi$ f9ancial contracts & relat$ claims & prop]ty "u subp>agraph 7,a77i71 ! ,ag5cy z receiv] = a regulat$ entity %all n make su* transf] to a =eign p]son unless1 "u ! law applicable to su* =eign p]son1 to ! qualifi$ f9ancial contracts1 & to any nett+ contract1 any security agreem5t or arrangem5t or o!r cr$it enhancem5t relat$ to #a or m qualifi$ f9ancial contracts1 ! contractual rights ( ! p>ties to su* qualifi$ f9ancial contracts1 nett+ contracts1 security agreem5ts or arrangem5ts1 or o!r cr$it enhancem5ts1 are en=ceable sub/antially to ! same ext5t z p]mitt$ "u ?is section4 2 & 7,c7 9 p>agraph 7#ac77;,c77ii7-- 7i7 by r$esignat+ subclause 7,,iii7 z subclause 7,,iv72 7ii7 by /rik+ & at ! end ( subclause 7,,ii72 & 7iii7 by ins]t+ aft] subclause 7,,ii7 ! foll[+3 7,,iii7 apply to ! rights ( p>ties to nett+ contracts pursuant to subtitle ,a ( title ,,iv ( ! ,f$]al ,deposit ,insurance ,corporation ,improvem5t ,act ( #aiia 7#ab ,u4,s4,c4 #ddja et seq472 or 2 7#i7 9 subsection 7g71 z s r$esignat$-- 7,a7 by /rik+ section or at ! reque/ ( ! ,director & ins]t+ title2 & 7,b7 by /rik+ a cons]vator or a receiv] & ins]t+ ! cons]vator or receiv] h]eund]1 & any rem$y aga9/ ! ,ag5cy z cons]vator or receiv] %all be limit$ to money damages det]m9$ 9 accordance ) ?is title2 7#aj7 9 subsection 7j71 z s r$esignat$-- 7,a7 9 p>agraph 7#a77;,a77ii71 by /rik+ %all & ins]t+ may2 7,b7 9 p>agraph 7#b7-- 7i7 9 ! head+1 by /rik+ ,*>t] & e/abli%m5t & ins]t+ ,e/abli%m5t ( ,limit$-,life ,regulat$ ,entities2 & 7ii7 by /rik+ subp>agraph 7,a7 & ins]t+ ! foll[+3 7,a7 ,transf] ( regi/]$ /atus ,if ! ,ag5cy is appo9t$ z receiv] = an ent]prise1 ! limit$-life regulat$ entity e/abli%$ "u ?is subsection ) respect to su* ent]prise %all1 by op]ation ( law & imm$iately ^u its organization1 succe$ to ! regi/]$ /atus ( ! ent]prise & !reaft] op]ate 9 accordance )1 & subject to1 ?is ,act & any o!r provision ( law to :i* an ent]prise is subject1 except z o!rwise provid$ 9 ?is subsection4 2 7,c7 9 p>agraph 7#c7-- 7i7 9 ! head+1 by ins]t+ & op]at+ funds aft] ,capital /ock2 7ii7 by r$esignat+ subp>agraphs 7,a7 & 7,b7 z subp>agraphs 7,b7 & 7,c71 respectively2 7iii7 by ins]t+ prior to subp>agraph 7,b71 z s r$esignat$1 ! foll[+3 7,a7 ,capital n requir$ ,not)/&+ any o!r provision ( ,f$]al or ,/ate law1 a limit$-life regulat$ entity may1 if p]mitt$ by ! ,ag5cy1 op]ate )\t any capital or surplus z ! ,ag5cy may 9 its discretion det]m9e to be appropriate4 2 7iv7 9 subp>agraph 7,b71 z s r$esignat$1 by /rik+ ,no ag5cy requirem5t & ins]t+ ,no contribution by ! ,ag5cy requir$2 & 7v7 by add+ at ! end ! foll[+3 7,d7 ,op]at+ funds ,^u ! organization ( a limit$-life regulat$ entity1 & !reaft]1 z ! ,ag5cy may1 9 its discretion1 det]m9e to be necess>y or advisable1 ! ,ag5cy may make available to ! limit$-life regulat$ entity1 ^u su* t]ms & conditions & 9 su* =m & am\nts z ! ,ag5cy may 9 its discretion det]m9e1 funds = ! op]ation ( ! limit$-life regulat$ entity 9 lieu ( capital4 2 7,d7 9 p>agraph 7#f7-- 7i7 9 ! head+1 by /rik+ ,w9d+ up & ins]t+ ,w9d+ d[n2 7ii7 by /rik+ subp>agraph 7,a7 & ins]t+ ! foll[+3 7,a7 ,9 g5]al ,subject to subp>agraph 7,b71 ! ,ag5cy %all w9d d[n ! affairs ( a limit$-life regulat$ entity e/abli%$ "u ?is subsection-- 7i7 ) respect to a ,f$]al ,home ,loan ,bank1 n lat] ?an #b ye>s aft] ! date ( its organization2 & 7ii7 ) respect to an ent]prise1 )9 su* p]iod ( "t z ! ,ag5cy det]m9es to be necess>y & appropriate4 2 & 7iii7 9 subp>agraph 7,b71 by ins]t+ e/abli%$ "u ?is subsection ) respect to a ,f$]al ,home ,loan ,bank aft] limit$-life regulat$ entity2 7,e7 9 p>agraph 7#g77;,a77iv7-- 7i7 9 ! matt] prec$+ subclause 7,i71 by ins]t+ ! ,ag5cy det]m9es t su* actions are necess>y to aft] t d n comply ) ?is clause1 if2 & 7ii7 by /rik+ subclauses 7,i7 & 7,,ii7 & ins]t+ ! foll[+3 7,i7 maximize ! value ( ! assets ( ! regulat$ entity2 7,,ii7 maximize ! pres5t value return f ! sale or o!r disposition ( ! assets ( ! regulat$ entity2 7,,iii7 initiate & cont9ue op]ations ess5tial to ! implem5tation ( ! limit$-life regulat$ entity2 7,,iv7 m9imize ! am\nt ( any loss realiz$ ^u ! sale or o!r disposition ( ! assets ( ! regulat$ entity2 7,v7 pres]ve ! f9ancial /ability ( ! ,unit$ ,/ates2 & 7,,vi7 ensure t all cr$itors t are simil>ly situat$ "u subsection 7c77#a7 receive n less ?an ! am\nt provid$ 9 subsection 7f77#b74 2 & 7,f7 9 p>agraph 7#aa77;,c7-- 7i7 9 clause 7i71 9 ! matt] prec$+ subclause 7,i71 by /rik+ 7o!r ?an mortgages t collat]alize ! mortgage-back$ securities issu$ or gu>ante$ by an ent]prise72 & 7ii7 by ins]t+ at ! end ! foll[+3 7ii7 ,he>+ ,! he>+ requir$ pursuant to ?is subp>agraph %all be be=e a c\rt ( ! ,unit$ ,/ates1 :i* %all h jurisdiction to conduct su* he>+ & to au?orize ! limit$-life regulat$ entity to obta9 secur$ cr$it "u clause 7i74 2 & 7#aa7 by /rik+ subsection 7k77relat+ to *>t] revocation71 z s designat$ by ,public ,law #aaj-bhi4 7c7 ,rule ( con/ruction ,no?+ 9 ?is ,act1 or any am5dm5ts made by ?is ,act1 except z may be explicitly provid$ = 9 ?is ,act1 or any am5dm5t made by ?is ,act1 %all be deem$ to alt] ! p[]s1 au?orities1 rights1 or duties t are ve/$ 9 ! ,f$]al ,h\s+ ,f9ance ,ag5cy or ! ,director !re( ) respect to sup]vision & regulation ( ! ent]prises1 until su* "t z ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ! position ( ! ,director are transf]r$ 9 accordance ) title ,,iv ( ?is ,act4 #fjd4 ,w9d d[n 7a7 ,au?ority ( ,,fhfa ,director 7#a7 ,9 g5]al ,beg9n+ on ! date ( enactm5t ( ?is ,act & end+ on ! sy/em c]tification date1 ! ,,fhfa ,director1 9 consultation ) ! ,corporation1 %all take su* action1 & may prescribe su* regulations & proc$ures1 z may be necess>y to w9d d[n ! op]ations ( ! ent]prises 9 an ord]ly mann] t complies ) ! requirem5ts ( ?is ,act & any am5dm5ts made by ?is ,act4 7#b7 ,limitation ,not)/&+ any au?ority grant$ to ! ,,fhfa ,director "u p>agraph 7#a7-- 7,a7 ! sale1 ex*ange1 lic5se1 or o!r disposition ( any asset = value subject to ! w9d d[n requir$ "u ?is section %all be prohibit$1 if ! ,corporation-- 7i7 9 its discretion det]m9es t su* sale1 ex*ange1 lic5se1 or disposition w\ld mat]ially int]f]e ) ! ability ( ! ,corporation to c>ry out ! requirem5ts ( ?is ,act2 & 7ii7 notifies1 9 writ+1 ! ,,fhfa ,director )9 #ad days ( su* det]m9ation2 & 7,b7 ! ,corporation may direct ! cons]vator ( ! ent]prises to sell1 ex*ange1 lic5se1 or o!rwise dispose ( any asset = value subject to ! w9d d[n requir$ "u ?is section1 if ! ,bo>d ( ,directors c]tifies by a majority vote t-- 7i7 n complet+ su* sale1 transf]1 ex*ange1 lic5se1 or o!r disposition = value w\ld be inconsi/5t ) ! transition plan approv$ pursuant to section #fjb2 & 7ii7 su* sale1 transf]1 ex*ange1 lic5se1 or disposition = value w\ld n violate ! duties ( ! cons]vator4 7b7 ,au?ority ( ,corporation ,beg9n+ on ! sy/em c]tification date1 ! ,corporation %all take su* action1 & may prescribe su* regulations & proc$ures1 z may be necess>y to w9d d[n ! op]ations ( ! ent]prises 9 an ord]ly mann] t complies ) ! requirem5ts ( ?is ,act & any am5dm5ts made by ?is ,act4 7c7 ,resolution plan 7#a7 ,9 g5]al ,ea* ent]prise %all develop a resolution plan 9 ord] to facilitate an ord]ly transition to ! new h\s+ f9ance sy/em au?oriz$ by ?is ,act4 7#b7 ,tim+ ,ea* resolution plan requir$ to be develop$ "u p>agraph 7#a7 %all be submitt$ to ! ,,fhfa ,director n lat] ?an #ij days aft] ! ag5cy transf] date4 7#c7 ,cont5ts ( plans ,ea* resolution plan requir$ to be develop$ "u p>agraph 7#a7 %all include a full description & valuation ( ! assets1 liabilities1 & contractual obligations ( ! ent]prise1 & any o!r in=mation t ! ,,fhfa ,director may require4 7#d7 ,ret5tion ( au?ority ,not)/&+ any provision ( a resolution plan requir$ to be develop$ "u p>agraph 7#a71 ! ,f$]al ,h\s+ ,f9ance ,ag5cy & ! ,corporation %all reta9 & ex]cise full discretion to ! ext5t t ei!r ! ,ag5cy or ! ,corporation utilizes or relies on su* a resolution plan1 ei!r 9 :ole or 9 "p1 9 fulfill+ any duty or responsibility requir$ by ?is ,act4 7#e7 ,public summ>y ,aft] review+ ea* resolution plan requir$ to be develop$ "u p>agraph 7#a71 ! ,corporation %all make available to ! public a summ>y ( ea* su* resolution plan4 7#f7 ,valuation /udy ,aft] review+ ea* resolution plan requir$ to be develop$ "u p>agraph 7#a71 ! ,corporation %all conduct a valuation /udy ( ea* ent]prise's bus9ess segm5ts1 includ+ any te*nology1 bus9ess unit1 legacy book1 & o!r assets & liabilities t may be sold = value 9 a mann] consi/5t ) ! purposes & requirem5ts ( ?is ,act4 7d7 ,prohibition on new bus9ess 7#a7 ,f$]al ,national ,mortgage ,association 7,a7 ,new bus9ess prohibit$ ,effective on ! sy/em c]tification date1 ! ,f$]al ,national ,mortgage ,association %all h no au?ority to conduct new bus9ess "u ! ,f$]al ,national ,mortgage ,association ,*>t] ,act4 7,b7 ,new bus9ess def9$ ,= purposes ( subp>agraph 7,a71 ! t]m new bus9ess means any new-- 7i7 pur*ase (1 s]vic+ (1 or deal+ 9 any insur$ or conv5tional mortgages by ! ,f$]al ,national ,mortgage ,association "u section #cjb7;b7 ( ! ,f$]al ,national ,mortgage ,association ,*>t] ,act 7#ab ,u4,s4,c4 #agag7;b772 7ii7 pur*ase ( a mortgage by ! ,f$]al ,national ,mortgage ,association 9 its second>y mortgage m>ket op]ations "u section #cjd7;a7 ( ! ,f$]al ,national ,mortgage ,association ,*>t] ,act 7#ab ,u4,s4,c4 #agai7;a772 7iii7 issue ( an obligation ( ! ,f$]al ,national ,mortgage ,association "u section #cjd7;b7 ( ! ,f$]al ,national ,mortgage ,association ,*>t] ,act 7#ab ,u4,s4,c4 #agai7;b771 includ+-- 7,i7 bonds1 notes1 deb5tures1 & o!r simil> in/rum5ts2 7,,ii7 capital lease obligations2 7,,iii7 obligations 9 respect ( lett]s ( cr$it1 bank]s acceptances1 or o!r simil> in/rum5ts2 7,,iv7 gu>antees ( new securities bas$ on mortgages set aside2 & 7,v7 swap1 security-bas$ swap1 d]ivative product1 or o!r simil> in/rum5t2 7iv7 sett+ aside ( any mortgages held by ! ,f$]al ,national ,mortgage ,association & any new issue & sale ( securities bas$ on ! mortgages s set aside "u section #cjd7;d7 ( ! ,f$]al ,national ,mortgage ,association ,*>t] ,act 7#ab ,u4,s4,c4 #agai7;d772 & 7v7 issue ( a subord9at$ obligation ( ! ,f$]al ,national ,mortgage ,association "u section #cjd7;e7 ( ! ,f$]al ,national ,mortgage ,association ,*>t] ,act 7#ab ,u4,s4,c4 #agai7;e774 7,c7 ,exclusion f new bus9ess ,! t]m new bus9ess %all n include any new-- 7i7 pur*ase by ! ,f$]al ,national ,mortgage ,association ( a non-p]=m+ mortgage f a pool ( mortgages previ\sly set aside by ! ent]prise2 7ii7 issue ( an obligation ( ! ,f$]al ,national ,mortgage ,association if1 aft] giv+ effect to ! issuance1 ! aggregate am\nt ( su* obligations does n exce$ #abj p]c5t ( ! am\nt ( mortgage assets p]mitt$ to be own$ by ! ent]prise "u section #fje2 7iii7 sett+ aside ( mortgages previ\sly set aside by ! ,f$]al ,national ,mortgage ,association1 or any new issue & sale ( securities bas$ on ! mortgages s previ\sly set aside1 to refund or replace an out/&+ issue ( securities bas$ on mortgages previ\sly set aside1 if ! face am\nt ( ! refund+ or replac+ mortgage-back$ securities does n exce$ ! face am\nt ( ! mortgage-back$ securities be+ refund$ or replac$2 7iv7 transf] ( gu>antees ( mortgage-back$ securities gu>ante$ by ! ,f$]al ,national ,mortgage ,association if ! mortgage loans collat]aliz+ su* securities are ref9anc$1 reg>dless ( ! value ( ! und]ly+ collat]al & ! home[n]'s curr5t employm5t /atus & income2 or 7v7 entry into any swap1 security-bas$ swap1 or o!r simil> in/rum5t1 or pur*ase ( sale ( any d]ivative product1 or o!r simil> in/rum5t1 to facilitate ! ord]ly w9d d[n ( ! ,f$]al ,national ,mortgage ,association & appropriate loss mitigation on any out/&+ gu>antees ( ! ,f$]al ,national ,mortgage ,association "u section #fje4 7,d7 ,new bus9ess prohibition n to affect out/&+ ent]prise debt or gu>antees ,no?+ 9 subp>agraph 7,a7 %all adv]sely affect ! rights & obligations ( any hold]s (-- 7i7 out/&+ debt obligations ( ! ,f$]al ,national ,mortgage ,association1 includ+ any-- 7,i7 bonds1 notes1 deb5tures1 or o!r simil> in/rum5ts2 7,,ii7 capital lease obligations2 7,,iii7 obligations 9 respect ( lett]s ( cr$it1 bank]s' acceptances1 or o!r simil> in/rum5ts2 or 7,,iv7 swap1 security-bas$ swap1 d]ivative product1 or o!r simil> in/rum5t2 or 7ii7 mortgage-back$ securities gu>ante$ by ! ,f$]al ,national ,mortgage ,association4 7#b7 ,f$]al ,home ,loan ,mortgage ,corporation 7,a7 ,new bus9ess prohibit$ ,effective on ! sy/em c]tification date1 ! ,f$]al ,home ,loan ,mortgage ,corporation %all h no au?ority to conduct new bus9ess "u ! ,f$]al ,home ,loan ,mortgage ,corporation ,act4 7,b7 ,new bus9ess def9$ ,= purposes ( subp>agraph 7,a71 ! t]m new bus9ess means any new-- 7i7 pur*ase (1 s]vic+ (1 or deal+ 9 any insur$ or conv5tional mortgages by ! ,f$]al ,home ,loan ,mortgage ,corporation "u section #cje7;a7 ( ! ,f$]al ,home ,loan ,mortgage ,corporation ,act 7#ab ,u4,s4,c4 #aded7;a772 7ii7 issue ( an obligation ( ! ,f$]al ,home ,loan ,mortgage ,corporation "u section #cjf7;a7 ( ! ,f$]al ,home ,loan ,mortgage ,corporation ,act 7#ab ,u4,s4,c4 #adee7;a771 includ+-- 7,i7 bonds1 notes1 deb5tures1 & o!r simil> in/rum5ts2 7,,ii7 capital lease obligations2 7,,iii7 obligations 9 respect ( lett]s ( cr$it1 bank]s acceptances1 or o!r simil> in/rum5ts2 7,,iv7 gu>antees ( new securities bas$ on mortgages set aside2 & 7,v7 swap1 security-bas$ swap1 d]ivative product1 or o!r simil> in/rum5t2 7iii7 issue ( mortgage-back$ securities "u ! ,f$]al ,home ,loan ,mortgage ,corporation ,act2 & 7iv7 issue ( a subord9at$ obligation ( ! ,f$]al ,home ,loan ,mortgage ,corporation "u ! ,f$]al ,home ,loan ,mortgage ,corporation ,act4 7,c7 ,exclusion f new bus9ess ,! t]m new bus9ess %all n include any new-- 7i7 pur*ase by ! ,f$]al ,home ,loan ,mortgage ,corporation ( a non-p]=m+ mortgage f a pool ( mortgages previ\sly set aside by ! ent]prise2 7ii7 issue ( an obligation ( ! ,f$]al ,home ,loan ,mortgage ,corporation if1 aft] giv+ effect to ! issuance1 ! aggregate am\nt ( su* obligations does n exce$ #abj p]c5t ( ! am\nt ( mortgage assets p]mitt$ to be own$ by ! ent]prise "u section #fje2 7iii7 issue ( mortgage-back$ securities1 to refund or replace an out/&+ issue ( mortgage-back$ securities1 if ! face am\nt ( ! refund+ or replac+ mortgage-back$ securities does n exce$ ! face am\nt ( ! mortgage-back$ securities be+ refund$ or replac$2 7iv7 transf] ( gu>antees ( mortgage-back$ securities gu>ante$ by ! ,f$]al ,home ,loan ,mortgage ,corporation if ! mortgage loans collat]aliz+ su* securities are ref9anc$1 reg>dless ( ! value ( ! und]ly+ collat]al & ! home[n]'s curr5t employm5t /atus & income2 or 7v7 entry into any swap1 security-bas$ swap1 or o!r simil> in/rum5t1 or pur*ase ( sale ( any d]ivative product1 or o!r simil> in/rum5t1 to facilitate ! ord]ly w9d d[n ( ! ,f$]al ,home ,loan ,mortgage ,corporation & appropriate loss mitigation on any out/&+ gu>antees ( ! ,f$]al ,home ,loan ,mortgage ,corporation "u section #fje4 7,d7 ,new bus9ess prohibition n to affect out/&+ ent]prise debt or gu>antees ,no?+ 9 subp>agraph 7,a7 %all adv]sely affect ! rights & obligations ( any hold]s (-- 7i7 out/&+ debt obligations ( ! ,f$]al ,home ,loan ,mortgage ,corporation1 includ+ any-- 7,i7 bonds1 notes1 deb5tures1 or o!r simil> in/rum5ts2 7,,ii7 capital lease obligations2 7,,iii7 obligations 9 respect ( lett]s ( cr$it1 bank]s' acceptances1 or o!r simil> in/rum5ts2 or 7,,iv7 swap1 security-bas$ swap1 d]ivative product1 or o!r simil> in/rum5t2 or 7ii7 mortgage-back$ securities gu>ante$ by ! ,f$]al ,home ,loan ,mortgage ,corporation4 7#c7 ,rule ( con/ruction ,! prohibition on new bus9ess by ! ,f$]al ,national ,mortgage ,association & ! ,f$]al ,home ,loan ,mortgage ,corporation set =? 9 p>agraphs 7#a7 & 7#b7 %all n prohibit1 nor be con/ru$ to prohibit1 ! ,corporation f manag+ su* entity4 7#d7 ,exi/+ gu>antee obligations 7,a7 ,explicit gu>antee ,! full fai? & cr$it ( ! ,unit$ ,/ates is pl$g$ to ! paym5t ( all am\nts :i* may be requir$ to be paid "u any obligation describ$ "u p>agraphs 7#a7 & 7#b71 includ+ any obligation issu$ on or aft] ! sy/em c]tification date to refund or replace an obligation t 0 out/&+ on ! day be=e ! sy/em c]tification date4 7,b7 ,loan eligibility ,! ent]prises %all include z eligible loans = ! purposes ( ref9anc+ all curr5t loans t qualify z eligible mortgage loans & meet ^? und]writ+ requirem5ts = eligibility = same s]vic] ref9anc+1 except t ! ent]prises may n disqualify or impose v>y+ rules bas$ on loan-to-value1 comb9$ loan-to-value1 employm5t /atus1 or income ) reg>d to ref9anc+ mortgage loans t collat]alize mortgage-back$ securities issu$ by an ent]prise prior to ! sy/em c]tification date4 7,c7 ,cont9u$ divid5d paym5ts ,not)/&+ ! provisions ( ?is section or any o!r provision ( law1 provision #b7;a7 7relat+ to ,divid5d ,paym5t ,dates & ,divid5d ,p]iods7 & provision #b7;c7 7relat+ to ,divid5d ,rates & ,divid5d ,am\nt7 ( ! ,s5ior ,pref]r$ ,/ock ,pur*ase ,agreem5t1 or any provision ( any c]tificate 9 connection ) su* ,agreem5t creat+ or designat+ ! t]ms1 p[]s1 pref]5ces1 privileges1 limitations1 or any o!r conditions ( ! ,v>iable ,liquidation ,pref]5ce ,s5ior ,pref]r$ ,/ock ( an ent]prise issu$ pursuant to su* ,agreem5t-- 7i7 %all n be am5d$1 re/at$1 or o!rwise *ang$ to r$uce ! rate or am\nt ( divid5ds 9 effect pursuant to su* ,agreem5t z ( ! ,?ird ,am5dm5t to su* ,agreem5t dat$ ,augu/ #ag1 #bjab1 except t any am5dm5t to su* ,agreem5t %all be p]mitt$ if x facilitates ! sale ( assets ( ! ent]prises to facilitate compliance ) ?is title2 & 7ii7 %all rema9 9 effect until ! gu>antee obligations describ$ "u p>agraphs 7#a7 & 7#b7 are fully ext+ui%$4 7,d7 ,applicability ,not)/&+ ! provisions ( ?is section1 all gu>antee fee am\nts d]iv$ f ! mortgage gu>antee bus9ess ( ! ent]prises 9 exi/5ce z ( ! sy/em c]tification date1 aft] satisfy+ ! fee am\nts requir$ to be collect$ by section #acbg ( ! ,safety & ,s\ndness ,act 7#ab ,u4,s4,c4 #dedg71 %all be subject to ! t]ms ( ! ,s5ior ,pref]r$ ,/ock ,pur*ase ,agreem5t4 7e7 ,*>t]s revok$ ,effective ^u ! date ! gu>antee obligations "u subsection 7d77#d77;,a7 are fully ext+ui%$3 7#a7 ,! ,f$]al ,national ,mortgage ,association ,*>t] ,act is repeal$1 except z ! provisions ( su* ,act relate to ! e/abli%m5t1 purposes1 p[]s1 au?orities1 duties1 sup]vision1 adm9i/ration1 & managem5t ( ! ,gov]nm5t ,national ,mortgage ,association4 7#b7 ,! ,f$]al ,home ,loan ,mortgage ,corporation ,act is repeal$4 7f7 ,au?ority to insure out/&+ mortgage-back$ securities2 mortgage-back$ securities ( ! ent]prises 7#a7 ,au?ority to insure mortgage-back$ securities2 au?ority to develop ent]prise mortgage-back$ securities ,aft] ! ag5cy transf] date1 & subject to su* proc$ures1 /&>ds1 t]ms1 & conditions z may be adopt$ by ! ,corporation "u p>agraph 7#b71 ! ,corporation may-- 7,a7 ^u application & 9 ex*ange = a fee det]m9$ by ! ,corporation1 provide insurance on out/&+ mortgage-back$ securities issu$ by ! ent]prises2 & 7,b7 facilitate1 includ+ ?r\gh ! op]ations ( ! ent]prises or ! utilization ( ! ,plat=m1 !-- 7i7 ex*ange ( mortgage-back$ securities issu$ by ei!r ent]prise = cov]$ securities2 7ii7 ex*ange ( mortgage-back$ securities issu$ by #a ent]prise = ^? ( ! o!r ent]prise2 7iii7 issuance ( mortgage-back$ securities by bo? ent]prises ?r\gh a s+le issu]2 & 7iv7 issuance ( real e/ate mortgage inve/m5t conduit securities1 consi/+ ( mortgage-back$ securities issu$ by ! ent]prises4 7#b7 ,developm5t ( proc$ures1 /&>ds1 t]ms1 & conditions ,! ,corporation %all develop & adopt proc$ures1 /&>ds1 t]ms1 & conditions to enable ! ,corporation & ea* ( ! ent]prises1 z applicable1 to implem5t ea* ( ! activities describ$ 9 p>agraph 7#a74 7#c7 ,requir$ proc$ures1 /&>ds1 t]ms1 & conditions ,9 ! developm5t & adoption ( ! proc$ures1 /&>ds1 t]ms1 & conditions requir$ "u p>agraph 7#b71 ! ,corporation %all consid] ! effect ( ea* activity ) respect to ! foll[+3 7,a7 ,l5d] access to ! second>y mortgage m>ket4 7,b7 ,! liquidity & trad+ price ( exi/+ ent]prise mortgage-back$ securities4 7,c7 ,! ability ( m>ket p>ticipants & ! ent]prises to issue new mortgage-back$ securities4 7,d7 ,! co/ to ! ent]prises or ! ,corporation to ex*ange1 re/ructure1 or insure mortgage-back$ securities4 7g7 ,report to ,congress 7#a7 ,9 g5]al ,prior to ! ag5cy transf] date1 ! ,,fhfa ,director %all submit a /udy consid]+ ! feasibility ( activities describ$ 9 subsection 7f77#a7 to-- 7,a7 ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate2 7,b7 ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives2 & 7,c7 ! ,corporation4 7#b7 ,updates ,foll[+ ! ag5cy transf] date1 ! ,corporation %all provide updates on ! activities describ$ 9 subsection 7f77#a7 9 ! transition plan 7& 9 ea* annual update !re(7 requir$ "u section #fjb4 7h7 ,division ( assets & liabilities2 au?ority to e/abli% hold+ companies1 tru/s1 & subsidi>ies 7#a7 ,9 g5]al ,! action & proc$ures requir$ "u subsection 7a7-- 7,a7 %all include ! e/abli%m5t & execution ( plans to manage assets t[>d ! liquidation ( liabilities & provide = an equitable division1 di/ribution1 & liquidation ( ! assets & liabilities ( an ent]prise1 includ+ any infra/ructure1 prop]ty1 includ+ intellectual prop]ty1 hi/oric data1 plat=ms1 or any o!r ?+ or object ( value1 provid$ su* plan complies ) ! requirem5ts ( ?is ,act & any am5dm5ts made by ?is ,act2 7,b7 may provide = ! e/abli%m5t (-- 7i7 a hold+ corporation organiz$ "u ! laws ( any ,/ate ( ! ,unit$ ,/ates or ! ,di/rict ( ,columbia = ! purpose ( w9d+ d[n an ent]prise or bo? ent]prises2 7ii7 #a or m tru/s to :i* to transf]-- 7,i7 out/&+ debt obligations ( an ent]prise or bo? ent]prises2 or 7,,ii7 out/&+ mortgages held = ! purpose ( collat]aliz+ mortgage-back$ securities gu>ante$ by an ent]prise or bo? ent]prises2 & 7iii7 #a or m subsidi>ies or jo9t v5tures ) private entities = ! purposes ( facilitat+ an ord]ly w9d d[n ( "o ent]prise or bo? ent]prises & ! transition to ! new h\s+ f9ance sy/em2 7,c7 may include ! sale z a go+ conc]n ( any hold+ company1 tru/1 subsidi>y1 or jo9t v5ture ) a private entity e/abli%$ by an ent]prise "u ?is subsection2 & 7,d7 may provide t any hold+ company1 tru/1 subsidi>y1 or jo9t v5ture sold z a go+ conc]n may be utiliz$ to facilitate ! =mation (-- 7i7 a small l5d] mutual "u section #cae2 7ii7 an approv$ gu>antor2 7iii7 an approv$ multifamily gu>antor2 7iv7 an approv$ aggregator2 or 7v7 ! ,securitization ,plat=m4 7#b7 ,rule ( con/ruction ,any hold+ company1 tru/1 subsidi>y1 or jo9t v5ture e/abli%$ by an ent]prise be=e or aft] ! ag5cy transf] date is eligible to be sold by ! ,f$]al ,h\s+ ,f9ance ,ag5cy z a go+ conc]n = ! purposes describ$ 9 ?is section4 7i7 ,rec\pm5t by s5ior pref]r$ %>ehold]s 7#a7 ,maximum return to s5ior pref]r$ %>ehold]s ,! w9d d[n ( ea* ent]prise requir$ "u ?is section %all be manag$ by ! ,corporation to obta9 resolutions t maximize ! return = ! s5ior pref]r$ %>ehold]s1 to ! ext5t t su* resolutions-- 7,a7 are consi/5t ) ! goals ( facilitat+-- 7i7 a deep1 liquid1 & resili5t second>y mortgage m>ket = s+le-family & multifamily mortgage-back$ securities 9 ord] to support access to mortgage cr$it 9 ! prim>y mortgage m>ket2 & 7ii7 an ord]ly transition f h\s+ f9ance m>kets facilitat$ by ! ent]prises to h\s+ f9ance m>kets facilitat$ by ! ,corporation ) m9imum disruption 9 ! availability ( mortgage cr$it2 7,b7 are consi/5t ) applicable ,f$]al & ,/ate law2 7,c7 comply ) ! requirem5ts ( ?is ,act & ! am5dm5ts made by ?is ,act2 & 7,d7 protect ! taxpay] f hav+ to absorb losses incurr$ 9 ! second>y mortgage m>ket4 7#b7 ,sale ( c]ta9 assets z a go+ conc]n 7,a7 ,sale = value ,if ! ,f$]al ,h\s+ ,f9ance ,ag5cy makes ! det]m9ations 9 subp>agraph 7,b71 ! ,f$]al ,h\s+ ,f9ance ,ag5cy may conduct a sale1 ex*ange1 lic5se1 or o!r disposition = value ( any l9e ( bus9ess ( an ent]prise1 or any function1 activity1 asset1 intellectual prop]ty1 or s]vice ( an ent]prise1 z a go+ conc]n4 7,b7 ,requir$ det]m9ations ,a sale "u subp>agraph 7,a7 is p]mitt$ if ! ,f$]al ,h\s+ ,f9ance ,ag5cy det]m9es t ! sale1 ex*ange1 lic5se1 or o!r disposition = value-- 7i7 is consi/5t ) ! goal ( an ord]ly transition f h\s+ f9ance m>kets facilitat$ by ! ent]prises to h\s+ f9ance m>kets facilitat$ by ! ,corporation ) m9imum disruption 9 ! availability ( mortgage cr$it2 7ii7 does n imp$e or o!rwise int]f]e ) ! ability ( ! ,f$]al ,h\s+ ,f9ance ,ag5cy or ! ,corporation to c>ry out ! functions & requirem5ts ( ?is ,act2 7iii7 does n transf]1 convey1 or au?orize any gu>antee or ,f$]al support1 assi/ance1 or back+1 implicit or explicit1 relat$ to any su* bus9ess l9e1 function1 activity1 or s]vice2 7iv7 w maximize ! return = ! s5ior pref]r$ %>ehold]s z requir$ "u p>agraph 7#a72 & 7v7 w\ld n result 9 an uncompetitive prim>y or second>y mortgage m>ket or o!rwise limit competitiv5ess 9 ! prim>y or second>y mortgage m>kets4 7,c7 ,sale ( hi/oric data ,! ,f$]al ,h\s+ ,f9ance ,ag5cy %all conduct a sale = value ( ea* ent]prise's hi/oric data1 includ+ loan-level hi/orical p]=mance data4 ,9 conduct+ su* sale1 ! ,f$]al ,h\s+ ,f9ance ,ag5cy may require t-- 7i7 ! pur*as] ( ! hi/oric data is ! ,corporation or ! ,securitization ,plat=m2 7ii7 ! pur*as] ( ! hi/oric data makes ! hi/oric data available to ! public 9 a se>*able & easily accessible =mat z promptly z practicable2 & 7iii7 ! pur*as] ( ! hi/oric data takes appropriate /eps to ensure ! privacy ( consum]s1 m9imizes ! collection & /orage ( p]sonally id5tifiable f9ancial in=mation1 & consid]s /atutes1 rules1 & regulations relat+ to ! privacy ( consum] cr$it in=mation & p]sonally id5tifiable f9ancial in=mation4 #fje4 ,portfolio r$uction 7a7 ,graduat$ r$uction 7#a7 ,9 g5]al ,on ,decemb] #ca ( ! ye> aft] ! date ( enactm5t ( ?is ,act1 & on ,decemb] #ca ( ea* ye> !reaft] until ea* ent]prise rea*es ! all[able size ( ! reta9$ s+le-family portfolio specifi$ 9 p>agraph 7#b71 ea* ent]prise %all n own s+le-family mortgage loan assets 9 excess ( #he p]c5t ( ! aggregate am\nt ( ! s+le-family mortgage loan assets t ! ent]prise 0 p]mitt$ to own z ( ,decemb] #ca ( ! imm$iately prec$+ cal5d> ye>4 7#b7 ,reta9$ s+le-family portfolio to facilitate ord]ly w9d d[n ,n lat] ?an ! date on :i* ! sy/em c]tification date occurs1 ! ,corporation %all e/abli% an all[able am\nt ( ent]prise-own$ s+le-family mortgage loan assets 9 an am\nt equal to ! am\nt necess>y to facilitate-- 7,a7 ! ord]ly w9d d[n ( ! ent]prises2 & 7,b7 appropriate loss mitigation on any legacy gu>antees ( ! ent]prises4 7b7 ,mortgage loan assets def9$ ,= purposes ( ?is section1 ! t]m mortgage loan assets means1 ) respect to an ent]prise1 assets ( su* ent]prise consi/+ ( mortgage loans1 mortgage-relat$ securities1 p>ticipation c]tificates1 mortgage-back$ comm]cial pap]1 obligations ( real e/ate mortgage loan inve/m5t conduits1 & simil> assets1 9 ea* case to ! ext5t t su* assets w\ld appe> on ! balance %eet ( su* ent]prise 9 accordance ) g5]ally accept$ acc\nt+ pr9ciples 9 effect 9 ! ,unit$ ,/ates z ( ,septemb] #g1 #bjjh 7z set =? 9 ! op9ions & pron\ncem5ts ( ! ,acc\nt+ ,pr9ciples ,bo>d & ! ,am]ican ,in/itute ( ,c]tifi$ ,public ,acc\ntants & /atem5ts & pron\ncem5ts ( ! ,f9ancial ,acc\nt+ ,/&>ds ,bo>d f "t to "t1 & )\t giv+ any effect to any *ange t may be made aft] ,septemb] #g1 #bjjh1 9 respect ( ,/atem5t ( ,f9ancial ,acc\nt+ ,/&>ds ,no4 #adj or any simil> acc\nt+ /&>d74 #fjf4 ,ov]sight ( transition ( ! h\s+ f9ance sy/em 7a7 ,te/imony ,beg9n+ on ! ag5cy transf] date & end+ on ! sy/em c]tification date1 ! ,*airp]son %all1 on an annual basis1 appe> be=e ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives to provide te/imony on ! progress made 9 c>ry+ out ! requirem5ts ( ?is title4 7b7 ,inspector ,g5]al report on transition ,beg9n+ on ! ag5cy transf] date & end+ on ! sy/em c]tification date1 ! ,inspector ,g5]al ( ! ,f$]al ,mortgage ,insurance ,corporation %all1 on an annual basis-- 7#a7 submit a report to ! ,corporation & ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives-- 7,a7 on ! /atus ( ! transition to ! new h\s+ f9ance sy/em au?oriz$ by ?is ,act2 7,b7 t includes recomm5dations to facilitate an ord]ly transition to ! new h\s+ f9ance sy/em au?oriz$ by ?is ,act2 & 7,c7 on ! impact ( v>i\s actions requir$ by ?is ,act on borr[]s & small mortgage l5d]s2 & 7#b7 appe> be=e ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives to provide te/imony on ! report requir$ "u p>agraph 7#a74 7c7 ,,gao report on transition 7#a7 ,9 g5]al ,n lat] ?an #ah mon?s aft] ! sy/em c]tification date1 ! ,comptroll] ,g5]al ( ! ,unit$ ,/ates %all conduct a /udy & submit a report to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives review+ ! transition requir$ by ?is ,act4 7#b7 ,cont5ts ( /udy ,9 conduct+ ! /udy requir$ "u p>agraph 7#a71 ! ,comptroll] ,g5]al %all review-- 7,a7 all prop]ty1 includ+ intellectual prop]ty1 ( ! ent]prises t may h be5 sold1 transf]r$1 or lic5s$ = value pursuant to ?is title or any am5dm5t made by ?is title2 7,b7 ! numb] & m>ket %>e ( ea* type ( approv$ entity2 & 7,c7 ! am\nt ( any taxpay] repaym5t4 #fjg4 ,au?ority to e/abli% provisional /&>ds 7a7 ,provisional /&>ds 7#a7 ,9 g5]al ,not)/&+ any /&>d requir$ "u subtitle ,b ( title ,,iii or section #gjc1 ! ,corporation may e/abli% provisional /&>ds = ! approval ( approv$ entities 9 ord] to ensure ! suffici5t p>ticipation ( f9ancially s\nd entities 9 ! h\s+ f9ance sy/em4 7#b7 ,p]iod ( effectiv5ess dur+ transition ,! ,corporation is au?oriz$ to e/abli% provisional /&>ds "u p>agraph 7#a7 prior to ! sy/em c]tification date & su* provisional /&>ds %all-- 7,a7 be publi%$ 9 ! ,f$]al ,regi/] = notice & comm5t2 & 7,b7 rema9 9 effect until ! ,corporation adopts & publi%es f9al /&>ds = ! approval ( approv$ entities pursuant to subtitle ,b ( title ,,iii or section #gjc4 7#c7 ,p]iod ( effectiv5ess dur+ unusual & exig5t circum/ances ,! ,corporation is au?oriz$ to e/abli% provisional /&>ds "u p>agraph 7#a7 dur+ p]iods :5 ! au?ority ( ! ,corporation "u section #cje is ex]cis$ & su* provisional /&>ds %all-- 7,a7 be publi%$ 9 ! ,f$]al ,regi/]2 & 7,b7 rema9 9 effect until ! f9al date ( ! timel9e e/abli%$ by ! ,corporation pursuant to section #cje7;h77#a74 7#d7 ,rule ( con/ruction ,no?+ 9 p>agraph 7#b7 %all be con/ru$ to all[ ! ,corporation to delay or o!rwise n implem5t subsection 7c7 9 ! requir$ timeframe4 7b7 ,ov]sight ( approv$ entities ,dur+ any p]iod 9 :i* a provisional /&>d is 9 effect pursuant to subsection 7a71 ! ,corporation %all ma9ta9 all ov]sight & en=cem5t au?orities ) reg>d to approv$ entities 9 accordance ) ! requirem5ts & au?orities ( subtitles ,b & ,c ( title ,,iii & section #gjc4 7c7 ,phase-9 ( capital /&>ds = approv$ gu>antors 7#a7 ,9 g5]al ,! requirem5t "u section #caa7;g77#a77;,a7 %all take effect on ! date t is #h ye>s aft] ! date t ! ,corporation approves ! fir/ approv$ gu>antor "u ?is section4 7#b7 ,phase-9 ,beg9n+ on ! date t ! ,corporation approves ! fir/ approv$ gu>antor "u ?is section & end+ on ! date set =? "u p>agraph 7#a71 ! ,corporation %all-- 7,a7 require an approv$ gu>antor to ma9ta9 an appropriate level ( capital necess>y to help ensure an ord]ly transition pursuant to ?is title2 & 7,b7 increase annually1 9 equal increm5ts1 ! requir$ am\nt ( capital to be held by ! approv$ gu>antor4 7#c7 ,applicability ,ea* capital level requir$ to be held by an approv$ gu>antor "u ?is section1 includ+ ea* annual increase pursuant to p>agraph 7#b77;,b71 %all only be applicable ) respect to new bus9ess be+ gu>ante$ by an approv$ gu>antor on & aft] ! date ea* capital level becomes effective4 7d7 ,phase-9 ( capital /&>ds = multifamily approv$ gu>antors 7#a7 ,9 g5]al ,! requirem5t "u section #gjc7;h77#a77;,a7 %all take effect on ! date t is #h ye>s aft] ! date t ! ,corporation approves ! fir/ multifamily approv$ gu>antor "u ?is section4 7#b7 ,phase-9 ,beg9n+ on ! date t ! ,corporation approves ! fir/ approv$ multifamily gu>antor "u ?is section & end+ on ! date set =? "u p>agraph 7#a71 ! ,corporation %all-- 7,a7 require an approv$ multifamily gu>antor to ma9ta9 an appropriate level ( capital necess>y to help ensure an ord]ly transition pursuant to ?is title2 & 7,b7 increase annually1 9 equal increm5ts1 ! requir$ am\nt ( capital to be held by ! approv$ multifamily gu>antor4 7#c7 ,applicability ,ea* capital level requir$ to be held by an approv$ multifamily gu>antor "u ?is section1 includ+ ea* annual increase pursuant to p>agraph 7#b77;,b71 %all only be applicable ) respect to new bus9ess be+ gu>ante$ by an approv$ multifamily gu>antor on & aft] ! date ea* capital level becomes effective4 #fjh4 ,initial fund level = ! ,mortgage ,insurance ,fund 7a7 ,fund am\nt on sy/em c]tification date ,! ,corporation %all endeavor to ensure t ! ,mortgage ,insurance ,fund e/abli%$ "u section #cjc atta9s a res]ve ratio ( #j4ge p]c5t ( ! sum ( ! out/&+ pr9cipal balance ( ! cov]$ securities = :i* insurance is project$ to be provid$ "u ?is ,act = ! #e-ye> p]iod beg9n+ on ! sy/em c]tification date4 7b7 ,report to ,congress on projection ,! projection requir$ "u subsection 7a7 %all be-- 7#a7 det]m9$ by ! ,corporation2 & 7#b7 report$ to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives4 7c7 ,assessm5ts ,pursuant to ! au?orities grant$ to ! ,corporation "u section #acaf7;i7 ( ! ,safety & ,s\ndness ,act1 z add$ by section #dje1 ! am\nt ( funds requir$ to be held by ! ,mortgage ,insurance ,fund "u subsection 7a7 %all be acquir$ ?r\gh assessm5ts on ! ent]prises4 ,! assessm5ts requir$ "u ?is subsection %all be 9 effect = ! p]iod beg9n+ on ! date ( enactm5t ( ?is ,act & end+ on ! sy/em c]tification date4 ,! assessm5ts requir$ "u ?is subsection %all be deposit$ 9 ! ,mortgage ,insurance ,fund4 #fji4 ,,gao report on full privatization ( second>y mortgage m>ket 7a7 ,,gao report ,n lat] ?an #h ye>s aft] ! date ( enactm5t ( ?is ,act1 ! ,comptroll] ,g5]al ( ! ,unit$ ,/ates %all submit a report to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives on ! feasibility ( transition+ to & creat+ a fully privatiz$ second>y mortgage m>ket1 includ+ recomm5dations on h[ to be/ c>ry out any displacem5t ( ! insurance model e/abli%$ "u ?is ,act1 & an assessm5t ( ! co/ ( mortgage cr$it & ! impact on ! economy if ! second>y mortgage m>ket is fully privatiz$4 7b7 ,corporation plan ,n lat] ?an #f mon?s aft] ! date on :i* ! report requir$ "u subsection 7a7 is submitt$1 ! ,corporation %all submit to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives a description ( ! legislative1 adm9i/rative1 & regulatory actions necess>y to implem5t ! recomm5dations ( ! report4 ,,vii ,multifamily #gja4 ,e/abli%m5t ( multifamily subsidi>ies 7a7 ,=mation & gov]nance ( multifamily subsidi>ies 7#a7 ,f$]al ,national ,mortgage ,association 7,a7 ,multifamily subsidi>y plan ,! ,,fhfa ,director1 9 consultation ) ! ,secret>y ( ! ,treasury1 %all direct ! ,f$]al ,national ,mortgage ,association to develop a plan1 n lat] ?an #ahj days aft] ! date ( enactm5t ( ?is ,act1 to e/abli% a multifamily subsidi>y = purposes ( exp$iti\sly meet+ ! multifamily m>ket m9imum crit]ia requir$ "u section #fja4 7,b7 ,e/abli%m5t ( multifamily subsidi>y ,pursuant to section #fjd1 ! ,f$]al ,h\s+ ,f9ance ,ag5cy %all direct ! ,f$]al ,national ,mortgage ,association to e/abli% a multifamily subsidi>y n lat] ?an #a ye> aft] ! date ( enactm5t ( ?is ,act4 7#b7 ,f$]al ,home ,loan ,mortgage ,corporation 7,a7 ,multifamily subsidi>y plan ,! ,,fhfa ,director1 9 consultation ) ! ,secret>y ( ! ,treasury1 %all direct ! ,f$]al ,home ,loan ,mortgage ,corporation to develop a plan1 n lat] ?an #ahj days aft] ! date ( enactm5t ( ?is ,act1 to e/abli% a multifamily subsidi>y = purposes ( exp$iti\sly meet+ ! multifamily m>ket m9imum crit]ia requir$ "u section #fja4 7,b7 ,e/abli%m5t ( multifamily subsidi>y ,pursuant to section #fjd1 ! ,f$]al ,h\s+ ,f9ance ,ag5cy %all direct ! ,f$]al ,home ,loan ,mortgage ,corporation to e/abli% a multifamily subsidi>y n lat] ?an #a ye> aft] ! date ( enactm5t ( ?is ,act4 7b7 ,transf] ( functions 7#a7 ,fannie ,mae multifamily subsidi>y 7,a7 ,9 g5]al ,not)/&+ ! provisions "u title ,,vi or any o!r provision ( law1 effective on ! date on :i* ! multifamily subsidi>y is e/abli%$ "u subsection 7a77#a77;,b71 all employees1 functions1 activities1 infra/ructure1 prop]ty1 includ+ ! ,delegat$ ,und]writ+ & ,s]vic+ ,l5d] ,program & o!r intellectual prop]ty1 plat=ms1 te*nology1 or any o!r object or s]vice ( ! ,f$]al ,national ,mortgage ,association necess>y to ! support1 ma9t5ance1 & op]ation ( ! multifamily bus9ess ( ! ,f$]al ,national ,mortgage ,association %all be transf]r$ & contribut$1 )\t co/1 to ! multifamily subsidi>y4 7,b7 ,capital contribution ,9 connection ) ! transf] requir$ "u subp>agraph 7,a71 ! ,f$]al ,national ,mortgage ,association %all contribute1 9 any =m or mann] ! ,f$]al ,h\s+ ,f9ance ,ag5cy may det]m9e1 subject to ! approval "r ( ! ,secret>y ( ! ,treasury 9 ! ,s5ior ,pref]r$ ,/ock ,pur*ase ,agreem5t1 any capital necess>y to ensure t ! multifamily subsidi>y e/abli%$ "u subsection 7a77#a77;,b7 has1 9 ! det]m9ation ( ! ,,fhfa ,director1 suffici5t capital to c>ry out its multifamily bus9ess1 includ+ ! ability to obta9 w>eh\se l9es ( cr$it4 7,c7 ,ensur+ cont9uation ( ongo+ op]ation ( multifamily bus9ess ,9 c>ry+ out ! multifamily bus9ess transf]r$ pursuant to subp>agraph 7,a71 ! multifamily subsidi>y e/abli%$ "u subsection 7a77#a77;,b7 %all ensure t any su* bus9ess cont9ues to op]ate1 z applicable1 consi/5t )-- 7i7 ! ,delegat$ ,und]writ+ & ,s]vic+ ,l5d] ,program e/abli%$ by ! ,f$]al ,national ,mortgage ,association2 7ii7 any o!r programs1 activities1 & contractual agreem5ts ( ! ent]prises t support ! ent]prises' provision ( liquidity to ! multifamily h\s+ m>ket2 & 7iii7 ! provisions ( ?is title4 7#b7 ,fr$die ,mac multifamily subsidi>y 7,a7 ,9 g5]al ,not)/&+ ! provisions "u title ,,vi or any o!r provision ( law1 effective on ! date on :i* ! multifamily subsidi>y is e/abli%$ "u subsection 7a77#b77;,b71 all employees1 functions1 activities1 infra/ructure1 prop]ty1 includ+ ! ,k ,s]ies ,/ructur$ ,pass-,?r\gh ,c]tificates orig9at$ & (f]$ "u ! ,program ,plus ,l5d] ,program & o!r intellectual prop]ty1 plat=ms1 te*nology1 or any o!r object or s]vice ( ! ,f$]al ,home ,loan ,mortgage ,corporation necess>y to ! support1 ma9t5ance1 & op]ation ( ! multifamily bus9ess ( ! ,f$]al ,home ,loan ,mortgage ,corporation %all be transf]r$ & contribut$1 )\t co/1 to ! multifamily subsidi>y4 7,b7 ,capital contribution ,9 connection ) ! transf] requir$ "u subp>agraph 7,a71 ! ,f$]al ,home ,loan ,mortgage ,corporation %all contribute1 9 any =m or mann] ! ,f$]al ,h\s+ ,f9ance ,ag5cy may det]m9e1 subject to ! approval "r ( ! ,secret>y ( ! ,treasury 9 ! ,s5ior ,pref]r$ ,/ock ,pur*ase ,agreem5t1 any capital necess>y to ensure t ! multifamily subsidi>y e/abli%$ "u subsection 7a77#b77;,b7 has1 9 ! det]m9ation ( ! ,,fhfa ,director1 suffici5t capital to c>ry out its multifamily bus9ess1 includ+ ! ability to obta9 w>eh\se l9es ( cr$it4 7,c7 ,ensur+ cont9uation ( ongo+ op]ation ( multifamily bus9ess ,9 c>ry+ out ! multifamily bus9ess transf]r$ pursuant to subp>agraph 7,a71 ! multifamily subsidi>y e/abli%$ "u subsection 7a77#b77;,b7 %all ensure t any su* bus9ess cont9ues to op]ate1 z applicable1 consi/5t )-- 7i7 ! ,k ,s]ies ,/ructur$ ,pass-,?r\gh ,c]tificates orig9at$ & (f]$ "u ! ,program ,plus ,l5d] ,program e/abli%$ by ! ,f$]al ,home ,loan ,mortgage ,corporation2 7ii7 any o!r programs1 activities1 & contractual agreem5ts ( ! ent]prises t support ! ent]prises' provision ( liquidity to ! multifamily h\s+ m>ket2 & 7iii7 ! provisions ( ?is title4 7c7 ,multifamily subsidi>ies 7#a7 ,9 g5]al ,! multifamily subsidi>ies e/abli%$ by ! ,f$]al ,national ,mortgage ,association & ! ,f$]al ,home ,loan ,mortgage ,corporation "u subsection 7a7 may reta9 a limit$ multifamily mortgage loan portfolio to-- 7,a7 aggregate mortgage loans = pool$ securities executions2 7,b7 implem5t pilot mortgage loan programs & o!r risk-%>+ transactions & product modification te/+2 7,c7 engage 9 ! f9anc+ ( prop]ties ) r5t-regulatory re/rictions1 (f-campus /ud5t h\s+1 & s5ior & assi/$ liv+ developm5ts2 & 7,d7 p]=m additional activities z may be e/abli%$ by ! ,corporation = ! purpose ( facilitat+ ! cont9uation ( exi/+ multifamily activities4 7#b7 ,portfolio r$uction applicability ,= purposes ( exp$iti\sly meet+ ! multifamily m>ket m9imum crit]ia requir$ "u section #fja1 ! multifamily subsidi>ies e/abli%$ "u subsection 7a7 %all n be subject to ! portfolio r$uction requir$ "u section #fje4 #gjb4 ,disposition ( multifamily bus9esses 7a7 ,au?ority to manage disposition ( multifamily bus9esses ,not)/&+ any provision ( title ,,vi or any o!r provision ( law1 ! ,f$]al ,h\s+ ,f9ance ,ag5cy may1 on or be=e ! sy/em c]tification date1 manage ! sale1 transf]1 or disposition = value ( prop]ty1 includ+ intellectual prop]ty1 te*nology1 plat=ms1 & legacy sy/ems1 infra/ructure & processes ( an ent]prise relat+ to ! op]ation & ma9t5ance ( ! multifamily bus9ess ( an ent]prise4 7b7 ,requir$ e/abli%m5t ( well-function+ multifamily cov]$ security m>ket ,9 ex]cis+ ! au?ority 9 subsection 7a71 ! ,f$]al ,h\s+ ,f9ance ,ag5cy %all manage any disposition ( ! multifamily bus9ess ( an ent]prise 9 a mann] consi/5t )-- 7#a7 ! e/abli%m5t ( a well-function+ multifamily cov]$ security m>ket2 7#b7 ! provision ( broad access to multifamily f9anc+2 & 7#c7 facilitat+ competition 9 ! multifamily cov]$ security m>ket by-- 7,a7 provid+ op5 access to p]=mance in=mation on ! legacy multifamily bus9ess ( an ent]prise2 7,b7 provid+ = reasonable lic5s+ ( ! multifamily propriet>y sy/ems ( an ent]prise2 & 7,c7 sett+ m>ket %>e limitations1 fees1 or additional capital /&>ds on multifamily bus9ess assets t 7 sold1 transf]r$1 or dispos$4 #gjc4 ,approval & sup]vision ( multifamily gu>antors 7a7 ,/&>ds = approval ( multifamily gu>antors 7#a7 ,9 g5]al ,! ,corporation %all develop1 adopt1 & publi% /&>ds = ! approval by ! ,corporation ( multifamily gu>antors to-- 7,a7 issue multifamily cov]$ securities2 & 7,b7 gu>antee ! timely paym5t ( pr9cipal & int]e/ on multifamily cov]$ securities collat]aliz$ by eligible multifamily mortgage loans & insur$ by ! ,corporation4 7#b7 ,requir$ /&>ds ,! /&>ds requir$ "u p>agraph 7#a7 %all include-- 7,a7 ! f9ancial hi/ory & condition ( ! multifamily gu>antor2 7,b7 a requirem5t t ! multifamily gu>antor ma9ta9 capital levels z def9$ by ! ,corporation1 pursuant to subsection 7h72 7,c7 ! capability ( ! managem5t ( ! multifamily gu>antor2 7,d7 ! g5]al "* & fitness ( ! (fic]s & directors ( ! multifamily gu>antor1 includ+ ! compliance hi/ory ( ! multifamily gu>antor's (fic]s & directors ) ,f$]al & ,/ate laws & ! rules & regulations promulgat$ by self-regulatory organizations 7z def9$ 9 section #c7;a77#bf7 ( ! ,securities ,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4 #gh;c7a77#bf771 z applicable2 7,e7 ! risk pres5t$ by ! multifamily gu>antor to ! ,mortgage ,insurance ,fund2 7,f7 ! adequacy ( insurance & fidelity cov]age ( ! multifamily gu>antor2 7,g7 ! ability ( ! multifamily gu>antor to-- 7i7 ensure t eligible multifamily mortgage loans t collat]alize a multifamily cov]$ security insur$ "u ?is ,act are orig9at$ 9 compliance ) ! requirem5ts ( ?is ,act2 7ii7 ov]see multifamily s]vic]s & specialty s]vic]s conduct+ s]vic+ activities on eligible multifamily mortgage loans1 :i* may be gov]n$ "u ! t]ms ( sell]-s]vic] guides 9 effect at ei!r ( ! ent]prises on ! date ( enactm5t ( ?is ,act2 & 7iii7 ov]see c\nt]p>ties 9 cr$it risk-%>+ transactions2 7,h7 ! capacity ( ! multifamily gu>antor to take ! fir/ loss position1 p>i passu position1 or transf] inve/m5t risk & cr$it risk to private m>ket hold]s2 7,i7 t ! multifamily gu>antor has ! capacity to gu>antee eligible multifamily mortgage loans 9 a mann] t fur!rs ! purposes ( ! ,corporation z describ$ 9 section #bja7;b77#e72 7,j7 a requirem5t t ! multifamily gu>antor submit audit$ f9ancial /atem5ts to ! ,corporation2 7,k7 t ! multifamily gu>antor does n orig9ate eligible multifamily mortgage loans & is n an affiliate ( a p]son t actively engages 9 ! bus9ess ( orig9at+ eligible multifamily mortgage loans2 & 7,l7 a requirem5t t ! multifamily gu>antor has ! capacity to meet ! requirem5t ( section #gjd4 7#c7 ,consultation & coord9ation ,to promote consi/5cy & m9imize regulatory conflict1 ! ,corporation %all consult & coord9ate ) appropriate ,f$]al & ,/ate regulators & (ficials :5 develop+ /&>ds pursuant to ?is subsection4 7b7 ,application & approval 7#a7 ,application process 7,a7 ,9 g5]al ,! ,corporation %all e/abli% an application process1 9 su* =m & mann] & requir+ su* in=mation z ! ,corporation may require1 = ! approval ( a multifamily gu>antor "u ?is section4 7,b7 ,application review ,! ,corporation %all e/abli% int]nal timel9es = its process+ ( an application "u ?is section1 includ+ timel9es = any action to approve or to d5y an application "u ?is section4 7,c7 ,prohibition on control by insur$ depository in/itutions or affiliates ( insur$ depository in/itutions 7i7 ,9 g5]al ,x %all be unlawful = an insur$ depository in/itution or an affiliate ( an insur$ depository in/itution to control an approv$ multifamily gu>antor4 7ii7 ,rule ( con/ruction reg>d+ control ,= purposes ( ?is subp>agraph1 any insur$ depository in/itution or affiliate ( an insur$ depository in/itution has control ov] an approv$ multifamily gu>antor if ! company directly or indirectly or act+ ?r\gh #a or m o!r p]sons owns1 controls1 or has p[] to vote #aj p]c5t or m ( any class ( vot+ %>es ( ! approv$ multifamily gu>antor4 7,d7 ,exp$it$ application process ,! ,corporation may e/abli% an exp$it$ application process = an applicant apply+ to become an approv$ multifamily gu>antor1 provid$ t any su* applicant-- 7i7 proposes to use a cr$it risk-%>+ me*anism approv$ "u subsection 7c72 & 7ii7 o!rwise meets ! requirem5ts ( ?is section4 7#b7 ,approval ,! ,corporation may approve any application made pursuant to p>agraph 7#a71 provid$ ! multifamily gu>antor meets ! /&>ds e/abli%$ "u subsection 7a74 7#c7 ,d5ial ,! ,corporation %all h ! au?ority to d5y any application made pursuant to p>agraph 7#a7 if an (fic] or director ( ! multifamily gu>antor has1 at any "t prior to ! date ( ! approval ( su* application1 be5-- 7,a7 subject to a /atutory disqualification pursuant to section #c7;a77#ci7 ( ! ,securities ,ex*ange ,act ( #aicd 7#ae ,u4,s4,c4 #gh;c7a77#ci772 or 7,b7 susp5d$1 remov$1 or prohibit$ f p>ticipation pursuant to section #h7;g7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7;g771 prohibit$ f c]ta9 action pursuant to p>agraphs 7#f7 or 7#g7 ( section #h7;e7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7;e771 subject to an action result+ 9 a writt5 agreem5t or o!r writt5 /atem5t "u section #h7u77#a7 ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7u77#a771 = :i* a violation may be en=c$ by an appropriate ,f$]al bank+ ag5cy1 or subject to any f9al ord] issu$ ) respect to any adm9i/rative en=cem5t proce$+ initiat$ by su* ag5cy "u section #h ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah74 7#d7 ,notice & publication ,! ,corporation %all-- 7,a7 provide prompt notice to a multifamily gu>antor ( ! approval or d5ial ( any application ( ! multifamily gu>antor to become an approv$ multifamily gu>antor "u ?is section2 7,b7 publi% a notice 9 ! ,f$]al ,regi/] ^u approval ( any multifamily gu>antor2 & 7,c7 ma9ta9 an updat$ li/ ( approv$ multifamily gu>antors on ! website ( ! ,corporation4 7c7 ,cr$it risk-%>+ me*anisms 7#a7 ,consid]ation & approval ,! ,corporation %all-- 7,a7 consid] & approve cr$it risk-%>+ me*anisms t may be employ$ by an approv$ multifamily gu>antor to manage ! cr$it risk relat$ to gu>antees provid$ = multifamily cov]$ securities2 & 7,b7 approve any cr$it risk-%>+ me*anism und]tak5 by an ent]prise z ( ! date ( enactm5t ( ?is ,act1 includ+-- 7i7 ! ,delegat$ ,und]writ+ & ,s]vic+ ,l5d] ,program e/abli%$ by ! ,f$]al ,national ,mortgage ,association2 7ii7 ! ,k ,s]ies ,/ructur$ ,pass-,?r\gh ,c]tificates orig9at$ & (f]$ "u ! ,program ,plus ,l5d] ,program e/abli%$ by ! ,f$]al ,home ,loan ,mortgage ,corporation2 7iii7 any o!r program1 activity1 or contractual agreem5t ( an ent]prise t supports ! ent]prise's provision ( liquidity to ! multifamily h\s+ m>ket2 & 7iv7 any cr$it risk-%>+ me*anism bas$ on ! me*anisms describ$ 9 clause 7i71 7ii71 or 7iii71 ) modifications approv$ by ! ,corporation4 7#b7 ,rule ( ,con/ruction ,no?+ 9 p>agraph 7#a7 %all be con/ru$ to-- 7,a7 prev5t private m>ket hold]s f tak+ a fir/ loss position on multifamily cov]$ securities gu>ante$ by an approv$ multifamily gu>antor2 or 7,b7 limit an approv$ multifamily gu>antor f engag+ 9 o!r =ms ( risk-%>+ us+ me*anisms t h n be5 consid]$ or approv$ by ! ,corporation4 7#c7 ,report ,ea* report requir$ by section #cjb7;b77#e7 %all include a description ( ea* cr$it risk-%>+ me*anism approv$ by ! ,corporation pursuant to ?is subsection4 7#d7 ,notice & publication ,! ,corporation %all-- 7,a7 provide prompt notice to any p]son seek+ approval = a cr$it risk-%>+ me*anism ( ! approval or d5ial ( t cr$it risk-%>+ me*anism "u ?is subsection2 & 7,b7 make available updat$ in=mation reg>d+ approv$ cr$it risk-%>+ me*anisms on ! website ( ! ,corporation4 7#e7 ,applicability ( ! ,commodity ,ex*ange ,act & ,securities ,act ( #aicc 7,a7 ,exemption f ! ,commodity ,ex*ange ,act2 prior consultation requir$ 7i7 ,exemption ,no c\nt]p>ty t ent]s into a swap1 z t t]m is def9$ 9 section #a;a ( ! ,commodity ,ex*ange ,act 7#g ,u4,s4,c4 #a;a71 = purposes ( /ructur+ any cr$it risk-%>+ me*anism t is approv$ by ! ,corporation pursuant to ?is section1 :i* cr$it risk-%>+ me*anism is design$ to be us$ or is us$ by a private m>ket hold] to assume losses & to r$uce ! specific risks aris+ f losses realiz$ "u su* cr$it risk-%>+ me*anism associat$ ) any multifamily cov]$ security insur$ 9 accordance ) section #cjc or section #cje1 %all be deem$1 by reason ( su* swap transaction1 to be a commodity pool1 z t t]m is def9$ 9 section #a;a ( ! ,commodity ,ex*ange ,act 7#g ,u4,s4,c4 #a;a74 7ii7 ,prior consultation requir$ ,be=e approv+ any cr$it risk-%>+ me*anism t w\ld be exempt f ! ,commodity ,ex*ange ,act pursuant to subp>agraph 7,a71 ! ,corporation %all consult ) ! ,commodity ,futures ,trad+ ,commission4 7,b7 ,exemption f section #bg;,b ( ! ,securities ,act ( #aicc2 prior consultation requir$ 7i7 ,exemption ,any cr$it risk-%>+ me*anism t is approv$ by ! ,corporation pursuant to ?is section1 :i* cr$it risk-%>+ me*anism is design$ to be us$ or is us$ by a private m>ket hold] to assume losses & to r$uce ! specific risks aris+ f losses realiz$ "u su* cr$it risk-%>+ me*anism associat$ ) any multifamily cov]$ security insur$ 9 accordance ) section #cjc or section #cje1 %all be exempt f section #bg;,b ( ! ,securities ,act ( #aicc 7#ae ,u4,s4,c4 #ggz-#b;a74 7ii7 ,prior consultation requir$ ,be=e approv+ any cr$it risk-%>+ me*anism t w\ld be exempt f section #bg;,b ( ! ,securities ,act ( #aicc pursuant to subp>agraph 7,a71 ! ,corporation %all consult ) ! ,securities & ,ex*ange ,commission4 7d7 ,requirem5t to ma9ta9 approval /atus 7#a7 ,au?ority to issue ord] ,if ! ,corporation det]m9es t an approv$ multifamily gu>antor approv$ "u ?is section no long] meets ! /&>ds = su* approval or violates a requirem5t "u ?is ,act1 includ+ any /&>d1 regulation1 or ord] promulgat$ 9 accordance ) ?is ,act1 ! ,corporation may-- 7,a7 susp5d or revoke ! approv$ /atus ( ! approv$ multifamily gu>antor2 or 7,b7 take any o!r action ) respect to su* approv$ multifamily gu>antor z may be au?oriz$ "u ?is ,act4 7#b7 ,rule ( con/ruction ,! susp5sion or revocation ( ! approv$ /atus ( an approv$ multifamily gu>antor "u ?is section %all h no effect on ! /atus z a multifamily cov]$ security ( any multifamily cov]$ security collat]aliz$ by eligible multifamily mortgage loans ) :i* ! approv$ multifamily gu>antor contract$ prior to ! susp5sion or revocation4 7#c7 ,publication ,! ,corporation %all-- 7,a7 promptly publi% a notice 9 ! ,f$]al ,regi/] ^u susp5sion or revocation ( ! approval ( any approv$ multifamily gu>antor2 & 7,b7 ma9ta9 an updat$ li/ ( su* approv$ multifamily gu>antors on ! website ( ! ,corporation4 7#d7 ,def9ition ,9 ?is subsection1 ! t]m violate includes any action1 tak5 alone or ) o!rs1 = or t[>d caus+1 br++ ab\t1 p>ticipat+ 91 c\nsel+1 or aid+ or abett+1 a violation ( ! requirem5ts "u ?is ,act4 7e7 ,prud5tial /&>ds = sup]vision ,! ,corporation %all prescribe prud5tial /&>ds = approv$ multifamily gu>antors 9 ord] to-- 7#a7 ensure-- 7,a7 ! safety & s\ndness ( approv$ multifamily gu>antors2 & 7,b7 ! ma9t5ance ( approval /&>ds by approv$ multifamily gu>antors2 & 7#b7 m9imize ! risk pres5t$ to ! ,mortgage ,insurance ,fund4 7f7 ,reports & exam9ations ,= purposes ( det]m9+ :e!r an approv$ multifamily gu>antor is fulfill+ ! requirem5ts "u ?is ,act1 ! ,corporation %all h ! au?ority to require reports f & exam9e an approv$ multifamily gu>antor1 9 ! same mann] & to ! same ext5t z ! ,f$]al ,deposit ,insurance ,corporation has ) respect to an insur$ depository in/itution "u ! provisions ( subsection 7a7 ( section #i ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahai74 7g7 ,en=cem5t ,! ,corporation %all h ! au?ority to en=ce ! provisions ( ?is ,act ) respect to an approv$ multifamily gu>antor1 9 ! same mann] & to ! same ext5t z ! ,f$]al ,deposit ,insurance ,corporation has ) respect to an insur$ depository in/itution "u ! provisions ( subsections 7b7 ?r\gh 7n7 ( section #h ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah74 7h7 ,capital /&>ds 7#a7 ,9 g5]al ,pursuant to ! requirem5t to e/abli% capital & relat$ solv5cy /&>ds "u section #cji7;b71 ! ,corporation %all e/abli% /&>ds = approv$ multifamily gu>antors z foll[s3 7,a7 ,gu>antor activities ,! capital /&>d = eligible multifamily mortgage loans t collat]alize multifamily cov]$ securities insur$ by ! ,corporation %all require an approv$ multifamily gu>antor to hold #aj p]c5t capital4 7,b7 ,aggregation activities ,an approv$ multifamily gu>antor %all hold capital 9 an am\nt comp>able to t :i* is requir$ to be held by insur$ depository in/itutions & _! affiliates ) respect to _! applicable aggregat+ activities4 7,c7 ,solv5cy levels ,an approv$ multifamily gu>antor %all ma9ta9 solv5cy levels adequate = ! approv$ multifamily gu>antor to )/& losses t might be incurr$ by ! approv$ multifamily gu>antor 9 a p]iod ( economic /ress1 includ+ national & regional multifamily h\s+ price decl9es1 su* z ^? obs]v$ dur+ mod]ate to sev]e recessions 9 ! ,unit$ ,/ates4 7#b7 ,risk-%>+ consid]ations 7,a7 ,9 g5]al ,= purposes ( p>agraph 7#a77;,a71 ! ,corporation %all consid] ! ext5t1 am\nt1 & =m ( risk-%>+ & risk mitigation ?r\gh ! use by approv$ multifamily gu>antors ( cr$it risk-%>+ me*anisms approv$ pursuant to subsection 7c74 ,! ,corporation %all all[ su* risk-%>+ & risk mitigation to fulfill requir$ am\nts ( capital to be held "u p>agraph 7#a77;,a7 :ile ma9ta9+ an appropriate /ructure ( capital z det]m9$ by ! ,corporation4 7,b7 ,equival5t treatm5t ,= purposes ( p>agraph 7#b77;,a71 ! ,corporation %all seek to ensure equival5t capital treatm5t betwe5 approv$ cr$it risk-%>+ me*anisms approv$ "u subsection 7c7 ) simil> p]=mance hi/ories4 7#c7 ,o!r consid]ation ,to reflect ! diff]5ces betwe5 s+le-family & multifamily bus9esses1 ! capital /&>ds e/abli%$ "u p>agraph 7#a77;,a7 may diff] f ! capital /&>ds e/abli%$ "u section #caa = approv$ gu>antors4 7#d7 ,/ress te/s ,! ,corporation %all conduct appropriate /ress te/s ( ea* approv$ multifamily gu>antor t has total assets ( m ?an #aj1jjj1jjj1jjj1 provid$ t su* /ress te/s %all be-- 7,a7 specifically tailor$ to ! bus9ess model ( ! approv$ multifamily gu>antor2 & 7,b7 utiliz$ to-- 7i7 ensure ! safety & s\ndness ( ! approv$ multifamily gu>antor2 & 7ii7 m9imize ! risk ! approv$ multifamily gu>antor may pres5t to ! ,mortgage ,insurance ,fund4 7i7 ,resolution au?ority = fail+ multifamily gu>antors 7#a7 ,9 g5]al ,not)/&+ any o!r provision ( ,f$]al law1 ! law ( any ,/ate1 or ! con/itution ( any ,/ate1 ! ,corporation %all-- 7,a7 h ! au?ority to act1 9 ! same mann] & to ! same ext5t1 ) respect to an approv$ multifamily gu>antor z ! ,f$]al ,deposit ,insurance ,corporation has ) respect to an insur$ depository in/itution "u subsections 7c7 ?r\gh 7s7 ( section #aa ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahba71 section #ab ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahbb71 & section #ac ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahbc71 :ile tailor+ su* actions to ! specific bus9ess model ( ! approv$ multifamily gu>antor1 z may be necess>y to prop]ly ex]cise su* au?ority "u ?is subsection2 7,b7 9 c>ry+ out any au?ority provid$ 9 subp>agraph 7,a71 act1 9 ! same mann] & to ! same ext5t1 ) respect to ! ,mortgage ,insurance ,fund z ! ,f$]al ,deposit ,insurance ,corporation may act ) respect to ! ,deposit ,insurance ,fund "u ! provisions ( ! ,f$]al ,deposit ,insurance ,act set =? 9 subp>agraph 7,a72 7,c7 prescribe regulations gov]n+ ! applicable rights1 duties1 & obligations ( an approv$ multifamily gu>antor plac$ into resolution "u ?is subsection1 its cr$itors1 c\nt]p>ties1 & o!r p]sons1 z ! ,corporation deems necess>y to prop]ly ex]cise ! au?ority provid$ 9 subp>agraph 7,a72 7,d7 consi/5t ) ! au?orities provid$ 9 subp>agraph 7,a71 imm$iately place an insolv5t approv$ multifamily gu>antor into receiv]%ip2 & 7,e7 ^u plac+ an approv$ multifamily gu>antor into receiv]%ip1 treat multifamily cov]$ securities insur$ by ! ,corporation "u section #cjc 9 ! same mann] z ! ,f$]al ,deposit ,insurance ,corporation treats deposit liabilities "u section #aa7;d77#aa77;,a77ii7 ( ! ,f$]al ,deposit ,insurance ,act & insur$ deposits "u section #aa7;f7 ( ! ,f$]al ,deposit ,insurance ,act1 :]e ! ,corporation %all h ! same "r ( subrogation z ! ,f$]al ,deposit ,insurance ,corporation has "u section #aa7;g7 ( ! ,f$]al ,deposit ,insurance ,act4 7#b7 ,lea/-co/ resolution requir$ ,! ,corporation may n ex]cise any au?ority "u p>agraph 7#a7 ) respect to any approv$ multifamily gu>antor unless ! total am\nt ( ! exp5ditures by ! ,corporation & obligations incurr$ by ! ,corporation 9 connection ) ! ex]cise ( any su* au?ority ) respect to su* approv$ multifamily gu>antor is ! lea/ co/ly to ! ,mortgage ,insurance ,fund1 consi/5t ) ! lea/ co/ approa* specifi$ 9 ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahaa et seq471 ( all possible me?ods = meet+ ! ,corporation's obligations "u ?is ,act & exp$iti\sly conclud+ its resolution activities1 subject to section #ac ( ! ,f$]al ,deposit ,insurance ,act :]e ! ,corporation & ! ,bo>d ( ,directors %all h ! same au?ority z ! ,f$]al ,deposit ,insurance ,corporation & ! ,f$]al ,deposit ,insurance ,corporation's bo>d ( directors4 7#c7 ,taxpay] protection ,! ,corporation1 9 c>ry+ out any au?ority provid$ 9 ?is subsection1 %all prescribe regulations to ensure t any am\nts ow$ to ! ,unit$ ,/ates1 unless ! ,unit$ ,/ates agrees or cons5ts o!rwise1 %all h priority foll[+ adm9i/rative exp5ses ( ! receiv] :5 satisfy+ unsecur$ claims aga9/ an approv$ multifamily gu>antor1 or ! receiv] !re=1 t are prov5 to ! satisfaction ( ! receiv]4 7j7 ,he>+ ,^u notice ( d5ial ( an application = approval "u subsection 7b7 or ^u a notice ( susp5sion or revocation ( ! approv$ /atus ( an approv$ multifamily gu>antor "u subsection 7d71 ! applicant or approv$ multifamily gu>antor %all be af=d$ a he>+ "u subsection 7h7 ( section #h ( ! ,f$]al ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahah7;h771 9 ! same mann] & to ! same ext5t z if ! ,corporation 7 ! appropriate ,f$]al bank+ ag5cy1 provid$ t ! approv$ multifamily gu>antor submits a reque/ to ! ,corporation = a he>+ n lat] ?an #aj days aft] ! date on :i* ! notice is publi%$ "u subsection 7b77#c7 or 7d77#c74 7k7 ,prohibit$ activity ,an approv$ multifamily gu>antor may n-- 7#a7 orig9ate eligible multifamily mortgage loans2 or 7#b7 be an affiliate ( a p]son t actively engages 9 ! bus9ess ( orig9at+ eligible multifamily mortgage loans4 7l7 ,gu>antors requir$ to pay claims ,subject to su* /&>ds z ! ,corporation may provide1 an approv$ multifamily gu>antor may n = any reason )hold paym5t ( funds t w\ld ensure hold]s ( multifamily cov]$ securities receive timely paym5t ( pr9cipal & int]e/ on multifamily cov]$ securities4 ,! ,corporation %all by regulation develop a process = ! m$iation & resolution ( disput$ paym5t am\nts4 #gjd4 ,multifamily h\s+ requirem5t 7a7 ,9 g5]al ,ea* approv$ multifamily gu>antor %all ensure1 dur+ ea* cal5d> ye>1 t at lea/ #fj p]c5t ( ! r5tal h\s+ units :i* are conta9$ 9 ! eligible multifamily mortgage loans t collat]alize all multifamily cov]$ securities gu>ante$ by ea* su* approv$ multifamily gu>antor dur+ ! previ\s #bd-mon? p]iod 71 at ! "t ( orig9ation1 af=dable to l[-income families4 7b7 ,det]m9ation ( af=dability ( r5tal h\s+ units ,= purposes ( subsection 7a71 ! af=dability ( r5tal h\s+ units conta9$ 9 an eligible multifamily mortgage loan %all be det]m9$ at ! "t ( loan commitm5t by us+-- 7#a7 ! mo/ rec5t r5t roll = an occupi$ prop]ty2 or 7#b7 9 ! case ( r5tal h\s+ units t are newly con/ruct$ or sub/antially rehabilitat$1 a f9al pro-=ma r5t roll4 7c7 ,det]m9ation ( compliance ,! ,corporation %all det]m9e1 dur+ ea* cal5d> ye>1 :e!r ea* approv$ multifamily gu>antor has compli$ ) ! requirem5t "u subsection 7a74 7d7 ,susp5sion or adju/m5t 7#a7 ,9 g5]al ,! ,corporation may susp5d or adju/ ! requirem5t "u subsection 7a7 = an approv$ multifamily gu>antor or gu>antors-- 7,a7 dur+ a p]iod ( unusual & exig5t m>ket conditions 9 ! multifamily h\s+ m>ket z det]m9$ pursuant to section #cje2 or 7,b7 ei!r-- 7i7 pursuant to in=mation available to ! ,corporation demon/rat+ adv]se m>ket conditions 9 ! multifamily h\s+ m>ket2 or 7ii7 pursuant to a writt5 reque/ to susp5d or adju/ ! requirem5t "u subsection 7a7 made by an approv$ multifamily gu>antor1 :i* ! ,corporation may grant 9 :ole or 9 "p4 7#b7 ,crit]ia = susp5sion or adju/m5t ,! ,corporation may susp5d or adju/ ! requirem5t "u subsection 7a7 pursuant to p>agraph 7#a77;,b7 only if-- 7,a7 m>ket & economic conditions require su* an action2 or 7,b7 ef=ts to meet ! requirem5t "u subsection 7a7 w\ld result 9-- 7i7 ! con/ra9t ( liquidity 9 c]ta9 m>ket segm5ts2 7ii7 ov]-inve/m5t 9 c]ta9 m>ket segm5ts2 or 7iii7 o!r consequ5ces contr>y to ! int5t ( ?is section4 7#c7 ,limitation on au?ority ,! ,corporation %all n>r[ly tailor any susp5sion or adju/m5t made "u p>agraph 7#a77;,b7 to address ! m>ket conditions t prompt$ ! susp5sion or adju/m5t4 7#d7 ,det]m9ation 7,a7 ,p]iod = public comm5t ,! ,corporation %all1 promptly ^u a decision to pursue a susp5sion or adju/m5t "u p>agraph 7#a77;,b77i7 or ^u receipt ( a reque/ "u p>agraph 7#a77;,b77ii71 seek public comm5t on ! susp5sion or adju/m5t = a p]iod ( #cj days4 7,b7 ,p]iod = det]m9ation ,! ,corporation %all make a det]m9ation reg>d+ any propos$ susp5sion or adju/m5t )9 #cj days aft] ! expiration ( ! public comm5t p]iod provid$ "u subp>agraph 7,a74 7,c7 ,ext5sions ,! ,corporation may ext5d ! p]iod = det]m9ation provid$ "u subp>agraph 7,b7 = a s+le additional #ae-;day p]iod1 b only if ! ,corporation reque/s additional in=mation f ! approv$ multifamily gu>antor4 7#e7 ,review ( susp5sion or adju/m5t 7,a7 ,annual review ,! ,corporation %all review any susp5sion or adju/m5t made by ! ,corporation "u subp>agraphs 7,a7 or 7,b7 ( p>agraph 7#a7 at lea/ annually to det]m9e :e!r ! susp5sion or adju/m5t satisfies ! crit]ia e/abli%$ "u p>agraph 7#b74 7,b7 ,publication & comm5t ,! ,corporation %all-- 7i7 n less ?an annually1 publi% a li/ ( all susp5sions & adju/m5ts 9 effect "u ?is section2 & 7ii7 seek public comm5t z to ! cont9u$ necessity ( su* susp5sions or adju/m5ts4 7e7 ,mix$ income liquidity /udy & review 7#a7 ,/udy ,n lat] ?an #b ye>s aft] ! date ( enactm5t ( ?is ,act1 & p]iodically or z m>ket conditions w>rant !reaft]1 ! ,corporation %all conduct a /udy ( liquidity 9 ! m>ket = f9anc+ ! new con/ruction or sub/antial rehabilitation ( mix$-income prop]ties conta9+ multifamily units t-- 7,a7 o!rwise qualify "u ! requirem5t "u subsection 7a72 & 7,b7 are f9anc$ by tax-exempt bonds t are issu$ by a ,/ate or local h\s+ f9ance ag5cy4 7#b7 ,adju/m5t to requirem5t ,! ,corporation may adju/ ! requirem5t "u subsection 7a71 subject to ! proc$ures provid$ "u p>agraphs 7#b7 ?r\gh 7#e7 ( subsection 7d71 if ! ,corporation f9ds bas$ on a /udy conduct$ "u p>agraph 7#a7 t-- 7,a7 liquidity is con/ra9$ 9 ! m>ket = eligible multifamily mortgage loans = ! mix$-income prop]ties describ$ 9 p>agraph 7#a72 & 7,b7 x is necess>y to fo/] liquidity 9 t m>ket4 7f7 ,rule ( con/ruction ,no?+ 9 ?is section %all be con/ru$ to au?orize ! ,corporation to require an approv$ multifamily gu>antor to exce$ ! #fj p]c5t requirem5t set =? "u subsection 7a74 7g7 ,def9itions2 applicability to ent]prises ,9 ?is section-- 7#a7 ! t]m approv$ multifamily gu>antor includes an ent]prise or any multifamily subsidi>y e/abli%$ pursuant to section #gja2 7#b7 ! t]m multifamily cov]$ security includes a multifamily mortgage-back$ security gu>ante$ by an ent]prise or any multifamily subsidi>y e/abli%$ pursuant to section #gja2 & 7#c7 ! t]m eligible multifamily mortgage loan includes a multifamily mortgage loan collat]aliz+ a security gu>ante$ by an ent]prise or any multifamily subsidi>y e/abli%$ pursuant to section #gja4 #gje4 ,e/abli%m5t ( small multifamily prop]ty program 7a7 ,pilot program ,! ,corporation %all e/abli% at lea/ #a pilot program1 to be adm9i/]$ by ! ,(fice ( ,multifamily ,h\s+1 9 consultation ) ! ,(fice ( ,consum] & ,m>ket ,access1 to te/ & assess me?ods or products design$ to increase second>y mortgage m>ket access = multifamily prop]ties compris$ ( n m ?an #ej units or ) mortgages n exce$+ #c1jjj1jjj 7z adju/$ = inflation74 7b7 ,activities ,9 adm9i/]+ ! pilot program requir$ "u subsection 7a71 ! ,corporation %all-- 7#a7 review1 & may approve1 proposals f regulat$ entities or approv$ multifamily gu>antors1 includ+ proposals focus$ on l5d+ by small mortgage l5d]s1 to p>ticipate 9 ! pilot program by c>ry+ out activities to decrease b>ri]s to second>y mortgage m>ket access = multifamily prop]ties compris$ ( n m ?an #ej units or ) mortgages n exce$+ #c1jjj1jjj 7z adju/$ = inflation7 ?r\gh new risk-%>+1 p>tn]%ips1 or o!r me*anisms or inc5tives2 & 7#b7 e/abli% requirem5ts gov]n+ ! activities ( ! pilot program1 includ+ requirem5ts ) respect to-- 7,a7 any mid-c\rse alt]ations ( activities p]mitt$ "u ! pilot program1 in=mation %>+1 report+1 & evaluation ( ! results ( a pilot program2 & 7,b7 ! track+ ( any allocations ( am\nts t may be di/ribut$ f ! ,m>ket ,access ,fund4 7c7 ,use ( ,m>ket ,access ,fund ,a regulat$ entity or approv$ multifamily gu>antor t submits a proposal "u subsection 7b7 may reque/1 z "p ( ! proposal1 allocations f ! ,m>ket ,access ,fund z necess>y to support its propos$ activities4 7d7 ,am5dm5ts to pilot program ,! ,corporation may am5d a pilot program e/abli%$ "u subsection 7a7 z ne$$ to accommodate ! multifamily mortgage m>ket4 7e7 ,publication ,! ,corporation %all make publicly available ! results ( a pilot program e/abli%$ "u subsection 7a74 7f7 ,requirem5t ,! ,corporation %all consid] ! results ( a pilot program e/abli%$ "u subsection 7a7 = purposes ( exp&+ & implem5t+ new me*anisms to decrease b>ri]s to second>y mortgage m>ket access = multifamily prop]ties compris$ ( n m ?an #ej units or ) mortgages n exce$+ #c1jjj1jjj 7z adju/$ = inflation74 7g7 ,limitation on fund+ ,! ,corporation may n use funds f ! ,mortgage ,insurance ,fund to fund any pilot program activities conduct$ by a regulat$ entity or approv$ multifamily gu>antor "u ?is section4 #gjf4 ,multifamily h\s+ /udy ,! ,(fice ( ,multifamily ,h\s+ %all conduct a /udy on ! expansion ( ! ,f$]al ,home ,loan ,banks' ,acquir$ ,memb] ,assets 7,,ama7 programs to eligible multifamily mortgage loans4 #gjg4 ,multifamily plat=m /udy 7a7 ,9 g5]al ,n lat] ?an #ah mon?s aft] ! sy/em c]tification date1 ! ,corporation %all conduct a /udy on ! ne$1 feasibility1 co/s1 & m]its ( creat+ a coop]atively-own$1 nonpr(it multifamily issuance plat=m to securitize eligible multifamily mortgage loans4 7b7 ,cont5t ( /udy ,! /udy requir$ "u subsection 7a7 %all address-- 7#a7 competition betwe5 exi/+ approv$ multifamily gu>antors2 7#b7 ! b>ri]s to entry = new multifamily gu>antors2 7#c7 ! co/s associat$ ) develop+ a new plat=m2 7#d7 ! fund+ ( small]-balance multifamily mortgage loans1 includ+ mortgage loans orig9at$ by cr$it unions & community & mid-size banks & o!r small-volume l5d]s 9 rural & o!r und]s]v$ communities2 7#e7 /&>diz$ def9itions & report+ & paym5t requirem5ts2 7#f7 /ability 9 ! multifamily l5d+ m>ket 9 times ( /ress2 & 7#g7 su* o!r in=mation z ! ,corporation det]m9es appropriate to fur!r ! purpose ( ! /udy4 7c7 ,consid]ation ,9 conduct+ ! /udy requir$ "u subsection 7a71 ! ,corporation %all consid] :e!r any id5tifi$ ne$ to e/abli% a multifamily securitization plat=m c & w be met by ! ,plat=m e/abli%$ "u section #cba1 or any subsidi>y or affiliate !re(4 7d7 ,report to ,congress ,n lat] ?an #ah mon?s aft] ! sy/em c]tification date1 ! ,corporation %all submit ! /udy requir$ "u subsection 7a7 to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives4 #gjh4 ,%ort-t]m resid5tial h\s+ 7a7 ,9 g5]al ,section #eac ( ! ,national ,h\s+ ,act 7#ab ,u4,s4,c4 #agca;b7 is am5d$-- 7#a7 9 subsection 7b7-- 7,a7 9 clause 7#a71 by /rik+ or at ! end2 & 7,b7 by ins]t+ be=e ! p]iod at ! end ! foll[+3 1 or 7#c7 ! project is a %ort-t]m resid5tial prop]ty 7z su* t]m is def9$ 9 subsection 7e7 ( ?is section7 & is subject to a mortgage insur$ "u section #bjg1 provid$ t ! ,secret>y has made a det]m9ation pursuant to ! /udy & report requir$ "u section #gjh7;b7 ( ! ,h\s+ ,f9ance ,re=m & ,taxpay] ,protection ,act t ! provision ( su* insurance is appropriate2 & 7#b7 9 subsection 7e7-- 7,a7 9 clause 7#a71 by /rik+ & at ! end2 & 7,b7 by ins]t+ be=e ! p]iod at ! end ! foll[+3 1 & 7#c7 ! t]m %ort-t]m resid5tial prop]ty means multifamily h\s+ t 7,a7 has m ?an #ej dwell+ units t ea* conta9 a kit*51 includ+ a full refrig]ator & cook+ surface1 & ba?room facilities1 7,b7 provides mail boxes = ea* unit1 7,c7 r5ts su* units = a m9imum /ay ( #g days1 & 7,d7 does n provide food or bev]age s]vices1 includ+ 9-room s]vice1 daily maid s]vices1 furni%+ & laund]+ ( l95 )\t *>ge1 or bellhop s]vices4 7b7 ,/udy 7#a7 ,9 g5]al ,n lat] ?an #f mon?s aft] ! date ( enactm5t ( ?is ,act1 ! ,secret>y ( ,h\s+ & ,urban ,developm5t %all-- 7,a7 conduct & complete a /udy evaluat+ ! risk ( ! provision ( insurance "u section #bjg ( ! ,national ,h\s+ ,act 7#ab ,u4,s4,c4 #agac7 = %ort-t]m resid5tial prop]ties2 & 7,b7 submit a report to ! ,committee on ,bank+1 ,h\s+1 & ,urban ,affairs ( ! ,s5ate & ! ,committee on ,f9ancial ,s]vices ( ! ,h\se ( ,repres5tatives1 :i* %all include-- 7i7 ! f9d+s ( ! /udy requir$ "u subp>agraph 7,a72 & 7ii7 a det]m9ation z to :e!r any additional risk pres5t$ to ! ,g5]al ,insurance ,fund result+ f ! provision ( insurance "u section #bjg ( ! ,national ,h\s+ ,act 7#ab ,u4,s4,c4 #agac7 = %ort-t]m resid5tial prop]ties is appropriate4 7#b7 ,cont5ts ( /udy ,9 conduct+ ! /udy requir$ "u p>agraph 7#a77;,a71 ! ,secret>y ( ,h\s+ & ,urban ,developm5t %all-- 7,a7 evaluate :e!r ! provision ( insurance "u section #bjg ( ! ,national ,h\s+ ,act 7#ab ,u4,s4,c4 #agac7 = %ort-t]m resid5tial prop]ties pres5ts additional risk to ! ,g5]al ,insurance ,fund2 & 7,b7 consid] any additional op]ational & logi/ical co/s associat$ ) provid+ su* insurance4 7#c7 ,def9itions ,9 ?is subsection-- 7,a7 ! t]m ,g5]al ,insurance ,fund means ! fund e/abli%$ "u section #eai ( ! ,national ,h\s+ ,act 7#ab ,u4,s4,c4 #agce;c72 & 7,b7 ! t]m %ort-t]m resid5tial prop]ties has ! mean+ giv5 ! t]m "u section #eac7;e77#c7 ( ! ,national ,h\s+ ,act 7#ab ,u4,s4,c4 #agca;b7e77#c774 ,,viii ,g5]al provisions #hja4 ,rule ( con/ruction ,no?+ 9 ?is ,act %all be con/ru$ to alt]1 sup]s$e1 or int]f]e ) ! f9al rul+ ( a c\rt ( compet5t jurisdiction ) respect to any provision ( ! ,s5ior ,pref]r$ ,/ock ,pur*ase ,agreem5t or am5dm5ts !re( ( an ent]prise4 #hjb4 ,sev]ability ,if any provision ( ?is ,act or ! application ( any provision ( ?is ,act to any p]son or circum/ance1 is held invalid1 ! application ( su* provision to o!r p]sons or circum/ances1 & ! rema9d] ( ?is ,act1 %all n be affect$ !reby4 #hjc4 ,transf] notification "u ,,tila 7a7 ,9 g5]al ,section #aca7;g7 ( ! ,tru? 9 ,l5d+ ,act 7#ae ,u4,s4,c4 #afda7;g77 is am5d$ by /rik+ p>agraph 7#b7 & ins]t+ ! foll[+3 7#b7 ,def9itions ,= purposes ( ?is subsection-- 7,a7 ! t]m mortgage loan means any consum] cr$it transaction t is secur$ by ! pr9cipal dwell+ ( a consum]2 7,b7 ! t]m securitiz$ resid5tial mortgage means any resid5tial mortgage loan t s]ves z collat]al = a fix$-income or o!r security t all[s ! hold] ( su* security to receive paym5ts dep5d5t on ! ca% fl[ f su* resid5tial mortgage loan2 & 7,c7 ! t]m s]vic]-- 7i7 has ! mean+ provid$ 9 section #abi;,a1 except t su* t]m includes a p]son :o receives any paym5ts f a mortgagor1 includ+ any am\nts = escr[ acc\nts1 & makes paym5ts to ! own] ( ! loan or o!r ?ird p>ties1 includ+ paym5ts made aft] default1 pursuant to ! t]ms ( ! relevant contracts2 & 7ii7 excludes ,/ate & local h\s+ ag5cies4 4 7b7 ,disclosure ( fees ,section #e7;c77#c7 ( ! ,real ,e/ate ,settlem5t ,proc$ures ,act 7#ab ,u4,s4,c4 #bfje7;c77#c77 is am5d$-- 7#a7 by /rik+ ,any notice requir$ & ins]t+ ! foll[+3 7,a7 ,9 g5]al ,any notice requir$ 2 & 7#b7 by add+ at ! end ! foll[+3 7,b7 ,disclosure ( fees requirem5t ,! transf]ee s]vic] %all provide to ! borr[]1 n m ?an #ae days aft] ! effective date ( transf] ( ! s]vic+ ( ! mortgage loan1 a /atem5t reg>d+ ! loan :i* %[s ! foll[+3 7i7 ,! application ( all paym5ts & *>ges1 includ+ ! date receiv$1 z allocat$ to pr9cipal1 int]e/1 escr[1 & o!r *>ges4 7ii7 ,! /atus ( ! loan z ( ! date ( ! transf] includ+ :e!r ! loan is 9 default & :e!r any loss mitigation application submitt$ by ! borr[] is p5d+4 7iii7 ,an itemization & explanation = all arre>ages claim$ to be due z ( ! date ( ! transf]4 4 7c7 ,safe h>bor = mi/ak5 paym5ts2 fees ,section #aca ( ! ,tru? 9 ,l5d+ ,act 7#ae ,u4,s4,c4 #afda7 is am5d$-- 7#a7 by r$esignat+ subsection 7g7 z subsection 7i72 & 7#b7 by ins]t+ aft] subsection 7f7 ! foll[+3 7g7 ,treatm5t ( mi/ak5 loan paym5ts aft] transf] ,dur+ ! #fj-;day p]iod beg9n+ on ! effective date ( transf] ( ! s]vic+ ( any securitiz$ resid5tial mortgage loan1 a late fee may n be impos$ on ! consum] ) respect to any paym5t on su* loan1 & no su* paym5t may be treat$ z late = any o!r purpose1 if ! paym5t is receiv$ by ! transf]or s]vic] 7r ?an ! transf]ee s]vic] :o %\ld prop]ly receive paym5t7 on or be=e ! applicable due date1 includ+ any grace p]iod all[$ "u ! loan docum5ts4 7h7 ,fee waive ^u transf] 7#a7 ,9 g5]al ,! cr$itor1 new own]1 or assignee ( ! mortgage loan1 by itself or ?r\gh its s]vic]1 may n impose or collect-- 7,a7 any fee t is n li/$ z hav+ be5 incurr$ 9 ! notice to ! consum] ( ! transf] ( s]vic+ ( a securitiz$ resid5tial mortgage loan2 or 7,b7 any fee incurr$ prior to ! effective date ( s]vic+ transf] t is n disclos$ on a p]iodic /atem5t provid$ to ! consum] prior to ! effective date ( s]vic+ transf] ( a securitiz$ resid5tial mortgage loan4 7#b7 ,def9itions ,= purposes ( ?is subsection-- 7,a7 ! t]m securitiz$ resid5tial mortgage means any resid5tial mortgage loan t s]ves z collat]al = a fix$-income or o!r security t all[s ! hold] ( su* security to receive paym5ts dep5d5t on ! ca% fl[ f su* resid5tial mortgage loan2 & 7,b7 ! t]m s]vic]-- 7i7 has ! mean+ provid$ 9 section #abi;,a1 except t su* t]m includes a p]son :o receives any paym5ts f a mortgagor1 includ+ any am\nts = escr[ acc\nts1 & makes paym5ts to ! own] ( ! loan or o!r ?ird p>ties1 includ+ paym5ts made aft] default1 pursuant to ! t]ms ( ! relevant contracts2 & 7ii7 excludes ,/ate & local h\s+ ag5cies4 4 #hjd4 ,inve/m5t au?ority to support rural infra/ructure ,section #aa ( ! ,f$]al ,home ,loan ,bank ,act 7#ab ,u4,s4,c4 #adca7 is am5d$ by add+ at ! end ! foll[+3 7m7 ,mission inve/m5ts = rural infra/ructure ,9 fur!rance ( its mission "u section #e1 ea* ,f$]al ,home ,loan ,bank is au?oriz$ to pur*ase inve/m5t grade securities f nonmemb] coop]ative l5d]s t h receiv$ f9anc+ f ! ,f$]al ,f9anc+ ,bank & t possess demon/rat$ exp]i5ce 9 mak+ loans to rural coop]atives4 ,su* securities %all be secur$ inve/m5ts collat]aliz$ by loans ( ! coop]ative l5d]4 ,! pur*ase ( su* securities %all be at ! sole discretion ( ! ,bank1 consi/5t ) su* regulations1 re/rictions1 & limitations z may be prescrib$ by ! ,bo>d4 4 #hje4 ,consolidation ( simil> h\s+ assi/ance programs 7a7 ,report 7#a7 ,9 g5]al ,n lat] ?an #b ye>s aft] ! date ( enactm5t ( ?is ,act1 ! ,corporation1 ! ,secret>y ( ,h\s+ & ,urban ,developm5t1 ! ,secret>y ( ! ,treasury1 ! ,secret>y ( ,agriculture1 ! ,secret>y ( ,vet]ans ,affairs1 ! ,secret>y ( ,labor1 & ! ,secret>y ( ! ,int]ior %all jo9tly submit to ,congress a report1 :i* %all-- 7,a7 id5tify & evaluate1 bas$ on ne$ & appropriat5ess1 specific opportunities to consolidate simil> h\s+ assi/ance programs1 :i* may include ! programs id5tifi$ 9 ! ,augu/ #bjab ,gov]nm5t ,acc\ntability ,(fice report to ,congress entitl$ ,opportunities ,exi/ to ,increase ,collaboration & ,consid] ,consolidation 7,,gao-#ab-eed72 7,b7 provide recomm5dations to ,congress = legislative action to appropriately /reaml9e1 consolidate1 or elim9ate simil> h\s+ assi/ance programs id5tifi$ & evaluat$ "u subp>agraph 7,a72 & 7,c7 id5tify opportunities = cross-ag5cy collaboration ( h\s+ assi/ance ef=ts4 7#b7 ,accessibility ,! report submitt$ "u p>agraph 7#a7 %all be made available on a publically accessible ,int]net website4 7b7 ,use ( adm9i/rative au?ority 7#a7 ,9 g5]al 7,a7 ,! ,director ( ! ,(fice ( ,managem5t & ,budget %all coord9ate ) ! ,secret>y ( ,h\s+ & ,urban ,developm5t1 ! ,secret>y ( ! ,treasury1 ! ,secret>y ( ,agriculture1 ! ,secret>y ( ,vet]ans ,affairs1 ! ,secret>y ( ,labor1 & ! ,secret>y ( ! ,int]ior to consid] & evaluate opportunities to elim9ate1 consolidate1 or /reaml9e h\s+ assi/ance programs4 7,b7 ,! ,director ( ! ,(fice ( ,managem5t & ,budget1 9 coord9ation ) ! ,secret>y ( ,h\s+ & ,urban ,developm5t1 ! ,secret>y ( ! ,treasury1 ! ,secret>y ( ,agriculture1 ! ,secret>y ( ,vet]ans ,affairs1 ! ,secret>y ( ,labor1 & ! ,secret>y ( ! ,int]ior1 %all elim9ate1 consolidate1 or /reaml9e any programs id5tifi$ "u subp>agraph 7,a7 :i* !y f9d appropriate4 7#b7 ,co/ sav+s ,any adm9i/rative co/ sav+s result+ f ! consolidation1 elim9ation1 or /reaml9+ ( h\s+ assi/ance programs "u p>agraph 7#a7 %all be transf]r$ z foll[s3 7,a7 #ej p]c5t to ! ,h\s+ ,tru/ ,fund e/abli%$ "u section #acch ( ! ,f$]al ,h\s+ ,ent]prises ,f9ancial ,safety & ,s\ndness ,act ( #aiib 7#ab ,u4,s4,c4 #defh74 7,b7 #ej p]c5t to ! ,g5]al ,fund ( ! ,treasury to be us$ = deficit r$uction4 7#c7 ,report ,! ,director ( ! ,(fice ( ,managem5t & ,budget %all submit to ,congress a report on an annual basis ( any actions tak5 to /reaml9e simil> h\s+ assi/ance programs1 & ! co/ sav+s result+ f su* actions4 7c7 ,rule ( con/ruction ,no?+ 9 ?is section %all be con/ru$ to grant ! ,director ( ! ,(fice ( ,managem5t & ,budget1 ! ,secret>y ( ,h\s+ & ,urban ,developm5t1 ! ,secret>y ( ! ,treasury1 ! ,secret>y ( ,agriculture1 ! ,secret>y ( ,vet]ans ,affairs1 ! ,secret>y ( ,labor1 or ! ,secret>y ( ! ,int]ior any additional au?ority to elim9ate1 consolidate1 or /reaml9e h\s+ assi/ance programs t !y did n h prior to ! date ( enactm5t ( ?is ,act4 #hjf4 ,bureau ( ,consum] ,f9ancial ,protection review2 ,,gao report 7a7 ,bureau ( ,consum] ,f9ancial ,protection review 7#a7 ,9 g5]al ,except z provid$ 9 p>agraph 7#b71 n lat] ?an #c mon?s aft] ! date ( enactm5t ( ?is ,act1 ! ,bureau ( ,consum] ,f9ancial ,protection %all1 aft] review+ relevant data & consult+ ) /akehold]s1 includ+ repres5tatives ( ! manufactur$ h\s+ indu/ry & repres5tatives ( consum]s & home[n]s1 consid] & review ! application ( subsections 7bb7 & 7cc7 ( section #ajc ( ! ,tru? 9 ,l5d+ ,act 7#ae ,u4,s4,c4 #afjb7 to manufactur$ h\s+ loans1 includ+-- 7,a7 ! annual p]c5tage rate cov]age te/ = high-co/ mortgages2 7,b7 ! total po9ts & fees cov]age te/ = high-co/ mortgages2 & 7,c7 ! def9ition ( ! t]m mortgage orig9ator4 7#b7 ,exception ,! ,bureau ( ,consum] ,f9ancial ,protection %all n be requir$ to conduct ! review "u p>agraph 7#a7 if ! ,bureau does n receive relevant data relat+ to ! review t 0 n previ\sly submitt$ to ! ,bureau on or be=e ,janu>y #ca1 #bjac4 7#c7 ,rule ( con/ruction ,no?+ 9 p>agraph 7#a7 %all be con/ru$ to require ! ,bureau ( ,consum] ,f9ancial ,protection to engage 9 rulemak+1 includ+ rulemak+ to modify any rule relat+ to subsection 7bb7 or 7cc7 ( section #ajc ( ! ,tru? 9 ,l5d+ ,act 7#ae ,u4,s4,c4 #afjb74 7b7 ,,gao report ,n lat] ?an #aj mon?s aft] ! date ( enactm5t ( ?is ,act1 ! ,comptroll] ,g5]al ( ! ,unit$ ,/ates %all conduct a /udy & issue a report to ,congress on ! manufactur$ h\s+ loan m>ket1 :i* %all include an analysis (-- 7#a7 ! loan products available 9 ! manufactur$ h\s+ loan m>ket & ! p]=mance ( ^? products1 :i* %all include a review ( ! und]writ+ /&>ds & portfolios ( cr$itors t orig9ate manufactur$ h\s+ loans1 su* z depository in/itutions & f9ance companies2 7#b7 ! *>act]i/ics ( borr[]s t p>ticipate 9 ! manufactur$ h\s+ loan m>ket1 includ+-- 7,a7 ! cr$itwor?9ess ( ! borr[]2 7,b7 ! usage patt]n ( ! borr[]2 & 7,c7 ! process = evaluat+ & comp>+ loan products prior to pur*ase2 & 7#c7 ! pot5tial impact on access to mortgage cr$it = manufactur$ h\s+ loans if subsections 7bb7 & 7cc7 ( section #ajc ( ! ,tru? 9 ,l5d+ ,act 7#ae ,u4,s4,c4 #afjb7 7 appli$ to manufactur$ h\s+ loans1 includ+-- 7,a7 ! annual p]c5tage rate cov]age te/ = high-co/ mortgages2 7,b7 ! total po9ts & fees cov]age te/ = high-co/ mortgages2 7,c7 ! def9ition ( mortgage orig9ator2 7,d7 borr[] del9qu5cy & default 9 ! manufactur$ h\s+ loan m>ket2 & 7,e7 competition 9 ! manufactur$ h\s+ loan m>ket4 #hjg4 ,det]m9ation ( budget>y effects ,! budget>y effects ( ?is ,act1 = ! purpose ( comply+ ) ! ,/atutory ,pay-,z-,y-,g ,act ( #bjaj1 %all be det]m9$ by ref]5ce to ! late/ /atem5t titl$ ,budget>y ,effects ( ,,paygo ,legislation = ?is ,act1 submitt$ = pr9t+ 9 ! ,congressional ,record by ! ,*airman ( ! ,s5ate ,budget ,committee1 provid$ t su* /atem5t has be5 submitt$ prior to ! vote on passage4 ,septemb] #ah1 #bjad,report$ ) an am5dm5t