Page:United States Statutes at Large Volume 101 Part 3.djvu/299

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PUBLIC LAW 100-000—MMMM. DD, 1987

PUBLIC LAW 100-233—JAN. 6, 1988

101 STAT. 1597


12 USC 2278b-5.


"(1) ESTABLISHMENT.—The Financial Assistance Corporation shall establish an account called the Farm Credit Assistance Fund (referred to in this Act as the 'Assistance Fund') which shall be available to the Financial Assistance Corporation as a revolving fund to carry out this subtitle. The moneys of such Assistance Fund shall be invested in direct obligations of the United States or obligations guaranteed by the United States or an agency thereof. "(2) FUNDING.—The Assistance Fund shall be funded through the issuance of debt obligations and payments, as provided in section 6.26, and payments, as provided in section 6.28. "(b)



Financial Assistance Corporation shall establish an account called the Financial Assistance Corporation Trust Fund (hereinafter referred to in this Act as the 'Trust Fund') that shall consist of securities of the United States Treasury purchased by the Financial Assistance Corporation with the funds received from the purchase of stock by System institutions from the Financial Assistance Corporation under section 6.29. "SEC. 6.26. DEBT OBLIGATIONS.

"(a) ISSUANCE.—During the period beginning 61 days after the date of the enactment of this title and ending September 30, 1992, the Financial Assistance Corporation, subject to the approval of the Assistance Board, may issue uncoUateralized bonds, notes, debentures, and similar obligations, guaranteed as to the timely payment of principal and interest by the Secretary of the Treasury as set forth in subsection (d), with semiannual interest coupon payments and a maturity period of 15 years— "(1) in an aggregate amount not to exceed $2,800,000,000; and "(2) beginning January 1, 1989, in an additional amount, not to exceed $1,200,000,000, if— "(A) debt obligations have been issued by the Corporation to the full extent authorized under paragraph (1); "(B) the Assistance Board determines that such additional funds are needed to carry out this title; and "(C) at least 90 days before the issuance of any debt obligations under this paragraph, the Assistance Board submits a report to Congress that sets forth the determination of the Assistance Board that such additional debt obligations should be issued, and that contains a detailed evaluation supporting the determination. "(b) CONDITIONS.—The debt obligations shall be in such forms and denominations, bear such rates of interest, be subject to such conditions, be issued in such manner, and be sold at such prices as may be prescribed by the Financial Assistance Corporation. "(c) INTEREST PAYMENTS.— "(1) PAYMENT OF INTEREST DURING FIRST 5-YEAR PERIOD.—

During each year of the first 5-year period of the 10-year period beginning on the date of issuance of each obligation under subsection (a), the Financial Assistance Corporation shall pay, without recourse to System institutions, other than that described in paragraph (5), all of the interest due on such obligation. "(2) PAYMENT OF INTEREST DURING SECOND 5-YEAR PERIOD.—

12 USC 2278b-6.