US CODE COLLECTION
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US CODE COLLECTION
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| TITLE 12 > CHAPTER 11 > Sec. 1441a. | Prev | Next |
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Sec. 1441a. - Thrift Depositor Protection Oversight Board and Resolution Trust Corporation
(a) Thrift Depositor Protection Oversight Board established
(1) In general
There is hereby established the Thrift Depositor Protection Oversight Board as an instrumentality of the United States with the powers and authorities herein provided. (2) Status
The Thrift Depositor Protection Oversight Board shall oversee and monitor the operations of the Resolution Trust Corporation (hereinafter referred to in this section as the ''Corporation'') and shall be accountable for the duties assigned to the Thrift Depositor Protection Oversight Board by this chapter. The Thrift Depositor Protection Oversight Board shall be an ''agency'' of the United States for purposes of subchapter II of chapter 5 and chapter 7 of title 5. (3) Membership
(A) In general
the Secretary of the Treasury; the Chairman of the Board of Governors of the Federal Reserve System; the Director of the Office of Thrift Supervision; the Chairperson of the Board of Directors of the Federal Deposit Insurance Corporation; the chief executive officer of the Corporation; and two independent members appointed by the President, with the advice and consent of the Senate. Such nominations shall be referred to the Committee on Banking, Housing, and Urban Affairs of the Senate. (B) Political affiliation
The independent members shall not be members of the same political party. No independent member of the Thrift Depositor Protection Oversight Board shall hold any other appointed office during his or her term as a member. (C) Chairperson
The Chairperson of the Thrift Depositor Protection Oversight Board shall be the Secretary of the Treasury. (D) Term of office
The term of each member (other than the independent members) of the Thrift Depositor Protection Oversight Board shall expire when such member has fulfilled all of his or her responsibilities under this section and section 1441b of this title. The term of each independent member shall be 3 years. (E) Quorum required
A quorum shall consist of 4 members of the Thrift Depositor Protection Oversight Board and all decisions of the Board shall require an affirmative vote of at least a majority of the members voting. (4) Compensation and expenses
(A) Expenses
Members of the Thrift Depositor Protection Oversight Board shall receive allowances in accordance with subchapter I of chapter 57 of title 5 for necessary expenses of travel, lodging, and subsistence incurred in attending meetings and other activities of the Thrift Depositor Protection Oversight Board, as set forth in the bylaws issued by the Thrift Depositor Protection Oversight Board. (B) No additional compensation for United States officers or employees Members of the Thrift Depositor Protection Oversight Board (other than independent members) shall receive no additional pay by reason of service on such Board. (C) Compensation for independent members
The independent members of the Thrift Depositor Protection Oversight Board shall be paid at a rate equal to the daily equivalent of the rate of basic pay for level II of the Executive Schedule for each day (including travel time) during which such member is engaged in the actual performance of duties of the Thrift Depositor Protection Oversight Board. (5) Powers
The Thrift Depositor Protection Oversight Board shall be a body corporate that shall have the power to - adopt, alter, and use a corporate seal; provide for a principal or executive officer and such other officers and employees as may be necessary to perform the functions of the Thrift Depositor Protection Oversight Board, define their duties, and require surety bonds or make other provisions against losses occasioned by acts of such persons; fix the compensation and number of, and appoint, employees for any position established by the Thrift Depositor Protection Oversight Board; set and adjust rates of basic pay for employees of the Thrift Depositor Protection Oversight Board without regard to the provisions of chapter 51 or subchapter III of chapter 53 of title 5; provide additional compensation and benefits to employees of the Thrift Depositor Protection Oversight Board if the same type of compensation or benefits are then being provided by any other Federal bank regulatory agency or, if not then being provided, could be provided by such an agency under applicable provisions of law, rule, or regulation; in setting and adjusting the total amount of compensation and benefits for employees of the Thrift Depositor Protection Oversight Board, the Thrift Depositor Protection Oversight Board shall consult with and seek to maintain comparability with the other Federal bank regulatory agencies, except that the Thrift Depositor Protection Oversight Board shall not in any event exceed the compensation and benefits provided by the Federal Deposit Insurance Corporation with respect to any comparable position; with the consent of any executive agency, department, or independent agency utilize the information, services, staff, and facilities of such department or agency, on a reimbursable (or other) basis, in carrying out this section; prescribe bylaws that are consistent with law to provide for the manner in which - its officers and employees are selected, and its general operations are to be conducted; enter into contracts and modify or consent to the modification of any contract or agreement; indemnify, from funds made available to it by the Corporation, the members, officers, and employees of the Thrift Depositor Protection Oversight Board on such terms as the Thrift Depositor Protection Oversight Board deems proper against any liability under any civil suit pursuant to any statute or pursuant to common law with respect to any claim arising out of or resulting from any act or omission by such person within the scope of such person's employment in connection with any transaction entered into involving the disposition of assets (or any interests in any assets or any obligations backed by any assets) by the Corporation, and the indemnification authorized by this provision shall be in addition to and not in lieu of any immunities or other protections that may be available to such person under applicable law, and this provision does not affect any such immunities or other protections; sue and be sued in courts of competent jurisdiction; and exercise any and all powers established under this section and such incidental powers as are necessary to carry out its powers, duties, and functions under this chapter. (6) Thrift Depositor Protection Oversight Board duties and authorities
The Thrift Depositor Protection Oversight Board shall have the following duties and authorities with respect to the Corporation: To review overall strategies, policies, and goals established by the Corporation for its activities, which shall include such items as the Thrift Depositor Protection Oversight Board deems likely to have a material effect upon the financial condition of the Corporation, the results of its operations, or its cash flows, and such items as the Thrift Depositor Protection Oversight Board deems to involve substantial issues of public policy. After consultation with the Corporation, the Thrift Depositor Protection Oversight Board may require the modification of any such overall strategies, policies, and goals and their implementation. Overall strategies, policies, and goals shall include such items as - overall strategies, policies, and goals for case resolutions, the management and disposition of assets, the use of private contractors; the use of notes, guarantees, or other obligations by the Corporation; financial goals, plans, and budgets; and restructuring agreements described in subsection (b)(10)(B) of this section. To approve prior to implementation financial plans, budgets, and periodic financing requests developed by the Corporation. To review all rules, regulations, standards, principles, procedures, guidelines, and statements that may be adopted or announced by the Corporation. The provisions of this subparagraph shall not apply to internal administrative policies and procedures (including such matters as personnel practices, divisions and organization of staffing, delegations of authority, and practices respecting day-to-day administration of the Corporation's affairs) and determinations or actions described in paragraph (8) [1] To review the overall performance of the Corporation on a periodic basis, including its work, management activities, and internal controls, and the performance of the Corporation relative to approved budget plans. To require from the Corporation any reports, documents, and records it deems necessary to carry out its oversight responsibilities. To establish a national advisory board and regional advisory boards. To authorize the use of proceeds from any funds provided by the Treasury to the Corporation and from any financing by the Resolution Funding Corporation established pursuant to section 1441b of this title consistent with the approved budget and financial plans of the Corporation and to oversee the collection of funds by the Resolution Funding Corporation. To evaluate audits by the Inspector General and other congressionally required audits. To have general oversight over the Resolution Funding Corporation as provided under section 1441b of this title. To authorize, as appropriate, the Corporation's sale of capital certificates to the Resolution Funding Corporation. To establish the rate of basic pay, benefits, and other compensation for the chief executive officer of the Corporation. (7) Transition policies
Until such time as the Thrift Depositor Protection Oversight Board and the Corporation (consistent with paragraph (6) and subsection (b)(11) of this section) adopt strategies, policies, goals, regulations, rules, operating principles, procedures, or guidelines, the Corporation may carry out its duties in accordance with the strategies, policies, goals, regulations, rules, operating principles, procedures, or guidelines of the Federal Deposit Insurance Corporation, notwithstanding the provisions of section 553 of title 5. (8) Limitation on authority
The Corporation shall have the authority, without any prior review, approval, or disapproval by the Thrift Depositor Protection Oversight Board, to make such determinations and take such actions as it deems appropriate with respect to case-specific matters involving individual case resolutions, asset liquidations, or day-to-day operations of the Corporation. The preceding sentence in no way limits the authority of the Thrift Depositor Protection Oversight Board to review overall strategies, policies, and goals established by the Corporation. (9) Delegation
Except with respect to the meetings required by paragraph (10), nothing in this section shall preclude a member of the Thrift Depositor Protection Oversight Board who is a public official from delegating his or her authority to an employee or officer of such member's agency or organization, if such employee or officer has been appointed by the President with the advice and consent of the Senate. For purposes of the preceding sentence, the Chairman of the Board of Governors of the Federal Reserve System may delegate his or her authority to another member of the Board of Governors. (10) Open meetings
Not less than 6 times each year, the Thrift Depositor Protection Oversight Board shall conduct open meetings to review overall strategies, policies, and goals established by the Corporation and to consider such other matters as pertain to its functions under this chapter. The Thrift Depositor Protection Oversight Board shall maintain a transcript of the board's open meetings. (11) Power to remove; jurisdiction
Notwithstanding any other provision of law, any civil action, suit, or proceeding to which the Thrift Depositor Protection Oversight Board is a party shall be deemed to arise under the laws of the United States, and the United States district courts shall have original jurisdiction. The Thrift Depositor Protection Oversight Board may, without bond or security, remove any such action, suit, or proceeding from a State court to a United States district court or to the United States District Court for the District of Columbia. (12) Administrative expenses
The administrative expenses of the Thrift Depositor Protection Oversight Board shall be paid by the Corporation, upon request of the Thrift Depositor Protection Oversight Board. (13) Standards, policies, procedures, guidelines, and statements
The Thrift Depositor Protection Oversight Board may issue rules, regulations, standards, policies, procedures, guidelines, and statements as the Thrift Depositor Protection Oversight Board considers necessary or appropriate to carry out its authorities and duties under this chapter which shall be promulgated pursuant to subchapter II of chapter 5 of title 5. (14) Strategic plan for Corporation operations
(A) In general
The chief executive officer of the Corporation is authorized to implement the strategic plan for conducting the Corporation's functions and activities submitted by the former Oversight Board to the Congress, dated December 31, 1989. (B) Provisions of plan
The strategic plan and implementing policies and procedures required under this paragraph shall at a minimum contain the following: Factors the Corporation shall consider in deciding the order in which failed institutions or categories of failed institutions will be resolved. Standards the Corporation shall use to select the appropriate resolution action for a failed institution. With respect to assisted acquisitions, factors the Corporation shall consider in deciding whether non-performing assets of the failed institution will be transferred to the acquiring institution rather than retained by the Corporation for management and disposal. Plans for the disposition of assets. Management objectives by which the Corporation's progress in carrying out its duties under this section can be measured. A plan for the organizational structure and staffing of the Corporation, including an assessment of the extent to which the Corporation will perform asset management functions and other duties through contracts with public and private entities. Consideration of whether incentives should be included in asset management contracts to promote active and efficient asset management. Standards for adequate competition and fair and consistent treatment of offerors. Standards that prohibit discrimination on the basis of race, sex, or ethnic group in the solicitation and consideration of offers. Procedures for the active solicitation of offers from minorities and women. Procedures requiring that unsuccessful offerors be notified in writing of the decision within 30 days after the offer has been rejected. Procedures for establishing the market value of assets based upon standard market analysis, valuation, and appraisal practices. Procedures requiring the timely evaluation of purchase offers for an institution. Procedures for bulk sales and auction marketing of assets. Guidelines for determining if the value of an asset has decreased so that no reasonable recovery is anticipated. In such cases, the Corporation may consider potential public uses of such asset including providing housing for lower income families (including the homeless), day care centers for the children of low- and moderate-income families, or such other public purpose designated by the Secretary of Housing and Urban Development. Guidelines for the conveyance of assets to units of general local government, States, and public agencies designated by a unit of general local government or a State, for use in connection with urban homesteading programs approved by the Secretary of Housing and Urban Development under section 1706e of this title. Policies and procedures for avoiding political favoritism and undue influence in contracts and decisions made by the Thrift Depositor Protection Oversight Board and the Corporation. (15) Reports on any modification to any strategy, policy, or goal
If, pursuant to paragraph (6)(A), the Thrift Depositor Protection Oversight Board requires the Corporation to modify any overall strategy, policy, or goal, such board shall submit, before the end of the 30-day period beginning on the date on which the board first notifies the Corporation of such requirement, to the Committee on Banking, Housing, and Urban Affairs of the Senate and the Committee on Banking, Finance and Urban Affairs of the House of Representatives an explanation of the grounds which the board determined justified the review and the reasons why the modification is necessary to satisfy any such ground. (16) Termination
The Thrift Depositor Protection Oversight Board shall terminate not later than 60 days after the Thrift Depositor Protection Oversight Board fulfills all of its responsibilities under this chapter. (b) Resolution Trust Corporation established
(1) Establishment
(A) In general
There is hereby established a Corporation to be known as the Resolution Trust Corporation which shall be an instrumentality of the United States. (B) Status
The Corporation shall be deemed to be an agency of the United States for purposes of subchapter II of chapter 5 and chapter 7 of title 5 when it is acting as a corporation. The Corporation, when it is acting as a conservator or receiver of an insured depository institution, shall be deemed to be an agency of the United States to the same extent as the Federal Deposit Insurance Corporation when it is acting as a conservator or receiver of an insured depository institution. (C) Management by chief executive officer
(2) Government corporation
Notwithstanding the fact that no Government funds may be invested in the Corporation, the Corporation shall be treated, for purposes of sections 9105, [2] 9107, and 9108 of title 31, as a mixed-ownership Government corporation which has capital of the Government. (3) Duties
The duties of the Corporation shall be to carry out a program, under the general oversight of the Thrift Depositor Protection Oversight Board, including: To manage and resolve all cases involving depository institutions - the accounts of which were insured by the Federal Savings and Loan Insurance Corporation before August 9, 1989; and for which a conservator or receiver is appointed after December 31, 1988, and before such date as is determined by the Chairperson of the Thrift Depositor Protection Oversight Board, but not earlier than January 1, 1995, and not later than July 1, 1995 (including any institution described in paragraph (6)). To develop and establish overall strategies, policies, and goals for the Corporation, subject to review by the Thrift Depositor Protection Oversight Board pursuant to subsection (a)(6)(A) of this section. To conduct the operations of the Corporation in a manner which - maximizes the net present value return from the sale or other disposition of institutions described in subparagraph (A) or the assets of such institutions; minimizes the impact of such transactions on local real estate and financial markets; makes efficient use of funds obtained from the Funding Corporation or from the Treasury; minimizes the amount of any loss realized in the resolution of cases; and maximizes the preservation of the availability and affordability of residential real property for low- and moderate-income individuals. To perform any other function authorized under this section. (4) Conservatorship, receivership, and assistance powers
(A) In general
Except as provided in paragraph (5) and in addition to any other provision of this section, the Corporation shall have the same powers and rights to carry out its duties with respect to institutions described in paragraph (3)(A) as the Federal Deposit Insurance Corporation has under sections 1821, 1822, and 1823 of this title with respect to insured depository institutions (as defined in section 1813 of this title). (B) Manner of application of least-cost resolution
For purposes of applying section 1823(c)(4) of this title to the Corporation under subparagraph (A), the Corporation shall be treated as the affected deposit insurance fund. (C) Appeals
The Corporation shall implement and maintain a program, in a manner acceptable to the Thrift Depositor Protection Oversight Board, to provide an appeals process for business and commercial borrowers to appeal decisions by the Corporation (when acting as a conservator) which would have the effect of terminating or otherwise adversely affecting credit or loan agreements, lines of credit, and similar arrangements with such borrowers who have not defaulted on their obligations. (5) Limitation on paragraph (4) powers
may not obligate the Federal Deposit Insurance Corporation or any funds of the Federal Deposit Insurance Corporation; and in connection with providing assistance to an institution under this subsection, shall be subject to the limitations contained in section 1823(c)(4) of this title. (6) Continuation of RTC receivership or conservatorship
(A) In general
If the Corporation is appointed as conservator or receiver for any insured depository institution described in paragraph (3)(A) before such date as is determined by the Chairperson of the Thrift Depositor Protection Oversight Board under paragraph (3)(A)(ii), and a conservator or receiver is appointed for such institution on or after such date, the Corporation may be appointed as conservator or receiver for such institution on or after such date as is determined by the Chairperson of the Thrift Depositor Protection Oversight Board under paragraph (3)(A)(ii). (B) SAIF-insured banks
Notwithstanding any other provision of Federal or State law, if the Federal Deposit Insurance Corporation is appointed as conservator or receiver for any Savings Association Insurance Fund member that has converted to a bank charter and otherwise meets the criteria in paragraph (3)(A) or (6)(A), the Federal Deposit Insurance Corporation may tender such appointment to the Corporation, and the Corporation shall accept such appointment, if the Corporation is authorized to accept such appointment under this section. (7) Obligations and guarantees
The Corporation's authority to issue obligations and guarantees shall be subject to general supervision by the Thrift Depositor Protection Oversight Board under subsection (a) of this section and shall be consistent with subsection (j) of this section. (8) Staff
(A) In general
Except for the chief executive officer of the Corporation, the Corporation itself shall have no employees. (B) Utilization of personnel of other agencies
(i) FDIC
The Corporation shall use employees (selected by the Corporation) of the Federal Deposit Insurance Corporation and the Federal Deposit Insurance Corporation shall provide such personnel to the Corporation for its use. Notwithstanding the foregoing, the Federal Deposit Insurance Corporation need not provide to the Corporation any employee of the Federal Deposit Insurance Corporation who was employed by the Federal Deposit Insurance Corporation on December 12, 1991, and who had not theretofore been provided to the Corporation by the Federal Deposit Insurance Corporation. In addition to persons otherwise employed by the Federal Deposit Insurance Corporation, the Federal Deposit Insurance Corporation shall employ, and shall provide to the Corporation, such persons as the Corporation may request from time to time. Federal Deposit Insurance Corporation employees provided to the Corporation shall be subject to the direction and control of the Corporation and any of them may be returned to the Federal Deposit Insurance Corporation at any time by the Corporation in the discretion of the Corporation. The Corporation shall reimburse the Federal Deposit Insurance Corporation for the actual costs incurred in providing such employees. Any permanent employee of the Federal Deposit Insurance Corporation who was performing services on behalf of the Corporation immediately prior to December 12, 1991, shall continue to be provided to the Corporation after December 12, 1991, unless the Corporation determines the services of any such employee to be unnecessary, in which case such employee shall be returned to a similar position performing services on behalf of the Federal Deposit Insurance Corporation. In any ensuing reduction-in-force or reorganization within the Federal Deposit Insurance Corporation, any such employee shall compete with the same rights as any other Federal Deposit Insurance Corporation employee. The Corporation may use administrative services of the Federal Deposit Insurance Corporation and, if it does so, shall reimburse the Federal Deposit Insurance Corporation for the actual costs of providing such services. (ii) Other agencies
With the agreement of any executive department or agency, the Corporation may utilize the personnel of any such executive department or agency on a reimbursable basis to cover actual and reasonable expenses. (C) Chief executive officer
There is established the office of chief executive officer of the Corporation. The chief executive officer of the Corporation shall be appointed by the President, by and with the advice and consent of the Senate, and shall serve at the pleasure of the President. (D) Powers of the chief executive officer
The chief executive officer may exercise all of the powers of the Corporation and act for and on behalf of the Corporation, and may delegate such authority, as deemed appropriate by the chief executive officer, including the power to subdelegate authority, to persons designated by the chief executive officer who are employees of the Federal Deposit Insurance Corporation utilized by the Corporation or who provide services for the Corporation. (E) Deputy chief executive officer
(i) In general
(ii) Appointment The deputy chief executive officer of the Corporation shall - be appointed by the Chairperson of the Thrift Depositor Protection Oversight Board, with the recommendation of the chief executive officer; and be an employee of the Federal Deposit Insurance Corporation in accordance with subparagraph (B)(i). (iii) Duties
The deputy chief executive officer shall perform such duties as the chief executive officer may require. (F) Acting chief executive officer
In the event of a vacancy in the position of chief executive officer or during the absence or disability of the chief executive officer, the deputy chief executive officer shall perform the duties of the position as the acting chief executive officer. (G) General counsel
There is established the Office of General Counsel of the Corporation. The chief executive officer, with the concurrence of the Chairperson of the Thrift Depositor Protection Oversight Board, may appoint the general counsel, who shall be an employee of the Federal Deposit Insurance Corporation, in accordance with subparagraph (B)(i). The general counsel shall perform such duties as the chief executive officer may require. (9) Corporate powers The Corporation shall have the following powers: To adopt, alter, and use a corporate seal. To enter into contracts and modify, or consent to the modification of, any contract or agreement to which the Corporation is a party or in which the Corporation has an interest under this section. To make advance, progress, or other payments. To acquire, hold, lease, mortgage, maintain, or dispose of, at public or private sale, real and personal property, using any legally available private sector methods including without limitation, securitization of debt or equity, limited partnerships, mortgage investment conduits, and real estate investment trusts, and otherwise exercise all the usual incidents of ownership of property necessary and convenient to the operations of the Corporation. To sue and be sued in its corporate capacity in any court of competent jurisdiction. To deposit any securities or funds held by the Corporation in any facility or depositary described in section 1823(b) of this title under the terms and conditions applicable to the Federal Deposit Insurance Corporation under such section 1823(b) and pay fees thereof and receive interest thereon. To take warrants, voting and nonvoting equity, or other participation interests in institutions or assets or properties of institutions described in paragraph (3)(A) and paragraph (10)(A)(iv). To use the United States mails in the same manner and under the same conditions as other departments and agencies of the United States. To prescribe bylaws that shall be consistent with law. To make loans and, with respect to eligible residential properties, develop risk sharing structures and other credit enhancements to assist in the provision of property ownership, rental, and cooperative housing opportunities for lower- and moderate-income families. To prepare reports and provide such reports, documents, and records to the Thrift Depositor Protection Oversight Board as required by this section. To issue capital certificates to the Resolution Funding Corporation consistent with the provisions of section 1441b of this title in the following manner: (i) Authorization to issue
The Corporation is hereby authorized to issue to the Resolution Funding Corporation nonvoting capital certificates. (ii) Requirement relating to the amount of certificates
The amount of certificates issued by the Corporation under clause (i) shall be equal to the aggregate amount of funds provided by the Resolution Funding Corporation to the Corporation under section 1441b of this title. (iii) Certificates may be issued only to the Resolution Funding Corporation
Capital certificates issued under clause (i) may be issued only to the Resolution Funding Corporation in the manner and to the extent provided in section 1441b of this title and this section. (iv) No dividends
To exercise any other power established under this section and such incidental powers as are necessary to carry out its duties and functions under this section. The Corporation may indemnify the directors, officers and employees of the Corporation on such terms as the Corporation deems proper against any liability under any civil suit pursuant to any statute or pursuant to common law with respect to any claim arising out of or resulting from any act or omission by such person within the scope of such person's employment in connection with any transaction entered into involving the disposition of assets (or any interests in any assets or any obligations backed by any assets) by the Corporation. For purposes of this subparagraph, the terms ''officers'' and ''employees'' include officers and employees of the Federal Deposit Insurance Corporation or of other agencies who perform services for the Corporation. The indemnification authorized by this subparagraph shall be in addition to and not in lieu of any immunities or other protections that may be available to such person under applicable law, and this provision does not affect any such immunities or other protections. (10) Special powers
(A) In general
In addition to the powers of the Corporation described in paragraph (9), the Corporation shall have the following powers: (i) Contracts
The Corporation may enter into contracts with any person, corporation, or entity, including State housing finance authorities (as such term is defined in section 1301 of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 1441a-1)) and insured depository institutions, which the Corporation determines to be necessary or appropriate to carry out its responsibilities under this section. Such contracts shall be subject to the procedures adopted pursuant to paragraph (11). (ii) Utilization of private sector
In carrying out the Corporation's duties under this section, the Corporation and the Federal Deposit Insurance Corporation shall utilize the services of private persons, including real estate and loan portfolio asset management, property management, auction marketing, and brokerage services, if such services are available in the private sector and the Corporation determines utilization of such services are practicable and efficient. (iii) Mergers and consolidations
The Corporation may require a merger or consolidation of an institution or institutions over which the Corporation has jurisdiction, if such merger or consolidation is consistent with section 1823(c)(4) of this title. (iv) Organization of savings associations
which shall be chartered by the Director of the Office of Thrift Supervision, the deposits of which, if any, shall be insured by the Federal Deposit Insurance Corporation through the Savings Association Insurance Fund, and which shall operate in accordance with subsection (e) of this section. (v) Organization of bridge banks
The Corporation may organize 1 or more bridge banks pursuant to subsection (i) [3] of section 1821 of this title with respect to any institution described in paragraph (3)(A) which becomes a bank. Such bridge bank shall be subject to subsection (e) of this section. ''(n)''. (B) Review of prior cases
review and analyze all insolvent institution cases resolved by the Federal Savings and Loan Insurance Corporation between January 1, 1988, and August 9, 1989, and actively review all means by which it can reduce costs under existing Federal Savings and Loan Insurance Corporation agreements relating to such cases, including restructuring such agreements; evaluate the costs under existing Federal Savings and Loan Insurance Corporation agreements with regard to the following - capital loss coverage, yield maintenance guarantees, forbearances, tax consequences, and any other relevant cost consideration; review the bidding procedures used in resolving such cases in order to determine whether the bidding and negotiating processes were sufficiently competitive; and report to the Thrift Depositor Protection Oversight Board and the Congress pursuant to subsection (k) of this section. (C) Provisions applicable to review of prior cases
(i) In general
The Corporation shall exercise any and all legal rights to modify, renegotiate, or restructure such agreements where savings would be realized by such actions. The cost or income of any modification shall be a liability or an asset of the Corporation or the FSLIC Resolution Fund as determined by the Thrift Depositor Protection Oversight Board. Nothing in this paragraph shall be construed as granting the Corporation any legal rights to modify, renegotiate, or restructure agreements between the Federal Savings and Loan Insurance Corporation and any other party, which did not exist prior to August 9, 1989. (ii) Additional provisions
The Corporation, in modifying, renegotiating, or restructuring the insolvent institution cases resolved by the Federal Savings and Loan Insurance Corporation between January 1, 1988, and August 9, 1989, shall carry out its responsibilities under section 519(a) of the Department of Veterans Affairs and Housing and Urban Development, and Independent Agencies Appropriations Act, 1991 (104 Stat. 1386) and shall, consistent with achieving the greatest overall financial savings to the Federal Government, pursue all legal means by which the Corporation can reduce both the direct outlays and the tax benefits associated with such cases, including, but not limited to, restructuring to eliminate tax-free interest payments and renegotiating to capture a larger portion of the tax benefits for the Corporation. (11) Regulations, policies, and procedures
(A) Strategies, policies, and goals
The Corporation shall adopt the rules, regulations, standards, procedures, guidelines, and statements necessary to implement the strategic plan submitted by the former Oversight Board to Congress dated December 31, 1989. The Corporation may establish overall strategies, policies, and goals for its activities and may issue such rules, regulations, standards, principles, procedures, guidelines, and statements as the Corporation considers necessary or appropriate to carry out its duties. (B) Review, etc.
Such overall strategies, policies, and goals, and such rules, regulations, standards, principles, procedures, guidelines, and statements - shall be provided by the Corporation to the Thrift Depositor Protection Oversight Board promptly or prior to publication or announcement to the extent practicable; shall be subject to the review of the Thrift Depositor Protection Oversight Board as provided in subsection (a)(6)(A) of this section (with respect to overall strategies, policies, and goals); and (C) Preparation and maintenance of records relating to solicitation and acceptance of offers
document decisions made in the solicitation and selection process and the reasons for the decisions; and maintain such documentation in the offices of the Corporation, as well as any other documentation relating to the solicitation and selection process. (D) Distressed areas
(i) In general
In developing its implementing policies, the Corporation shall take the action described in clause (ii) to avoid adverse economic impact for those real estate markets that are distressed. (ii) Valuation and disposition
The Corporation shall establish an appraisal or other valuation method for determining the market value of real property. With respect to a real property asset with a market value in excess of a certain dollar limit (such limit to be determined by the chief executive officer of the Corporation), consideration shall be given to the volume of assets above such limit and the potential impact of sales in such distressed areas. The Corporation shall not sell a real property asset located in a distressed area without obtaining at least the minimum disposition price, unless a determination has been made that such a transaction furthers the objectives set forth in paragraph (3)(C). (iii) Exception
The provisions of this subparagraph shall not apply to any property as long as such property is subject to the requirements of subsection (c) of this section. (E) Definitions
The term ''minimum disposition price'' means 95 percent of the market value established by the Corporation. The chief executive officer, in the chief executive officer's discretion, may change the percentage set forth in this definition from time to time if the chief executive officer determines that such change does not adversely impact the objectives set forth in paragraph (3)(C). The term ''sell a real property asset'' means to convey all title and interest in a piece of tangible real property in which the Corporation has a fee simple or equivalent interest. The term ''real property'' does not include loans secured by real property, joint ventures, participation interests, options, or other similar interests. In addition, the term ''sell'' does not include hypothecation of assets, issuance of asset backed securities, issuance of joint ventures, or participation interests, or other similar activities. The term ''distressed area'' means the geographic areas in those political subdivisions designated from time to time by the chief executive officer as having depressed real estate markets. Until the chief executive officer designates otherwise, such distressed areas shall be the States of Arkansas, Colorado, Louisiana, New Mexico, Oklahoma, and Texas. The term ''market value'' means the most probable price which a property should bring in a competitive and open market if - all conditions requisite to a fair sale are present, the buyer and seller are acting prudently and are knowledgeable, and the price is not affected by any undue stimulus. (F) Real Estate Asset Division
The Corporation shall establish a Real Estate Asset Division to assist and advise the Corporation with respect to the management, sale, or other disposition of real property assets of institutions described in paragraph (3)(A). The Real Estate Asset Division shall have such duties as the Corporation establishes, including the publication of an inventory of real property assets of institutions subject to the jurisdiction of the Corporation. Such inventory shall be published before January 1, 1990 and updated semiannually thereafter and shall identify properties with natural, cultural, recreational, or scientific values of special significance. (G) Advisory personnel
The Corporation shall maintain an executive-level position and dedicated staff to assist and advise the Corporation and other agencies in pursuing cases, civil claims, and administrative enforcement actions against institution-affiliated parties of insured depository institutions under the jurisdiction of the Corporation. These personnel shall have such duties as the Corporation establishes, including the duty to compile and publish a report to the Congress on the coordinated pursuit of claims by all Federal financial institution regulatory agencies, including the Department of Justice and the Securities and Exchange Commission. The report shall be published before December 31, 1990 and updated semiannually after such date. (12) Periodic financing requests
The Corporation shall provide the Thrift Depositor Protection Oversight Board with periodic financing requests which shall detail - anticipated funding requirements for operations, case resolution, and asset liquidation, anticipated payments on previously issued notes, guarantees, other obligations, and related activities, and any proposed use of notes, guarantees or other obligations. Such financing requests shall be submitted on a quarterly basis or such other period as the Thrift Depositor Protection Oversight Board determines necessary. Following approval by the Thrift Depositor Protection Oversight Board, such requests shall form the basis for expending funds provided by the Treasury, for transferring funds from the Resolution Funding Corporation to the Corporation and the issuance of capital certificates by the Corporation in exchange therefor. (13) Goal for participation of small business concerns
The Corporation shall have an annual goal that presents the maximum practicable opportunity for small business concerns, small business concerns owned and controlled by socially and economically disadvantaged individuals, and qualified HUBZone small business concerns (as defined in section 632(p) of title 15) to participate in the performance of contracts awarded by the Corporation. (14) Extension of statute of limitations
(A) Tort actions for which the prior limitation has run
(i) In general
which is described in clause (ii); and for which the applicable statute of limitations under section 1821(d)(14)(A)(ii) of this title has expired before December 17, 1993; the statute of limitations which shall apply to an action brought on such claim by the Corporation in the Corporation's capacity as conservator or receiver of an institution described in paragraph (3)(A) shall be the period determined under subparagraph (C). (ii) Claims described
A tort claim referred to in clause (i)(I) with respect to an institution described in paragraph (3)(A) is a claim arising from fraud, intentional misconduct resulting in unjust enrichment, or intentional misconduct resulting in substantial loss to the institution. (B) Tort actions for which the prior limitation has not run
(i) In general
Notwithstanding section 1821(d)(14)(A) of this title, in the case of any tort claim - which is described in clause (ii); and for which the applicable statute of limitations under section 1821(d)(14)(A)(ii) of this title has not expired as of December 17, 1993; the statute of limitations which shall apply to an action brought on such claim by the Corporation in the Corporation's capacity as conservator or receiver of an institution described in paragraph (3)(A) shall be the period determined under subparagraph (C). (ii) Claims described
A tort claim referred to in clause (i)(I) with respect to an institution described in paragraph (3)(A) is a claim arising from gross negligence or conduct that demonstrates a greater disregard of a duty of care than gross negligence, including intentional tortious conduct relating to the institution. (C) Determination of period
The period determined under this subparagraph for any claim to which subparagraph (A) or (B) applies shall be the longer of - the period beginning on the date the claim accrues (as determined pursuant to section 1821(d)(14)(B) of this title) and ending on December 31, 1995 or ending on the date of the termination of the Corporation pursuant to subsection (m)(1) of this section, whichever is later; or the period applicable under State law for such claim. (D) Scope of application
Subparagraphs (A) and (B) shall not apply to any action which is brought after the date of the termination of the Corporation under subsection (m)(1) of this section. (E) Revival of expired State causes of action In the case of any tort claim described in subparagraph (A)(ii) for which the statute of limitation applicable under State law with respect to such claim has expired not more than 5 years before the appointment of the Corporation as conservator or receiver, the Corporation may bring an action as conservator or receiver on such claim without regard to the expiration of the statute of limitation applicable under State law. (15) Purchase rights of tenants
(A) Notice
Except as provided in subparagraph (C), the Corporation may make available for sale a 1- to 4-family residence (including a manufactured home) to which the Corporation acquires title only after the Corporation has provided the household residing in the property notice (in writing and mailed to the property) of the availability of such property and the preference afforded such household under subparagraph (B). (B) Preference
In selling such a property, the Corporation shall give preference to any bona fide offer made by the household residing in the property, if - such offer is substantially similar in amount to other offers made within such period (or expected by the Corporation to be made within such period); such offer is made during the period beginning upon the Corporation making such property available and of a reasonable duration, as determined by the Corporation based on the normal period for sale of such properties; and the household making the offer complies with any other requirements applicable to purchasers of such property, including any downpayment and credit requirements. (C) Exceptions
any residence transferred in connection with the transfer of substantially all of the assets of an insured depository institution for which the Corporation has been appointed conservator or receiver; any eligible single family property (as such term is defined in subsection (c)(9) of this section); or any residence for which the household occupying the residence was the mortgagor under a mortgage on such residence and to which the Corporation acquired title pursuant to default on such mortgage. (16) Preference for sales for homeless families
Subject to paragraph (15), in selling any real property (other than eligible residential property and eligible condominium property, as such terms are defined in subsection (c)(9) of this section) to which the Corporation acquires title, the Corporation shall give preference, among offers to purchase the property that will result in the same net present value proceeds, to any offer that would provide for the property to be used, during the remaining useful life of the property, to provide housing or shelter for homeless persons (as such term is defined in section 103 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11302)) or homeless families. (17) Preferences for sales of certain commercial real properties
(A) Authority
In selling any eligible commercial real properties of the Corporation, the Corporation shall give preference, among offers to purchase the property that will result in the same net present value proceeds, to any offer - that is made by a public agency or nonprofit organization; and under which the purchaser agrees that the property shall be used, during the remaining useful life of the property, for offices and administrative purposes of the purchaser to carry out a program to acquire residential properties to provide homeownership and rental housing opportunities for very-low-, low-, and moderate-income families, or housing or shelter for homeless persons (as such term is defined in section 103 of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11302)) or homeless families. (B) Definitions
(i) Eligible commercial real property
to which the Corporation acquires title, and that the Corporation, in the discretion of the Corporation, determines is suitable for use for the location of offices or other administrative functions involved with carrying out a program referred to in subparagraph (A)(ii). (ii) Nonprofit organization and public agency
The terms ''nonprofit organization'' and ''public agency'' have the same meanings as in subsection (c)(9) of this section. (c) Disposition of eligible residential properties
(1) Purpose
The purpose of this subsection is to provide homeownership and rental housing opportunities for very low-income, lower-income, and moderate-income families. (2) Rules governing disposition of eligible single family properties
(A) Notice to clearinghouses
Within a reasonable period of time after acquiring title to an eligible single family property, the Corporation shall provide written notice to clearinghouses. Such notice shall contain basic information about the property, including but not limited to location, condition, and information relating to the estimated fair market value of the property. Each clearinghouse shall make such information available, upon request, to other public agencies, other nonprofit organizations, and qualifying households. The Corporation shall allow public agencies, nonprofit organizations, and qualifying households reasonable access to eligible single family property for purposes of inspection. (B) Offers to sell single family properties to nonprofit organizations, public agencies, and qualifying households Except as provided in the last sentence of this subparagraph date on which the Corporation makes an eligible single family property available for sale, the Corporation shall offer to sell the property to qualifying households (including qualifying households with members who are veterans), or public agencies or nonprofit organizations that agree to make the property available for occupancy by and maintain it as affordable for lower-income families (including lower-income families with members who are veterans) for the remaining useful life of such property, or make the property available for purchase by any such family who, except as provided in subparagraph (D), agrees to occupy the property as a principal residence for at least 12 months and who certifies in writing that the family intends to occupy the property for at least 12 months. The restrictions described in subclause (I) of the preceding sentence shall be contained in the deed or other recorded instrument. If upon the expiration of such 3-month and one week period, no qualifying household, public agency, or nonprofit organization has made a bona fide offer to purchase the property, the Corporation may offer to sell the property to any purchaser. The Corporation shall actively market eligible single family properties for sale to lower-income families and to lower-income families with members who are veterans. To the extent or in such amounts as are provided in appropriations Acts for additional costs and losses to the Corporation resulting from this sentence taking effect, for purposes of this subsection the period referred to in the first and third sentences shall be considered to be the 180-day period following the date on which the Corporation first makes an eligible single family property available for sale. (C) Recapture of profits from resale
to a qualifying household, or to a lower-income family pursuant to subparagraph (B)(ii)(II), paragraph (12)(C)(i), or paragraph (13)(B), is resold by the qualifying household or lower-income family during the 1-year period beginning upon initial acquisition by the household or lower-income family, the Corporation shall recapture 75 percent of the amount of any proceeds from the resale that exceed the sum of the original sale price for the acquisition of the property by the qualifying household or lower-income family; the costs of any improvements to the property made after the date of the acquisition, and any closing costs in connection with the acquisition. (D) Exceptions to recapture requirement
(i) Relocation
to any qualifying household of the requirement under subparagraph (C) and the requirements relating to residency of a qualifying household under paragraphs (9)(L)(ii) and (iii), and to any lower-income family of the requirement under subparagraph (C) and the residency requirements under subparagraph (B)(ii)(II). The Corporation may grant any such a waiver only for good cause shown, including any necessary relocation of the qualifying household or lower-income family. (ii) Other recapture provisions
The requirement under subparagraph (C) shall not apply to any eligible single family property for which, upon resale by the qualifying household or lower-income family during the 1-year period beginning upon initial acquisition by the household or family, a portion of the sale proceeds or any subsidy provided in connection with the acquisition of the property by the household or family is required to be recaptured or repaid under any other Federal, State, or local law (including section 143(m) of title 26) or regulation or under any sale agreement. (E) Exception to avoid displacement of existing residents
Notwithstanding the first sentence of subparagraph (B), during the 180-day period following the date on which the Corporation makes an eligible single family property available for sale, the Corporation may sell the property to the household residing in the property, but only if such household was residing in the property at the time notice regarding the property was provided to clearinghouses under subparagraph (A), such sale is necessary to avoid the displacement of, and unnecessary hardship to, the resident household, the resident household intends to occupy the property as a principal residence for at least 12 months, and and the resident household certifies in writing that the household intends to occupy the property for at least 12 months. (3) Rules governing disposition of eligible multifamily housing properties
Except as provided under paragraph (6)(D), the Corporation shall dispose of eligible multifamily housing property as follows: (A) Notice to clearinghouses
Within a reasonable period of time after acquiring title to an eligible multifamily housing property, the Corporation shall provide written notice to clearinghouses. Such notice shall contain basic information about the property, including but not limited to location, number of units (identified by number of bedrooms), and information relating to the estimated fair market value of the property. The clearinghouses shall make such information available, upon request, to qualifying multifamily purchasers. The Corporation shall allow qualifying multifamily purchasers reasonable access to an eligible multifamily housing property for purposes of inspection. (B) Expression of serious interest
Qualifying multifamily purchasers may give written notice of serious interest in a property during a period ending 90 days after the time the Corporation provides notice under subparagraph (A). Such notice of serious interest shall be in such form and include such information as the Corporation may prescribe. (C) Notice of readiness for sale Upon the expiration of the period referred to in subparagraph (B) for a property, the Corporation shall provide written notice to any qualifying multifamily purchaser that has expressed serious interest in the property. Such notice shall specify the minimum terms and conditions for sale of the property. (D) Offers to purchase
A qualifying multifamily purchaser receiving notice in accordance with subparagraph (C) shall have 45 days (from the date notice is received) to make a bona fide offer to purchase a property. The Corporation shall accept an offer that complies with the terms and conditions established by the Corporation. If, before the expiration of such 45-day period, any offer to purchase a property initially accepted by the Corporation is subsequently rejected or fails (for any reason), the Corporation shall accept another offer to purchase the property made during such period that complies with the terms and conditions established by the Corporation (if such another offer is made). The preceding sentence may not be construed to require a qualifying multifamily purchaser whose offer is accepted during the 45-day period to purchase the property before the expiration of the period. (E) Lower-income occupancy requirements
(i) Single property purchases
With respect to any purchase of a single eligible multifamily housing property by a qualifying multifamily purchaser under subparagraph (D) - not less than 35 percent of all dwelling units purchased shall be made available for occupancy by and maintained as affordable for lower-income and very low-income families during the remaining useful life of the property in which the units are located; and not less than 20 percent of all dwelling units purchased shall be made available for occupancy by and maintained as affordable for very low-income families (including very low-income families taken into account for purposes of subclause (I)) during the remaining useful life of the property in which the units are located. (ii) Aggregation requirements for multiproperty purchases
With respect to any purchase under subparagraph (D) by a qualifying multifamily purchaser involving more than one eligible multifamily housing property as a part of the same negotiation - the provisions of clause (i) shall apply in the aggregate to the properties so purchased; except that to the extent or in such amounts as are provided in appropriations Acts for additional costs and losses to the Corporation resulting from this subclause taking effect, not less than 40 percent of the aggregate number of all dwelling units purchased shall be made available for occupancy by and maintained as affordable for lower-income and very low-income families during the remaining useful life of the property in which the units are located, 20 percent of the aggregate number of all dwelling units purchased shall be made available for occupancy by and maintained as affordable for very low-income families (including very low-income families taken into account for purposes of subdivision (a) of this subclause) during the remaining useful life of the property in which the units are located, and not less than 10 percent of the dwelling units in each separate property purchased shall be made available for occupancy by and maintained as affordable for lower-income families during the remaining useful life of the property in which the units are located. (F) Sale of multifamily properties to other purchasers
If, upon the expiration of the period referred to in subparagraph (B), no qualifying multifamily purchaser has expressed serious interest in a property, the Corporation may offer to sell the property, individually or in combination with other properties, to any purchaser. The Corporation may not sell in combination with other properties any property which a qualifying multifamily purchaser has expressed serious interest in purchasing individually. If, upon the expiration of the period referred to in subparagraph (D), no qualifying multifamily purchaser has made an offer to purchase the property, the Corporation may sell the property, individually or in combination with other properties, to any purchaser. (G) Extension of restricted offer periods
Notwithstanding subparagraph (F), the Corporation may provide notice to clearinghouses regarding, and offer for sale under the provisions of subparagraphs (A) through (D), any eligible multifamily housing property - in which no qualifying multifamily purchaser has expressed serious interest during the period referred to in subparagraph (B), or for which no qualifying multifamily purchaser has made a bona fide offer before the expiration of the period referred to in subparagraph (D), except that the Corporation may, in the discretion of the Corporation, alter the duration of the periods referred to in subparagraphs (B) and (D) in offering any property for sale under this subparagraph. (H) Exemptions
(i) Continued occupancy of current residents
No purchaser of an eligible multifamily housing property may terminate the occupancy of any person residing in the property on the date of purchase for purposes of meeting the lower-income occupancy requirement applicable to the property under subparagraph (E). The purchaser shall be in compliance with this paragraph if each newly vacant dwelling unit is reserved for lower-income occupancy until the lower-income occupancy requirement is met. (ii) Financial infeasibility
The Secretary of Housing and Urban Development or the State housing finance agency for the State in which the property is located may temporarily reduce the lower-income occupancy requirements applicable to any property under subparagraph (E), if the Secretary or the applicable State housing finance agency determines that an owner's compliance with such requirements is no longer financially feasible. The owner of the property shall make a good-faith effort to return lower-income occupancy to the level required by subparagraph (E), and the Secretary of Housing and Urban Development or the State housing finance agency, as appropriate, shall review the reduction annually to determine whether financial infeasibility continues to exist. (4) Rent limitations
(A) In general
With respect to properties under subparagraph (B), rents charged to tenants for units made available for occupancy by very-low income families shall not exceed 30 percent of the adjusted income of a family whose income equals 50 percent of the median income for the area, as determined by the Secretary, with adjustment for family size. Rents charged to tenants for units made available for occupancy by lower-income families other than very low-income families shall not exceed 30 percent of the adjusted income of a family whose income equals 65 percent of the median income for the area, as determined by the Secretary, with adjustment for family size. (B) Applicability
The rent limitations under this paragraph shall apply to any eligible single-family property sold pursuant to paragraph (2)(B)(ii)(I) and to any multifamily housing property sold pursuant to paragraph (3). (5) Preference for sales
When selling any eligible multifamily housing property or combinations of eligible residential properties, the Corporation shall give preference, among substantially similar offers, to the offer that would reserve the highest percentage of dwelling units for occupancy or purchase by very low-income families and lower-income families and would retain such affordability for the longest term. (6) Financing of sale
(A) Assistance by Corporation
(i) Sale price
The Corporation shall establish a market value for each eligible multifamily housing property. The Corporation shall sell eligible multifamily housing property at the net realizable market value. The Corporation may agree to sell eligible multifamily housing property at a price below the net realizable market value to the extent necessary to facilitate an expedited sale of such property and enable a public agency or nonprofit organization to comply with the lower-income occupancy requirements applicable to such property under paragraph (3). The Corporation may sell eligible single family property or eligible condominium property to qualifying households, nonprofit organizations, and public agencies without regard to any minimum sale price. (ii) Purchase loan
The Corporation may provide a loan at market interest rates to the purchaser of eligible residential property for all or a portion of the purchase price, which loan shall be secured by a first or second mortgage on the property. The Corporation may provide such a loan at below market interest rates to the extent necessary to facilitate an expedited sale of eligible residential property and permit a lower-income family to purchase an eligible single family property under paragraph (2); or a public agency or nonprofit organization to comply with the lower-income occupancy requirements applicable to the purchase of an eligible residential property under paragraph (2) or (3). The Corporation shall provide such loan in a form which would permit its sale or transfer to a subsequent holder. In providing financing for combinations of eligible multifamily housing properties under this subsection, the Corporation may hold a participating share, including a subordinate participation. The Corporation shall periodically provide, to a wide range of minority- and women-owned businesses engaged in providing affordable housing and to nonprofit organizations, more than 50 percent of the control of which is held by 1 or more minority individuals, that are engaged in providing affordable housing, information that is sufficient to inform such businesses and organizations of the availability and terms of financing under this clause; such information may be provided directly, by notices published in periodicals and other publications that regularly provide information to such businesses or organizations, and through persons and organizations that regularly provide information or services to such businesses or organizations. For purposes of this clause, the terms ''women-owned business'' and ''minority-owned business'' have the meanings given such terms in subsection (r) of this section, and the term ''minority'' has the meaning given such term in section 1204(c)(3) of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989. (B) Assistance by HUD
The Secretary shall take such action as may be necessary to expedite the processing of applications for assistance under section 202 of the Housing Act of 1959 (12 U.S.C. 1701q), the United States Housing Act of 1937 (42 U.S.C. 1437 et seq.), title IV of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11361 et seq.), section 810 [5] of the Housing and Community Development Act of 1974 (12 U.S.C. 1706e), and the National Housing Act (12 U.S.C. 1701 et seq.) to enable any organization or individual to purchase eligible residential property. (C) Assistance by FmHA
The Secretary of Agriculture shall take such actions as may be necessary to expedite the processing of applications for assistance under title V of the Housing Act of 1949 (42 U.S.C. 1471 et seq.) to enable any organization or individual to purchase eligible residential property. (D) Exception to disposition rules Notwithstanding the requirements under subparagraphs (A), (B), (C), (D), (F), and (G) of paragraph (3), the Corporation may provide for the disposition of eligible multifamily housing properties as necessary to facilitate purchase of such properties for use in connection with the section 202 of the Housing Act of 1959 (12 U.S.C. 1701q). (E) Urban homesteading acquisition
In providing for bulk acquisition of eligible single family properties by the Secretary under section 810(l) [5] of the Housing and Community Development Act of 1974 (12 U.S.C. 1706e(l)) and by participating jurisdictions for inclusion in affordable housing activities assisted under title II of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 12721 et seq.), the Corporation shall agree to an amount to be paid for acquisition of such properties. The acquisition price shall include discounts for bulk purchase and for holding of the property such that the acquisition price for each property shall not exceed 50 percent of the fair market value of the property, as valued individually. To the extent necessary to facilitate sale of properties to the Secretary and participating jurisdictions, the requirements of paragraphs (2), (5), and (6)(A) of this subsection shall not apply to such transactions and property involved in such transactions. To facilitate acquisitions by the Secretary and participating jurisdictions, the Corporation shall provide the Secretary and participating jurisdictions with an inventory of eligible single family properties, not less than 4 times each year. (7) Contracting rules
Contracts entered into under this subsection shall not be subject to the requirements of subsection (b)(10)(A) of this section. (8) Use of secondary market agencies
(A) In general
In the disposition of eligible residential properties, the Corporation shall, in consultation with the Secretary, explore opportunities to work with secondary market entities to provide housing for lower- and moderate-income families. (B) Credit enhancement
(i) In general
With respect to such Corporation properties, the Secretary may, consistent with statutory authorities, work through the Federal Housing Administration, the Government National Mortgage Association, the Federal National Mortgage Association, the Federal Home Loan Mortgage Corporation, and other secondary market entities to develop risk sharing structures, mortgage insurance, and other credit enhancements to assist in the provision of property ownership, rental, and cooperative housing opportunities for lower- and moderate-income families. (ii) Certain tax-exempt bonds
The Corporation may provide credit enhancements with respect to tax-exempt bonds issued on behalf of nonprofit organizations pursuant to section 103, and subpart A of part IV of subchapter B of chapter 1, of title 26, with respect to the disposition of eligible residential properties for the purposes described in clause (i). (C) Report
In the annual report submitted by the Secretary to the Congress, the Secretary shall include a detailed description of his activities under this paragraph, including recommendations for such additional authorization as he deems necessary to implement the provisions of this subsection. (9) Definitions For purposes of this subsection - (A) Adjusted income and income
The terms ''adjusted income'' and ''income'' shall have the meaning given such terms in section 3(b) of the United States Housing Act of 1937 (42 U.S.C. 1437a(b)). (B) Clearinghouses
the State housing finance agency for the State in which an eligible residential property is located, the Office of Community Investment (or other comparable division) within the Federal Housing Finance Board, and any national nonprofit organizations [6] (including any nonprofit entity established by the corporation established under title IX of the Housing and Community Development Act of 1968 (42 U.S.C. 3931 et seq.)) that the Corporation determines has the capacity to act as a clearinghouse for information. ''organization''. (C) Corporation
(D) Eligible condominium property
The term ''eligible condominium property'' means a condominium unit, as such term is defined in section 3603 of title 15 - to which the Corporation acquires title in its corporate capacity, its capacity as conservator, or its capacity as receiver (including its capacity as the sole owner of a subsidiary corporation of a depository institution under conservatorship or receivership, which subsidiary has as its principal business the ownership of real property); and that has an appraised value that does not exceed - $67,500 in the case of a 1-family residence, $76,000 in the case of a 2-family residence, $92,000 in the case of a 3-family residence, and $107,000 in the case of a 4-family residence; or only to the extent or in such amounts as are provided in appropriation Acts for additional costs and losses to the Corporation resulting from this subclause taking effect, the amount provided in section 203(b)(2)(A) of the National Housing Act (12 U.S.C. 1709(b)(2)(A)), except that such amount shall not exceed $101,250 in the case of a 1-family residence, $114,000 in the case of a 2-family residence, $138,000 in the case of a 3-family residence, and $160,500 in the case of a 4-family residence. (E) Eligible multifamily housing property
(i) Basic definition
The term ''eligible multifamily housing property'' means a property consisting of more than 4 dwelling units - to which the Corporation acquires title either in its corporate capacity or as receiver (including its capacity as the sole owner of a subsidiary corporation of a depository institution under receivership, which subsidiary has as its principal business the ownership of real property), but not in its capacity as an operating conservator; and that has an appraised value that does not exceed, for such part of the property as may be attributable to dwelling use (excluding exterior land improvements), $29,500 per family unit without a bedroom, $33,816 per family unit with 1 bedroom, $41,120 per family unit with 2 bedrooms, $53,195 per family unit with 3 bedrooms, and $58,392 per family unit with 4 or more bedrooms. (ii) Expanded definition
Notwithstanding clause (i), to the extent or in such amounts as are provided in appropriations Acts for additional costs and losses to the Corporation resulting from this clause taking effect, the term ''eligible multifamily housing property'' shall mean a property consisting of more than 4 dwelling units - to which the Corporation acquires title in its corporate capacity, its capacity as conservator, or its capacity as receiver (including its capacity as the sole owner of a subsidiary corporation of a depository institution under conservatorship or receivership, which subsidiary has as its principal business the ownership of real property); and that has an appraised value that does not exceed, for such part of the property as may be attributable to dwelling use (excluding exterior land improvements), $29,500 per family unit without a bedroom, $33,816 per family unit with 1 bedroom, $41,120 per family unit with 2 bedrooms, $53,195 per family unit with 3 bedrooms, and $58,392 per family unit with 4 or more bedrooms. (F) Eligible residential property
The term ''eligible residential property'' includes eligible single family properties and eligible multifamily housing properties. (G) Eligible single family property
The term ''eligible single family property'' means a 1- to 4-family residence (including a manufactured home) - to which the Corporation acquires title in its corporate capacity, its capacity as conservator, or its capacity as receiver (including its capacity as the sole owner of a subsidiary corporation of a depository institution under conservatorship or receivership, which subsidiary has as its principal business the ownership of real property); and that has an appraised value that does not exceed - $67,500 in the case of a 1-family residence, $76,000 in the case of a 2-family residence, $92,000 in the case of a 3-family residence, and $107,000 in the case of a 4-family residence; or only to the extent or in such amounts as are provided in appropriation Acts for additional costs and losses to the Corporation resulting from this subclause taking effect, the amount provided in section 203(b)(2)(A) of the National Housing Act (12 U.S.C. 1709(b)(2)(A)), except that such amount shall not exceed $101,250 in the case of a 1-family residence, $114,000 in the case of a 2-family residence, $138,000 in the case of a 3-family residence, and $160,500 in the case of a 4-family residence. (H) Lower-income families
The term ''lower-income families'' means families and individuals whose incomes do not exceed 80 percent of the median income of the area involved, as determined by the Secretary, with adjustment for family size. (I) Net realizable market value
The term ''net realizable market value'' means a price below the market value that takes into account any reductions in holding costs resulting from the expedited sale of a property, including but not limited to foregone real estate taxes, insurance, maintenance costs, security costs, and loss of use of funds, and the avoidance, where applicable, of fees paid to real estate brokers, auctioneers, or other individuals or organizations involved in the sale of property owned by the Corporation. (J) Nonprofit organization
The term ''nonprofit organization'' means a private organization (including a limited equity cooperative) - no part of the net earnings of which inures to the benefit of any member, shareholder, founder, contributor, or individual; and that is approved by the Corporation as to financial responsibility. (K) Public agency
means any Federal, State, local, or other governmental entity; and includes any public housing agency. (L) Qualifying household
who agrees to occupy the property as a principal residence for at least 12 months (except as provided in paragraph (2)(D)); who certifies in writing that the household intends to occupy the property as a principal residence for at least 12 months (except as provided in paragraph (2)(D)); and whose income does not exceed 115 percent of the median income for the area, as determined by the Secretary, with adjustment for family size. (M) Qualifying multifamily purchaser
a public agency, a nonprofit organization, or a for-profit entity which makes a commitment (for itself or any related entity) to satisfy the lower-income occupancy requirements specified under paragraph (3)(E) for any eligible multifamily property for which an offer to purchase is made during or after the periods specified under paragraph (3). (N) Rural area
The term ''rural area'' has the meaning given such term in section 520 of the Housing Act of 1949 (42 U.S.C. 1490). (O) Secretary
(P) State housing finance agency
The term ''State housing finance agency'' means the public agency, authority, corporation, or other instrumentality of a State that has the authority to provide residential mortgage loan financing throughout such State. (Q) Very low-income families
The term ''very-low income families'' means families and individuals whose incomes do not exceed 50 percent of the median income of the area involved, as determined by the Secretary, with adjustment for family size. (10) Exemption for certain transactions with insured depository institutions
The provisions of this subsection shall not apply with respect to any eligible residential property after the date the Corporation enters into a contract to sell such property to an insured depository institution (as defined in section 1813 of this title), including any sale in connection with a transfer of all or substantially all of the assets of a closed savings association (including such property) to an insured depository institution. (11) Third party rights
(A) In general
The provisions of this subsection, or any failure by the Corporation to comply with such provisions, may not be used by any person to attack or defeat any title to property once it is conveyed by the Corporation. (B) Lower-income occupancy
The lower-income occupancy requirements applicable under paragraphs (2), (3), (12)(C), (13)(B), and (14)(C) shall be judicially enforceable against purchasers of property under this subsection or their successors in interest by affected very low- and lower-income families, State housing finance agencies, and any agency, corporation, or authority of the United States Government. The parties specified in the preceding sentence shall be entitled to reasonable attorney fees upon prevailing in any such judicial action. (C) Clearinghouse
A clearinghouse shall not be subject to suit for its failure to comply with the requirements of this subsection. (D) Corporation
The Corporation shall not be liable to any depositor, creditor, or shareholder of any insured depository institution for which the Corporation has been appointed receiver or conservator, or of any subsidiary corporation of a depository institution under conservatorship or receivership, or any claimant against such an institution or subsidiary, because the disposition of assets of the institution or the subsidiary under this subsection affects the amount of return from the assets. (12) Transfer of certain eligible residential properties to State housing agencies for disposition
Notwithstanding paragraphs (2), (3), (5), and (6), the Corporation may transfer eligible residential properties to the State housing finance agency or any other State housing agency for the State in which the property is located, or to any local housing agency in whose jurisdiction the property is located. Transfers of eligible residential properties under this paragraph may be conducted by direct sale, consignment sale, or any other method the Corporation considers appropriate and shall be subject to the following requirements: (A) Individual or bulk transfer
The Corporation may transfer such properties individually or in bulk, as agreed to by the Corporation and the State housing finance agency or State or local housing agency. (B) Acquisition price and discount
The acquisition price paid by the State housing finance agency or State or local housing agency to the Corporation for properties transferred under this paragraph shall be an amount agreed to by the Corporation and the transferee agency. (C) Lower-income use
Any State housing finance agency or State or local housing agency acquiring properties under this paragraph shall offer to sell or transfer the properties only as follows: (i) Eligible single family properties
to purchasers described under clauses (i) and (ii) of paragraph (2)(B); if the purchaser is a purchaser described under paragraph (2)(B)(ii)(I), subject to the rent limitations under paragraph (4)(A); subject to the requirement in the second sentence of paragraph (2)(B); and subject to recapture by the Corporation of excess proceeds from resale of the properties under subparagraphs (C) and (D) of paragraph (2). (ii) Eligible multifamily housing properties
to qualifying multifamily purchasers; subject to the lower-income occupancy requirements under paragraph (3)(E); subject to the provisions of paragraph (3)(H); subject to a preference, among financially acceptable offers, to the offer that would reserve the highest percentage of dwelling units for occupancy or purchase by very low-income families and lower-income families and would retain such affordability for the longest term; and subject to the rent limitations under paragraph (4)(A). (D) Affordability
The State housing finance agency or State or local housing agency shall endeavor to make the properties transferred under this paragraph more affordable to lower-income families based upon the extent to which the acquisition price of a property under subparagraph (B) is less than the market value of the property. (13) Exception for sales to nonprofit organizations and public agencies
(A) Suspension of offer periods
With respect to any eligible residential property, the Corporation may (in the discretion of the Corporation) suspend any of the requirements of subparagraphs (A) and (B) of paragraph (2) and subparagraphs (A) through (D) of paragraph (3), as applicable, but only to the extent that for the duration of the suspension the Corporation negotiates the sale of the property to a nonprofit organization or public agency. If the property is not sold pursuant to such negotiations, the requirements of any provisions suspended shall apply upon the termination of the suspension. Any time period referred to in such paragraphs shall toll for the duration of any suspension under this subparagraph. (B) Use restrictions
(i) Eligible single family property
made available for occupancy by and maintained as affordable for lower-income families for the remaining useful life of the property, or made available for purchase by such families, subject to the rent limitations under paragraph (4)(A), (III) subject to the requirements relating to residency of a qualifying household under paragraph (9)(L) and to residency of a lower-income family under paragraph (2)(B)(ii), and (IV) subject to recapture by the Corporation of excess proceeds from resale of the property under subparagraphs (C) and (D) of paragraph (2). (ii) Eligible multifamily housing property
Any eligible multifamily housing property sold under this paragraph shall comply with the lower-income occupancy requirements under paragraph (3)(E) and shall be subject to the rent limitations under paragraph (4)(A). (14) Rules governing disposition of eligible condominium property
(A) Notice to clearinghouses
Within a reasonable period of time after acquiring title to an eligible condominium property, the Corporation shall provide written notice to clearinghouses. Such notice shall contain basic information about the property. Each clearinghouse shall make such information available, upon request, to purchasers described in clauses (i) through (iv) of subparagraph (B). The Corporation shall allow such purchasers reasonable access to an eligible condominium property for purposes of inspection. (B) Offers to sell
For the 180-day period following the date on which the Corporation makes an eligible condominium property available for sale, the Corporation may offer to sell the property, at the discretion of the Corporation, to 1 or more of the following purchasers: Qualifying households. Nonprofit organizations. Public agencies. For-profit entities. (C) Lower-income occupancy requirements
(i) In general
Except as provided in clause (ii), any nonprofit organization, public agency, or for-profit entity that purchases an eligible condominium property shall make the property available for occupancy by and maintain it as affordable for lower-income families for the remaining useful life of the property, or make the property available for purchase by any such family who, except as provided in subparagraph (E), agrees to occupy the property as a principal residence for at least 12 months and who certifies in writing that the family intends to occupy the property for at least 12 months. The restriction described in subclause (I) of the preceding sentence shall be contained in the deed or other recorded instrument. (ii) Multiple-unit purchases
If any nonprofit organization, public agency, or for-profit entity purchases more than 1 eligible condominium property as a part of the same negotiation or purchase, the Corporation may (in the discretion of the Corporation) waive the requirement under clause (i) and provide instead that not less than 35 percent of all eligible condominium properties purchased shall be made available for occupancy by and maintained as affordable for lower-income families for the remaining useful life of the property, or made available for purchase by any such family who, except as provided in subparagraph (E), agrees to occupy the property as a principal residence for at least 12 months and who certifies in writing that the family intends to occupy the property for at least 12 months. The restriction described [9] subclause (I) of the preceding sentence shall be contained in the deed or other recorded instrument. (iii) Sale to other purchasers
If, upon the expiration of the 180-day period referred to in subparagraph (B), no purchaser described in clauses (i) through (iv) of subparagraph (B) has made a bona fide offer to purchase the property, the Corporation may offer to sell the property to any other purchaser. (D) Recapture of profits from resale
to a qualifying household, or to a lower-income family pursuant to subparagraph (C)(i)(II) or (C)(ii)(II), is resold by the qualifying household or lower-income family during the 1-year period beginning upon initial acquisition by the household or family, the Corporation shall recapture 75 percent of the amount of any proceeds from the resale that exceed the sum of the original sale price for the acquisition of the property by the qualifying household or lower-income family, the costs of any improvements to the property made after the date of the acquisition, and any closing costs in connection with the acquisition. (E) Exception to recapture requirement
The Corporation (or its successor) may in its discretion waive the applicability to any qualifying household or lower-income family of the requirement under subparagraph (D) and the requirements relating to residency of a qualifying household or lower-income family (under paragraph (9)(L) and subparagraph (C) of this paragraph, respectively). The Corporation may grant any such a [01] waiver only for good cause shown, including any necessary relocation of the qualifying household or lower-income family. (F) Limitations on multiple unit purchases
The Corporation may not sell or offer to sell as part of the same negotiation or purchase any eligible condominium properties that are not located in the same condominium project (as such term is defined in section 3603 of title 15). The preceding sentence may not be construed to require all eligible condominium properties offered or sold as part of the same negotiation or purchase to be located in the same structure. (G) Rent limitations
Rents charged to tenants of eligible condominium properties made available for occupancy by very low-income families shall not exceed 30 percent of the adjusted income of a family whose income equals 50 percent of the median income for the area, as determined by the Secretary, with adjustment for family size. Rents charged to tenants of eligible condominium properties made available for occupancy by lower-income families other than very low-income families shall not exceed 30 percent of the adjusted income of a family whose income equals 65 percent of the median income for the area, as determined by the Secretary, with adjustment for family size. (15) Reports to Congress
(A) In general
The Corporation shall submit to the Congress semiannual reports under this paragraph regarding the disposition of eligible residential properties under this subsection during the most recently concluded reporting period. The first report under this paragraph shall be submitted not later than the expiration of the 4-month period beginning upon the conclusion of the first reporting period under subparagraph (B). Subsequent reports shall be submitted not less than every 6 months after such expiration. (B) Reporting periods
For purposes of this paragraph, the term ''reporting period'' means the 6-month period for which a report under this paragraph is made, except that the first reporting period shall be the period beginning on August 9, 1989, and ending on December 12, 1991. Each successive reporting period shall begin upon the conclusion of the preceding reporting period. (C) Information regarding properties sold
Each report under this paragraph shall contain information regarding each eligible residential property sold by the Corporation during the applicable reporting period, as follows: A description of the property, the location of the property, and the number of dwelling units in the property. The appraised value of the property. The sale price of the property. For eligible single family properties - the income and race of the purchaser of the property, if the property is sold to an occupying household or is sold for resale to an occupying household; and whether the property is reserved for residency by very low- or lower-income families, if the property is sold for use as rental property. For eligible multifamily housing properties, the number and percentage of dwelling units in the property reserved for occupancy by very low- and lower-income families. The number of eligible single family properties sold after the expiration of the offer period for such properties referred to in paragraph (2)(B). The number of eligible multifamily housing properties sold after the expiration of the periods for such properties referred to in subparagraphs (B) and (D) of paragraph (3). (D) Number of properties within windows
The number of eligible single family properties for which the offer period referred to in paragraph (2)(B) had not expired before the conclusion of the applicable reporting period (or had not yet commenced). The number of eligible multifamily housing properties for which the 90-day period referred to in paragraph (3)(B) had not expired before the conclusion of the applicable reporting period (or had not yet commenced). (16) Notice to clearinghouses regarding ineligible properties
(A) In general
Within a reasonable period of time after acquiring title to an ineligible residential property, the Corporation shall, to the extent practicable, provide written notice to clearinghouses. (B) Content
For ineligible single family properties, such notice shall contain the same information about such properties that the notice required under paragraph (2)(A) contains with respect to eligible single family properties. For ineligible multifamily housing properties, such notice shall contain the same information about such properties that the notice required under paragraph (3)(A) contains with respect to eligible multifamily housing properties. For ineligible condominium properties, such notice shall contain the same information about such properties that the notice required under paragraph (14)(A) contains with respect to eligible condominium properties. (C) Availability
The clearinghouses shall make such information available, upon request, to other public agencies, other nonprofit organizations, qualifying households, qualifying multifamily purchasers, and other purchasers, as appropriate. (D) Definitions
(i) Ineligible condominium property
The term ''ineligible condominium property'' means a condominium unit, as such term is defined in section 3603 of title 15 - to which the Corporation acquires title in its corporate capacity, its capacity as conservator, or its capacity as receiver (including its capacity as the sole owner of a subsidiary corporation of a depository institution under conservatorship or receivership, which subsidiary corporation has as its principal business the ownership of real property); that has an appraised value that does not exceed the applicable dollar amount limitation for the property under paragraph (9)(D)(ii)(II); and that is not an eligible condominium property. (ii) Ineligible multifamily housing property
The term ''ineligible multifamily housing property'' means a property consisting of more than 4 dwelling units - to which the Corporation acquires title in its capacity as conservator (including its capacity as the sole owner of a subsidiary corporation of a depository institution under conservatorship, which subsidiary corporation has as its principal business the ownership of real property); that has an appraised value that does not exceed, for such part of the property as may be attributable to dwelling use (excluding exterior land improvements), the dollar amount limitations under paragraph (9)(E)(i)(II); and that is not an eligible multifamily housing property. (iii) Ineligible single family property The term ''ineligible single family property'' means a 1- to 4-family residence (including a manufactured home) - to which the Corporation acquires title in its corporate capacity, its capacity as conservator, or its capacity as receiver (including its capacity as the sole owner of a subsidiary corporation of a depository institution under conservatorship or receivership, which subsidiary corporation has as its principal business the ownership of real property); that has an appraised value that does not exceed the applicable dollar amount limitation for the property under paragraph (9)(G)(ii)(II); and that is not an eligible single family property. (iv) Ineligible residential property
The term ''ineligible residential property'' includes ineligible single family properties, ineligible multifamily housing properties, and ineligible condominium properties. (17) Unified affordable housing program
(A) In general
Not later than 4 months after December 17, 1993, the Corporation shall enter into an agreement, as described in section 1831q(n)(3) of this title, with the Federal Deposit Insurance Corporation that sets out a plan for the orderly unification of the Corporation's activities, authorities, and responsibilities under this subsection with the authorities, activities, and responsibilities of the Federal Deposit Insurance Corporation pursuant to section 1831q of this title in a manner that best achieves an effective and comprehensive affordable housing program management structure. The agreement shall be entered into after consultation with the Affordable Housing Advisory Board under section 14(b) of the Resolution Trust Corporation Completion Act. (B) Authority and implementation
The Corporation shall have the authority to carry out the provisions of the agreement entered into pursuant to subparagraph (A) and shall implement such agreement as soon as practicable, but in no event later than 8 months after December 17, 1993. (C) Transfer of authority
Effective upon October 1, 1995, any remaining authority and responsibilities of the Corporation under this subsection shall be carried out by the Federal Deposit Insurance Corporation. (d) National and regional advisory boards
(1) National advisory board
(A) Establishment
The Thrift Depositor Protection Oversight Board shall establish a national advisory board to provide information to the Thrift Depositor Protection Oversight Board, and to advise that Board on policies and programs for the sale or other disposition of real property assets of institutions which are described in subsection (b)(3)(A) of this section. (B) Membership
a chairperson appointed by the Thrift Depositor Protection Oversight Board; and the chairpersons of any regional advisory boards established pursuant to paragraph (3). (C) Meetings
The national advisory board shall meet 4 times a year, or more frequently if requested by the Corporation. (Reserved) (3) Regional advisory boards
(A) Establishment
The Thrift Depositor Protection Oversight Board shall establish not less than 6 regional advisory boards to advise the Corporation on the policies and programs for the sale or other disposition of real property assets of institutions described in subsection (b)(3)(A) of this section. Such regional advisory boards shall be established in any region where the Thrift Depositor Protection Oversight Board determines that there exists a significant portfolio of real property assets of institutions which are described in subsection (b)(3)(A) of this section. (B) Membership
(i) Appointment
Each member shall be appointed by the Thrift Depositor Protection Oversight Board and shall serve at the pleasure of the Thrift Depositor Protection Oversight Board. The members shall be selected from those residents of the region who will represent the views of low- and moderate-income consumers and small businesses, or who have knowledge and experience regarding business, financial, and real estate matters. (ii) Terms
Each member of a regional advisory board shall serve a term not to exceed 2 years, except that the Thrift Depositor Protection Oversight Board may provide for classes of members so that the terms of not more than 3 members of any such board shall expire in any 1 year. (C) Meetings
Each regional advisory board shall meet 4 times a year, or more frequently if requested by the Corporation. A regional advisory board shall conduct its meetings in its region. (4) Prohibition on compensation
Members of the national and regional advisory boards shall serve without compensation, except that such members shall be entitled to receive allowances in accordance with subchapter I of chapter 57 of title 5 for necessary expenses of travel, lodging, and subsistence incurred in attending official meetings and other activities of the boards. (5) Treatment as advisory committee and termination of national and regional advisory boards
(A) Federal Advisory Committee Act
The national and regional advisory boards shall be subject to the provisions of the Federal Advisory Committee Act. (B) Termination
Notwithstanding the provisions of the Federal Advisory Committee Act, the national advisory board and any regional advisory board established pursuant to this subsection which is in existence on the date on which the Corporation terminates shall also terminate on such date. (e) Institutions organized by Corporation
(1) Limitations on certain activities
All insured depository institutions (as defined in section 1813 of this title) organized by the Corporation under this section shall, during the period such institutions are within the control of the Corporation, be subject to such limitations, restrictions, and conditions as determined by the Corporation with respect to the following activities: Growth of assets. Lending and borrowing activities. Asset acquisitions. Use of brokered deposits. Payment of deposit rates. Setting policy or credit standards. Capital standards. (2) Applicability of other provisions of law
Except as otherwise provided, all insured depository institutions (defined in section 1813 of this title) organized by the Corporation shall - be subject to all laws and rules otherwise applicable to them as insured depository institutions, and shall [11] be subject to the supervision of the appropriate Federal banking agency (as that term is defined in section 1813 of this title). (f) Limitation on certain Corporation activities
(1) Certain sales prohibited
The Corporation shall prescribe regulations to prohibit the sale of assets of a failed institution by the Corporation to any person who - has defaulted, or was a member of a partnership or an officer or director of a corporation which has defaulted, on 1 or more obligations the aggregate amount of which exceed $1,000,000 to such failed institution; has been found to have engaged in fraudulent activity in connection with any obligation referred to in clause (i); and proposes to purchase any such asset in whole or in part through the use of the proceeds of a loan or advance of credit from the Corporation or from any institution subject to the jurisdiction of the Corporation pursuant to paragraph (3)(A); participated, as an officer or director of such failed institution or of any affiliate of such institution, in a material way in transactions that resulted in a substantial loss to such failed institution; has been removed from, or prohibited from participating in the affairs of, such failed institution pursuant to any final enforcement action by an appropriate Federal banking agency; or has demonstrated a pattern or practice of defalcation regarding obligations to such failed institution. (2) Settlement of claims; definitions
(A) Settlement of claims
Nothing in this subsection shall prohibit the Corporation from selling or otherwise transferring any asset to any person if the sale or transfer of the asset resolves or settles, or is part of the resolution or settlement, of obligations owed by the person to the failed institution or the Corporation. (B) Definitions For purposes of paragraph (1) - (i) Default
The term ''default'' means a failure to comply with the terms of a loan or other obligation to such an extent that the property securing the obligation is foreclosed upon. (ii) Affiliate
The term ''affiliate'' has the meaning given to such term in section 1841(k) of this title. (g) Exemption from State and local taxation
The Corporation and the Thrift Depositor Protection Oversight Board, the capital, reserves, surpluses, and assets of the Corporation and the Thrift Depositor Protection Oversight Board, and the income derived from such capital, reserves, surpluses, or assets shall be exempt from State, municipal, and local taxation except taxes on real estate held by the Corporation, according to its value as other similar property held by other persons is taxed. (h) Guarantees of FSLIC
(1) Assumption by Corporation On August 9, 1989, the Corporation shall, by operation of law (and without further action by the Corporation, the Thrift Depositor Protection Oversight Board, the Federal Housing Finance Board, the Federal Savings and Loan Insurance Corporation, or any court), assume all rights and obligations of the Federal Savings and Loan Insurance Corporation with respect to any guarantee issued by the Federal Savings and Loan Insurance Corporation during the period beginning on January 1, 1989, and ending on August 9, 1989, in connection with any loan to any savings association by any Federal Reserve bank or Federal Home Loan Bank (hereinafter in this subsection referred to as a ''lender''). (2) Payment by Corporation
Any obligation assumed by the Corporation for any guarantee described in paragraph (1) to any lender shall be paid by the Corporation before the end of the 1-year period beginning on August 9, 1989. Payment shall be made from funds or assets available to the Corporation. (3) Priority of claims of lenders
Any claim by a lender with respect to any obligation assumed by the Corporation for a guarantee described in paragraph (1) shall have priority over all other secured or unsecured obligations of the Corporation. (4) Treasury backup
If the resources of the Corporation are insufficient to pay all the obligations assumed by the Corporation under paragraph (1) within the 1-year period, the Secretary of the Treasury shall pay the amount of any such deficiency. There are hereby appropriated to the Secretary for fiscal year 1989 and each fiscal year thereafter, such sums as may be necessary to pay such deficiency. (i) Funding
(1) Borrowing
(A) In general
The Corporation, upon approval of the Thrift Depositor Protection Oversight Board, is authorized to borrow from the Treasury. The Secretary of the Treasury is authorized and directed to loan to the Corporation, on such terms as may be fixed by the Secretary of the Treasury, an amount not exceeding in the aggregate $5,000,000,000 outstanding at any one time. (B) Interest rate
Each such loan shall bear interest at a rate determined by the Secretary of the Treasury, taking into consideration current market yields on outstanding marketable obligations of the United States of comparable maturities. (2) Interim funding The Secretary of the Treasury shall provide the sum of $30,000,000,000 to the Corporation to carry out the purposes of this section. (3) Additional interim funding
In addition to amounts provided under paragraph (2), the Secretary of the Treasury shall provide to the Corporation such sums as may be necessary, not to exceed $25 billion, to carry out the purposes of this section. Conditions on availability of final funding in excess of $10,000,000,000 (A) Certification required
Of the funds appropriated under paragraph (3) which are provided after April 1, 1993, any amount in excess of $10,000,000,000 shall not be available to the Corporation before the date on which the Secretary of the Treasury certifies to the Congress that, since December 17, 1993, the Corporation has taken such action as may be necessary to comply with the requirements of subsection (w) of this section or that, as of the date of the certification, the Corporation is continuing to make adequate progress toward full compliance with such requirements. (B) Appearance upon request
The Secretary of the Treasury shall appear before the Committee on Banking, Finance and Urban Affairs of the House of Representatives or the Committee on Banking, Housing, and Urban Affairs of the Senate, upon the request of the chairman of the committee, to report on any certification made to the Congress under subparagraph (A). (5) Return to Treasury
If the aggregate amount of funds transferred to the Corporation pursuant to this subsection exceeds the amount needed to carry out the purposes of this section or to meet the requirements of section 1821(a)(6)(F) of this title, such excess amount shall be deposited in the general fund of the Treasury. (6) Funds only for depositors
Notwithstanding any provision of law other than section 1823(c)(4)(G) of this title, funds appropriated under this section shall not be used in any manner to benefit any shareholder of - any insured depository institution for which the Corporation has been appointed conservator or receiver, in connection with any type of resolution by the Corporation; any other insured depository institution in default or in danger of default, in connection with any type of resolution by the Corporation; or any insured depository institution, in connection with the provision of assistance under section 1821 or 1823 of this title with respect to such institution, except that this subparagraph shall not prohibit assistance to any insured depository institution that is not in default, or that is not in danger of default, that is acquiring (as defined in section 1823(f)(8)(B) of this title) another insured depository institution. (j) Maximum amount limitations on outstanding obligations
(1) In general
the sum of - the total amount of contributions received from the Resolution Funding Corporation; and the total amount of outstanding obligations of the Corporation; minus the sum of - the amount of cash held by the Corporation; and the amount which is equal to 85 percent of the Corporation's estimate of the fair market value of other assets held by the Corporation, may not exceed $50,000,000,000. (2) ''Outstanding obligation'' defined
For purposes of this subsection (other than paragraph (3)), the term ''outstanding obligation'' includes - any obligation or other liability assumed by the Corporation from the Federal Savings and Loan Insurance Corporation under this section or pursuant to any provision of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989; any guarantee issued by the Corporation; the total of the outstanding amounts borrowed from the Secretary of the Treasury pursuant to subsection (i) of this section; and any other obligation for which the Corporation has a direct or contingent liability to pay any amount. (3) Full faith and credit
The full faith and credit of the United States is pledged to the payment of any obligation issued by the Corporation, with respect to both principal and interest, if - the principal amount of such obligation is stated in the obligation; and the term to maturity or the date of maturity of such obligation is stated in the obligation. (4) Estimates of costs of contingent liabilities required
(A) In general
estimate the cost to such Corporation of any contingent liability of the Corporation; and at least once each calendar quarter, make such adjustment as is appropriate in the estimate of such cost. (B) Inclusion in financial statements and outstanding obligations
The estimated amount of the cost to the Corporation of any contingent liability of the Corporation (taking into account the most recent adjustment to such estimate pursuant to paragraph (A)(ii)) shall be - treated as an outstanding obligation of the Corporation for purposes of this subsection; and included in any financial statement of the Corporation. (k) Reporting and disclosure obligations
(1) Audits
(A) Annual audit
Notwithstanding section 9105 of title 31, the Comptroller General shall audit annually the financial statements of the Corporation in accordance with generally accepted Government auditing standards. The audited statements shall be transmitted to the Congress by the Thrift Depositor Protection Oversight Board not later than 180 days after the end of the Corporation's fiscal year to which those statements apply. (B) Access to books and records
All books, records, accounts, reports, files, and property belonging to or used by the Corporation, or the Thrift Depositor Protection Oversight Board shall be made available to the Comptroller General. (2) Public disclosure of transactions
(A) Disclosure required
Except as otherwise provided in this subsection, the Corporation shall make available to the public - any agreement entered into by the Corporation relating to a transaction for which the Corporation provides assistance pursuant to section 1823(c) of this title, not later than 30 days after the first meeting of the Thrift Depositor Protection Oversight Board after such agreement is entered into; and all agreements relating to cases reviewed by the Corporation pursuant to subsection (b)(11)(B) of this section. (B) Exception for disclosures against the public interest
(i) In general
The Thrift Depositor Protection Oversight Board may withhold from public disclosure any document or part of a document if the Thrift Depositor Protection Oversight Board determines, by a unanimous affirmative vote of the members of the Board, that disclosure would be contrary to the public interest. (ii) Report of determination
A written report shall be made of any determination by the Thrift Depositor Protection Oversight Board to withhold any part of a document from public disclosure pursuant to clause (i). Such report shall contain a full explanation of the specific reasons for such determination. (iii) Publication and submission of report
published in the Federal Register; and transmitted to the Committee on Banking, Finance and Urban Affairs of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate. (C) ''Agreement'' defined
all documents which effectuate the terms and conditions of the assisted transaction; a comparison, which the Corporation shall prepare of - the estimated cost of the transaction, with the estimated cost of liquidating the insured institution; and a description of any economic or statistical assumptions on which such estimates are based. (3) Disclosure to Congress of transactions
(A) Prospective transactions
The Corporation shall make available to the Committee on Banking, Finance and Urban Affairs of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate any agreement entered into by the Corporation relating to a transaction for which the Corporation provides assistance pursuant to section 1823(c) of this title not later than 25 days after the first meeting of the Thrift Depositor Protection Oversight Board after such agreement is entered into. The foregoing requirement is in addition to the Corporation's obligation to make such agreements publicly available pursuant to paragraph (2). (B) Prior transactions
The Corporation shall submit a report to the Thrift Depositor Protection Oversight Board and the Congress containing the results and conclusions of the review of the 1988 transactions conducted pursuant to subsection (b)(10)(B) of this section and such recommendations for legislative action as the Corporation may determine to be appropriate. (4) Annual reports
(A) In general
The Thrift Depositor Protection Oversight Board and the Corporation shall annually submit a full report of their respective operations, activities, budgets, receipts, and expenditures for the preceding 12-month period. (B) Contents
audited statements and such information as is necessary to make known the financial condition and operations of the Corporation in accordance with generally accepted accounting principles; the Corporation's financial operating plans and forecasts (including budgets, estimates of actual and future spending, and estimates of actual and future cash obligations) taking into account the Corporation's financial commitments, guarantees, and other contingent liabilities; the number of minority and women investors participating in the bidding process for assisted acquisitions and the disposition of assets and the number of successful bids by such investors; a list of the properties sold to State housing finance authorities (as such term is defined in section 1301 of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 1441a-1)), the individual purchase prices of such properties, and an estimate of the premium paid by such authorities for such properties; and descriptions of the operations and activities of the national and regional advisory boards established under subsection (d) of this section and financial statements detailing the expenses of such boards. (C) Submission to Congress and the President
The Corporation shall submit each annual report required under this subsection to the Congress and the President as soon as practicable after the end of the calendar year for which such report is made but not later than June 30 of the year following such calendar year. (5) Additional reports
(A) Reports required In addition to the annual report required under paragraph (4), the Thrift Depositor Protection Oversight Board and the Corporation shall submit to Congress not later than April 30 and October 31 of each calendar year, a semiannual report on the activities and efforts of the Corporation, the Federal Deposit Insurance Corporation, and the Thrift Depositor Protection Oversight Board for the 6-month period ending on the last day of the month prior to the month in which such report is required to be submitted. (B) Contents of report
Each semiannual report required under subparagraph (A) shall include the following information with respect to the Corporation's assets and liabilities and to the assets and liabilities of institutions described in subsection (b)(3)(A) of this section: A statement of the total book value of all assets held or managed by the Corporation at the beginning and end of the reporting period. A statement of the total book value of such assets which are under contract to be managed by private persons and entities at the beginning and end of the reporting period. The number of employees of the Corporation, the Federal Deposit Insurance Corporation, and the Thrift Depositor Protection Oversight Board at the beginning and end of the reporting period. The total amounts expended on employee wages, salaries, and overhead, during such period which are attributable to - contracting with, supervising, or reviewing the performance of private contractors, or managing or disposing of such assets. A statement of the total amount expended on private contractors for the management of such assets. A statement of the efforts of the Corporation to maximize the efficient utilization of the resources of the private sector during the reporting period and in future reporting periods and a description of the policies and procedures adopted to ensure adequate competition and fair and consistent treatment of qualified third parties seeking to provide services to the Corporation or the Federal Deposit Insurance Corporation. The total book value and total proceeds from such assets disposed of during the reporting period. Summary data on discounts from book value at which such assets were sold or otherwise disposed of during the reporting period. A list of all of the areas that carried a distressed area designation during the reporting period (including a justification for removal of areas from or addition of areas to the list of distressed areas). An evaluation of market conditions in distressed areas and a description of any changes in conditions during the reporting period. Any change adopted by the Thrift Depositor Protection Oversight Board in a minimum disposition price and the reasons for such change. The valuation method or methods adopted by the Thrift Depositor Protection Oversight Board or the Corporation to value assets and the reasons for selecting such methods. A complete description of all actions taken by the Corporation pursuant to subsections (a), (b), and (c) of section 1216 of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 1833e(a), (b), (c)) with respect to the employment of and contracting with minorities, women, and businesses owned or controlled by minorities or women and any other activity of the Corporation pursuant to the outreach program of the Corporation for minorities and women. Such description shall specify the steps taken by the Corporation, in its corporate capacity and its capacity as conservator or receiver, to implement the minority and women outreach programs required by section 1216(c) of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 1833e(c)) and shall set forth information and data showing - the extent to which and means by which contract solicitations have been directed to minorities, women, and businesses owned or controlled by minorities or women by the Corporation and by the Federal Deposit Insurance Corporation on behalf of the Corporation; the extent to which prime contracts and subcontracts have been awarded to minorities, women, and businesses owned or controlled by minorities or women, including data with respect to the number of such contracts, the dollar amounts thereof, and the percentage of Corporation contracting activity represented thereby (including contracting activity by the Federal Deposit Insurance Corporation on behalf of the Corporation); contracting and outreach activity with respect to joint ventures and other business arrangements in which minorities, women, or businesses owned or controlled by minorities or women have a participation or interest; and the extent to which the Corporation's minority and women contracting outreach programs have been successful in maximizing opportunities through the outreach policies established by the Corporation for participation of minorities, women, and businesses owned or controlled by minorities or women in the Corporation's contracting activities. (C) Supplemental unaudited financial statements In addition to the annual report required under paragraph (4), the Thrift Depositor Protection Oversight Board and the Corporation shall submit to the Congress, not later than September 30 of each calendar year, an unaudited financial statement for the 6-month period ending on June 30 of such year. (6) Appearances before Congressional committees
Not later than 30 days after submission of the semiannual reports required by paragraph (5), the Thrift Depositor Protection Oversight Board shall appear before the Committee on Banking, Finance and Urban Affairs of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate to - report on the progress made during such period in resolving cases involving institutions described in subsection (b)(3)(A) of this section; provide an estimate of the short-term and long-term cost to the United States Government of obligations issued or incurred during such period; report on the progress made during such period in selling assets of institutions described in subsection (b)(3)(A) of this section and the impact such sales are having on the local markets in which such assets are located; describe the costs incurred by the Corporation in issuing obligations, managing and selling assets acquired by the Corporation; provide an estimate of the income of the Corporation from assets acquired by the Corporation; provide an assessment of any potential source of additional funds for the Corporation; and provide an estimate of the remaining exposure of the United States Government in connection with institutions described in subsection (b)(3)(A) of this section which, in the Thrift Depositor Protection Oversight Board's estimation, will require assistance or liquidation after the end of such period. (7) Quarterly reports
Not later than May 31, August 31, November 30, and the last day of February of each year, the Corporation shall submit a report to the Committee on Banking, Finance and Urban Affairs of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate containing the following information for the preceding calendar quarter: (A) Asset sales
The report shall contain the following information with respect to assets of institutions described in subsection (b)(3)(A) of this section which were disposed of by the Corporation during the quarter covered by the report: The total amount of the actual sales of assets during the quarter. The value of the assets as determined on the basis of the amount at which each such asset was accounted for on the books of the institution. The fair market value of the assets as estimated by the Corporation for purposes of securing amounts borrowed from the Federal Financing Bank by the Corporation. The net recovery on asset sales during the quarter. A subtotal of the value of the assets disposed of during the quarter in each of the following categories: Cash and securities. Mortgage loans for 1- to 4-family dwellings. Construction and land loans. Other mortgage loans. Consumer loans. Commercial loans. Real estate owned assets. Other assets. (B) Auction sales
The report shall contain information regarding auction sales of RTC assets, including the following information: The date and location of each auction sale during the quarter. The total value of the sales of assets sold during an auction during the quarter. The total value of assets sold at each auction, as determined on the basis of the amount at which each such asset was accounted for on the books of the institution [1] So in original. Probably should be followed by a period. [2] See References in Text note below. [3] So in original. Probably should be subsection [4] for the 3-month and one week period following the [4] So in original. Probably should be followed by a comma. [5] See References in Text note below. [6] So in original. Probably should be [7] So in original. Probably should be ''principal''. [8] So in original. The word ''the'' probably should not appear. [9] So in original. Probably should be ''described in''. [01] So in original. The word ''a'' probably should not appear. [11] So in original. The word ''shall'' probably should not appear. [21] So in original. No subpar. (B) has been enacted. |
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