Funding and Fiscal Affairs, Loan Policies and Operations, and Funding Operations; FCB Assistance to Associations; Effective Date

Résumé

The Farm Credit Administration (FCA) published a final rule under part 615 on September 15, 1999 (64 FR 49959). In this final rule, we remove the requirement that Farm Credit Banks and agricultural credit banks (collectively referred to as banks) obtain our prior approval before making certain transfers of capital to affiliated associations. Instead, we require banks to take into account certain considerations, and to notify bank shareholders and us, before making such transfers. This amendment benefits banks and their associations because it provides clear guidelines and streamlined procedures for banks to follow when they wish to transfer capital to associations. It also enables them to transfer the capital in a more timely manner. In accordance with 12 U.S.C. 2252, the effective date of the final rule is 30 days from the date of publication in the Federal Register during which either or both Houses of Congress are in session. Based on the records of the sessions of Congress, the effective date of the regulations is October 21, 1999.