,,ii #aaith ,,congress #ast ,session ,s4 #adci ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,april #aj1 #bjbe,ms4 ,cortez ,masto introduced the following bill2 which was read twice and referred to the ,committee on ,banking1 ,housing1 and ,urban ,affairs ,a ,,bill ,to reaffirm and improve the participation of members of the ,federal ,home ,loan ,bank ,system to meet the short- and long-term housing1 including affordable housing1 agricultural and small business lending1 and community economic development financing needs of the communities they serve1 including rural1 urban1 low-income1 and ,tribal communities1 improve the ability of community development financial institutions and credit unions to meet community economic development financing needs for their communities1 and aligning executive compensation to mission achievements1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,federal ,home ,loan ,banks' ,mission ,activities ,act4 #b4 ,purpose ,the purpose of this ,act is to reaffirm and improve the participation of members of the ,federal ,home ,loan ,bank ,system in financing that meets the short- and long-term housing1 including affordable housing1 agricultural1 and small business lending and community economic development financing needs of the communities they serve1 including rural1 urban1 low-income and ,tribal communities1 by-- 7#a7 expanding the ability of the ,federal ,home ,loan ,banks to support the housing1 including affordable housing1 small business1 agricultural and economic development activities of the members of the ,federal ,home ,loan ,banks1 including credit unions1 community development financial institutions1 insurance companies1 and housing finance agencies2 7#b7 clarifying that the ,federal ,home ,loan ,bank ,act 7#ab ,u4,s4,c4 #adba et seq47 permits a broad range of activities that enable the ,federal ,home ,loan ,banks to support the housing and community development activities of their members1 including providing grants1 subsidized financing and advances1 and credit enhancement2 and 7#c7 simplifying executive compensation and aligning it with mission achievements4 #c4 ,adding credit unions and community development financial institutions to the definition of community financial institutions ,section #b7aj7 of the ,federal ,home ,loan ,bank ,act 7#ab ,u4,s4,c4 #adbb7aj77 is amended-- 7#a7 in subparagraph 7,a71 by striking clauses 7i7 and 7ii7 and inserting the following3 7i7 7,i7 the deposits of which are insured under the ,federal ,deposit ,insurance ,act 7#ab ,u4,s4,c4 #ahaa et seq47 or the ,federal ,credit ,union ,act 7#ab ,u4,s4,c4 #agea et seq471 or that qualifies under section #d7;a77#e7 to be treated as an insured depository institution for purposes of determining eligibility for membership2 and 7,,ii7 that has1 as of the date of the transaction at issue1 less than #a1jjj1jjj1jjj in average total assets1 based on an average of total assets over the #c years preceding that date2 or 7ii7 that has been certified as a community development financial institution 7as defined in section #ajc of the ,riegle ,community ,development and ,regulatory ,improvement ,act of #aiid 7#ab ,u4,s4,c4 #dgjb77 by the ,secretary of the ,treasury4 2 and 7#b7 in subparagraph 7,b71 by striking 7,a77ii7 and inserting 7,a77i77,,ii74 #d4 ,affordable housing program ,section #aj of the ,federal ,home ,loan ,bank ,act 7#ab ,u4,s4,c4 #adcj7 is amended-- 7#a7 in the section heading1 by inserting and grants after ,advances2 and 7#b7 in subsection 7j7-- 7,a7 by striking paragraph 7#a7 and inserting the following3 7#a7 ,in general ,pursuant to regulations promulgated by the ,director1 each ,bank shall establish an affordable housing program 7in this subsection referred to as the ,program7 to finance long-term1 low- or moderate-income1 owner-occupied and affordable rental housing by subsidizing the interest rate on advances1 or providing grants1 to members1 provided that the interest rate on any loan issued by a member and funded by a subsidized ,bank advance shall also be subsidized4 2 7,b7 in paragraph 7#b71 in the matter preceding subparagraph 7,a7-- 7i7 by striking ,board's and inserting ,director's2 and 7ii7 by inserting and provide grants after advances2 7,c7 in paragraph 7#c7-- 7i7 in the paragraph heading1 by inserting or grants after advances2 7ii7 in the matter preceding subparagraph 7,a7-- 7,i7 by inserting or grants after advances2 and 7,,ii7 by striking as the following3 and inserting as--2 7iii7 in subparagraph 7,a7-- 7,i7 by inserting the before purchase2 and 7,,ii7 by striking area1 and inserting area2 and2 7iv7 by striking subparagraph 7,b72 7v7 by redesignating subparagraph 7,c7 as subparagraph 7,b72 and 7vi7 in subparagraph 7,b71 as so redesignated1 by inserting the before purchase2 7,d7 in paragraph 7#d7-- 7i7 by inserting or grants after receiving advances2 7ii7 by inserting or grants after such advances2 7iii7 by inserting or grants after of advances2 and 7iv7 by striking this program and inserting the ,program2 7,e7 in paragraph 7#e7-- 7i7 in the matter preceding subparagraph 7,a7-- 7,i7 by inserting or grants after advances2 and 7,,ii7 by striking ,affordable ,housing2 7ii7 in subparagraph 7,c71 by striking #aiie1 and subsequent years and inserting #aiie and years subsequent through #bjbe2 and 7iii7 by adding at the end the following3 7,d7 ,in #bjbe1 and subsequent years1 #cj percent of the preceding year's net income1 or such prorated sums as may be required to assure that the aggregate contribution of the ,banks shall not be less than #bjj1jjj1jjj for each such year1 except that a ,bank may1 after consultation with its ,advisory ,council1 allocate up to #ae percent of that preceding year's net income to be used for non-competitive grants1 subsidized loans1 or investments that would generate below market rates of return for affordable housing or community economic needs of low- or moderate-income households or neighborhoods1 including in low-income1 ,tribal1 or rural communities1 under programs other than the ,program1 as follows3 7i7 ,any community investment cash advance or grant program established by the ,bank4 7ii7 ,another affordable housing or community development program established by the ,bank that provides the funds directly or indirectly to organizations meeting the requirements and limitations necessary to qualify as a charitable contribution for which an income tax deduction is allowable under section #agj of the ,internal ,revenue ,code of #aihf or otherwise approved by the ,director in regulation1 and that benefits persons who are residents of the ,states of the district in which the ,bank is headquartered4 2 7,f7 in paragraph 7#f7-- 7i7 in subparagraph 7,a71 by striking this paragraph and inserting paragraph 7#e72 7ii7 in subparagraph 7,c71 by striking ,board's and inserting ,director's2 7iii7 in subparagraph 7,e71 by striking ,affordable ,housing2 and 7iv7 in subparagraph 7,f71 by inserting ,notification4-- before ,the ,director2 7,g7 in paragraph 7#i7-- 7i7 by striking this program each place it appears and inserting the ,program2 and 7ii7 by inserting and grants after advances each place it appears2 7,h7 in paragraph 7#aj71 by inserting and grant after advance2 7,i7 in paragraph 7#aa71 in second sentence1 by inserting and grants after advances2 7,j7 by amending paragraph 7#ab7 to read as follows3 7#ab7 ,temporary suspension of requirements following disasters ,following a declaration of a disaster declared by the ,president or a ,federal agency or under ,state or ,tribal law1 the ,director may-- 7,a7 allow vacant rental project units assisted under the ,program of a ,bank to be leased temporarily to households displaced by that declared disaster regardless of income1 notwithstanding the income targeting requirements of paragraphs 7#b77;,b7 and 7#ac7 under conditions established by the ,director2 and 7,b7 temporarily suspend any other requirements of this subsection and its implementing regulations to further recovery from declared disasters1 including recovery for displaced households1 subject to conditions appropriate to facilitate eligible uses of ,program funds to assist recovery4 2 and 7,k7 in paragraph 7#ac71 in the matter preceding subparagraph 7,a71 by striking subsection-- and inserting subsection34 #e4 ,compensation of executive officers ,section #g of the ,federal ,home ,loan ,bank ,act 7#ab ,u4,s4,c4 #adbg7 is amended-- 7#a7 in the first subsection 7l7 7relating to withholding of compensation7-- 7,a7 in the subsection heading1 by striking ,withholding of ,compensation and inserting ,compensation of ,executive ,officers2 7,b7 by striking ,notwithstanding and inserting the following3 7#a7 ,withholding of compensation ,notwithstanding 2 and 7,c7 by adding at the end the following3 7#b7 ,setting compensation 7,a7 ,in general ,notwithstanding section #acah7;d7 of the ,federal ,housing ,enterprises ,financial ,safety and ,soundness ,act of #aiib 7#ab ,u4,s4,c4 #deah7;d771 the ,director shall1 in accordance with regulations issued by the ,director1 establish compensation for any executive officer of a ,bank that is reasonable and comparable to compensation for employment at a regional ,federal ,reserve ,bank or other similar publicly-subsidized financial institutions or financial services companies involving similar duties and responsibilities4 7,b7 ,mission investments ,in determining the compensation for an executive officer of a ,bank under subparagraph 7,a71 the ,director-- 7i7 shall consider the level of mission investments1 including-- 7,i7 the percentage of member institutions that provided community investment program advances1 community investment cash advances1 and letters of credit2 7,,ii7 the percentage of member institutions that sponsored affordable housing programs under section #aj7;j7 and other grant programs created voluntarily or by regulation2 7,,iii7 the share of all advances provided to community financial institutions2 7,,iv7 investments in municipal and housing finance agency bonds2 and 7,v7 other mission investments that are reasonable in accordance with regulations promulgated by the ,director2 and 7ii7 may pay compensation at a level that is higher than the compensation for a regional ,federal ,reserve ,bank with achievement of goals aligned with mission achievements as established by the ,director4 2 and 7#b7 by striking the second subsection 7l74 #f4 ,reporting on collateral ,section #aj of the ,federal ,home ,loan ,bank ,act 7#ab ,u4,s4,c4 #adcj7 is amended by adding at the end the following3 7l7 ,report to ,congress ,the ,director shall annually report to the ,committee on ,banking1 ,housing1 and ,urban ,affairs of the ,senate and the ,committee on ,financial ,services of the ,house of ,representatives on the collateral pledged to the ,banks1 including an analysis of collateral by type and by ,bank district4 4