Page:United States Statutes at Large Volume 106 Part 5.djvu/315

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PUBLIC LAW 102-550—OCT. 28, 1992 106 STAT. 3953 SEC. 1322. PRIOR APPROVAL AUTHORITY FOR NEW PROGRAMS. 12 USC 4542. (a) AUTHORITY.—The Secretary shall require each enterprise to obtain the approval of the Secretary for any new program of the enterprise berore implementing the program. (b) STANDARD FOR APPROVAL.— (1) PERMANENT STANDARD. —Except as provided in paragraph (2), the Secretary shall approve any new program of an enterprise for purposciS of subsection (a) unless— (A) for a new program of the Federal National Mortgage Association, the Secretary determines that the program is not authorized under paragraph (2), (3), (4), or (5) of section 302(b) of the Federal National Mortgage Association Charter Act, or under section 304 of such Act; (B) for a new program of the Federal Home Loan Mortgage Corporation, the Secretary determines that the program is not authorized under section 305(a)(1), (4), or (5) of the Federal Home Loan Mortgage Corporation Act; or (C) the Secretary determines that the new program is not in the public interest. (2) TRANSITION STANDARD.—Before the date occurring 12 months after the date of the effectiveness of the relations under section 1361(e) establishing the risk-based capital test, the Secretary shall approve any new program of an enterprise for purposes of subsection (a) unless— (A) The Secretary makes a determination as described in paragraph (1)(A), (B), or (C); or (B) the Director determines that the new program would risk significant deterioration of the financial condition of the enterprise. (c) PROCEDURE FOR APPROVAL.— (1) SUBMISSION OF REQUEST. —TO obtain the approval of the Secretary for purposes of subsection (a), an enterprise shall submit to the Secretary a written request for approval of the new program that describes the program. (2) RESPONSE. — The Secretary shall, not later than the expiration of the 45-day period beginning upon the submission of a request for approval, approve the request or submit to the Committee on Bankiing, Finance and Urban Affairs of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate a report explaining the reasons for not approving the request. The Secretary may extend such period for a single additional 15-day period only if the Secretary requests additional information from the enterprise. (3) FAILURE TO RESPOND,— If the Secretary fails to approve the request or fails to submit a report under paragraph (2) during the period under such paragraph, the request shall be considered to have been approved. (4) REVIEW OF DISAPPROVAL.— (A) UNAUTHORIZED NEW PROGRAMS.— If the Secretary submits a report under paragraph (2) of this subsection disapproving a request for approval on the grounds under subparagraph (A) or (B) of subsection (b)(D, the Secretary shall proviae the enterprise submitting the request with a timely opportunity to review and supplement the administrative record.