113 STAT. 1452 PUBLIC LAW 106-102—NOV. 12, 1999 increase in the collateral standards for any or all of those classes of collateral. "(6) DEFINITIONS.— For purposes of this subsection, the terms 'small business', 'agriculture', 'small farm', and 'small agri-business' shall have the meanings given those terms by regulation of the Finance Board.". (b) CLERICAL AMENDMENT.—The section heading for section 10 of the Federal Home Loan Bank Act (12 U.S.C. 1430) is amended to read as follows: "SEC. 10. ADVANCES TO MEMBERS.". (c) QUALIFIED THRIFT LENDER STATUS.— Section 10 of the Federal Home Loan Bank Act (12 U.S.C. 1430) is amended by striking the first of the 2 subsections designated as subsection (e). (d) FEDERAL HOME LOAN BANK ACCESS. —Section 10(m)(3)(B) of the Home Owners' Loan Act (12 U.S.C. 1467a(m)(3)(B)) is amended— (1) in clause (i), by striking subclause (III) and redesignating subclause (IV) as subclause (III); and (2) by striking clause (ii) and inserting the following: " (ii) ADDITIONAL RESTRICTIONS EFFECTIVE AFTER 3 YEARS.— Beginning 3 years after the date on which a savings association should have become a qualified thrift lender, or the date on which the savings association ceases to be a qualified thrift lender, as applicable, the savings association shall not retain any investment (including an investment in any subsidiary) or engage, directly or indirectly, in any activity, unless that investment or activity— "(I) would be permissible for the savings association if it were a national bank; and "(II) is permissible for the savings association as a savings association.". SEC. 605. ELIGIBILITY CRITERIA. Section 4(a) of the Federal Home Loan Bank Act (12 U.S.C. 1424(a)) is amended— (1) in paragraph (2)(A), by inserting "(other than a community financial institution)" after "institution"; (2) in the matter immediately following paragraph (2)(C)— (A) by striking "An insured" and inserting the following: " (3) CERTAIN INSTITUTIONS.—An insured"; and (B) by striking "preceding sentence" and inserting "paragraph (2)"; and (3) by adding at the end the following new paragraph: "(4) LIMITED EXEMPTION FOR COMMUNITY FINANCIAL INSTITUTIONS. — A community financial institution that otherwise meets the requirements of paragraph (2) may become a member without regard to the percentage of its total assets that is represented by residential mortgage loans, as described in subparagraph (A) of paragraph (2).". SEC. 606. MANAGEMENT OF BANKS. (a) BOARD OF DIRECTORS. —Section 7 of the Federal Home Loan Bank Act (12 U.S.C. 1427(d)) is amended— (1) in subsection (a), by striking "and bona fide residents of the district in which such bank is located" and inserting
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