Federal home loan bank system: Withdrawn,


[Federal Register: December 22, 1999 (Volume 64, Number 245)]

[Proposed Rules]

[Page 71689]

From the Federal Register Online via GPO Access [wais.access.gpo.gov]


Proposed Rules Federal Register

This section of the FEDERAL REGISTER contains notices to the public of the proposed issuance of rules and regulations. The purpose of these notices is to give interested persons an opportunity to participate in the rule making prior to the adoption of the final rules.

[[Page 71689]]


12 CFR Part 935

[No. 99-63]

RIN 3069-AA80

Advance Participations; Sales of Whole Advances; Withdrawal of Proposed Rule

AGENCY: Federal Housing Finance Board.

ACTION: Withdrawal of proposed rule.

SUMMARY: In light of the enactment of the Federal Home Loan Bank System Modernization Act of 1999 (Modernization Act), the Federal Housing Finance Board (Finance Board) is withdrawing its proposed rule that would have amended Part 935 of its regulation to approve the sale of whole advances between Federal Home Loan Banks (Banks) under certain limited circumstances.

FOR FURTHER INFORMATION CONTACT: Jonathan Curtis, Senior Financial Analyst, Office of Policy, Research and Analysis, (202) 408-2866; Jane S. Converse, Attorney-Advisor, Office of General Counsel, (202) 408- 2976; or Neil R. Crowley, Deputy General Counsel, Office of General Counsel, (202) 408-2990, Federal Housing Finance Board, 1777 F Street, N.W., Washington, D.C. 20006.


  1. Background

    The Finance Board proposed a regulation in the Federal Register of August 16, 1999, to amend part 935 of its regulation to approve any sale and purchase of whole advances between Banks that met the requirements of the proposed rule. See 64 FR 44444 (August 16, 1999). The preamble to the proposed rule includes a detailed discussion of the background of, basis of, and reasons for, the proposed regulation.

  2. Reasons for Withdrawal of the Proposed Regulation

    Section 606(f)(2)(B) of the Modernization Act, Title VI, Pub. L. 106-102 (Nov. 12, 1999), removed the requirement for Finance Board approval of the sale of whole advances, or participations in advances, between Banks. See 12 U.S.C. 1430(d), as amended by section 606(f)(2)(B), Pub. L. 106-102 (Nov. 12, 1999). In light of the enactment of this provision, the Finance Board is withdrawing the proposed regulation approving the sale of whole advances.

    In a separate action, the Finance Board also will be rescinding current section 935.16 of its regulation, which authorizes the sale of participation interests in advances between Banks.

    List of Subjects in 12 CFR Part 935

    Credit, Federal home loan banks, Reporting and recordkeeping requirements.

    Accordingly, the Finance Board hereby withdraws the Proposed Rule published at 64 FR 44444 on August 16, 1999.

    Dated: December 14, 1999.

    By the Board of Directors of the Federal Housing Finance Board. Bruce A. Morrison, Chairman.

    [FR Doc. 99-33164Filed12-21-99; 8:45 am]

    BILLING CODE 6725-01-P