
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 12USC2279bb-2]

 
                       TITLE 12--BANKS AND BANKING
 
                     CHAPTER 23--FARM CREDIT SYSTEM
 
         SUBCHAPTER VIII--AGRICULTURAL MORTGAGE SECONDARY MARKET
 
    Part B--Regulation of Financial Safety and Soundness of Federal 
                    Agricultural Mortgage Corporation
 
Sec. 2279bb-2. Minimum capital level


(a) In general

    Except as provided in subsection (b) of this section, for purposes 
of this part, the minimum capital level for the Corporation shall be an 
amount of core capital equal to the sum of
        (1) 2.75 percent of the aggregate on-balance sheet assets of the 
    Corporation, as determined in accordance with generally accepted 
    accounting principles; and
        (2) 0.75 percent of the aggregate off-balance sheet obligations 
    of the Corporation, which, for the purposes of this part, shall 
    include
            (A) the unpaid principal balance of outstanding securities 
        that are guaranteed by the Corporation and backed by pools of 
        qualified loans;
            (B) instruments that are issued or guaranteed by the 
        Corporation and are substantially equivalent to instruments 
        described in subparagraph (A); and
            (C) other off-balance sheet obligations of the Corporation.

(b) Transition period

                           (1) In general

        For purposes of this part, the minimum capital level for the 
    Corporation--
            (A) prior to January 1, 1997, shall be the amount of core 
        capital equal to the sum of--
                (i) 0.45 percent of aggregate off-balance sheet 
            obligations of the Corporation;
                (ii) 0.45 percent of designated on-balance sheet assets 
            of the Corporation, as determined under paragraph (2); and
                (iii) 2.50 percent of on-balance sheet assets of the 
            Corporation other than assets designated under paragraph 
            (2);

            (B) during the 1-year period ending December 31, 1997, shall 
        be the amount of core capital equal to the sum of--
                (i) 0.55 percent of aggregate off-balance sheet 
            obligations of the Corporation;
                (ii) 1.20 percent of designated on-balance sheet assets 
            of the Corporation, as determined under paragraph (2); and
                (iii) 2.55 percent of on-balance sheet assets of the 
            Corporation other than assets designated under paragraph 
            (2);

            (C) during the 1-year period ending December 31, 1998, shall 
        be the amount of core capital equal to--
                (i) if the Corporation's core capital is not less than 
            $25,000,000 on January 1, 1998, the sum of--
                    (I) 0.65 percent of aggregate off-balance sheet 
                obligations of the Corporation;
                    (II) 1.95 percent of designated on-balance sheet 
                assets of the Corporation, as determined under paragraph 
                (2); and
                    (III) 2.65 percent of on-balance sheet assets of the 
                Corporation other than assets designated under paragraph 
                (2); or

                (ii) if the Corporation's core capital is less than 
            $25,000,000 on January 1, 1998, the amount determined under 
            subsection (a) of this section; and

            (D) on and after January 1, 1999, shall be the amount 
        determined under subsection (a) of this section.

               (2) Designated on-balance sheet assets

        For purposes of this subsection, the designated on-balance sheet 
    assets of the Corporation shall be--
            (A) the aggregate on-balance sheet assets of the Corporation 
        acquired under section 2279aa-6(e) of this title; and
            (B) the aggregate amount of qualified loans purchased and 
        held by the Corporation under section 2279aa-3(c)(13) of this 
        title.

(Pub. L. 92-181, title VIII, Sec. 8.33, as added Pub. L. 102-237, title 
V, Sec. 503(b)(2), Dec. 13, 1991, 105 Stat. 1873; amended Pub. L. 104-
105, title I, Sec. 114, Feb. 10, 1996, 110 Stat. 166.)


                               Amendments

    1996--Pub. L. 104-105 amended section generally, substituting 
present provisions for provisions relating to minimum capital level, 
including general provisions, provisions relating to 18-month 
transition, and provisions relating to linked portfolio assets.

                  Section Referred to in Other Sections

    This section is referred to in sections 2279bb-3, 2279bb-4 of this 
title.
