[Appendix]
[Government-Sponsored Enterprises]
[From the U.S. Government Publishing Office, www.gpo.gov]



   
      
      
         GOVERNMENT-SPONSORED ENTERPRISES                                                                                         
            
         
      
      
   
   
      GOVERNMENT-SPONSORED ENTERPRISES                                                                                         
         
      
      
      
         This chapter contains descriptions of the data on the Government-sponsored enterprises listed below. These enterprises were
            established and chartered by the Federal Government for public policy purposes. They are not included in the Federal Budget
            because they are private companies, and their securities are not backed by the full faith and credit of the Federal Government.
            However, because of their public purpose, detailed statements of financial condition are presented, to the extent such information
            is available, on a basis that is as consistent as practicable with the basis for the budget data of Government agencies. 
         
         âThe Federal National Mortgage Association and the Federal Home Loan Mortgage Corporation provide assistance to the secondary
            market for residential mortgages.
         
         âThe Federal Home Loan Banks assist thrift institutions, banks, insurance companies, and credit unions in providing financing
            for housing and community development.
         
         âInstitutions of the Farm Credit System, which include the Agricultural Credit Bank and Farm Credit Banks, provide financial
            assistance to agriculture. They are regulated by the Farm Credit Administration.
         
         âThe Federal Agricultural Mortgage Corporation, also a Farm Credit System institution under the regulation of the Farm Credit
            Administration, provides a secondary market for agricultural real estate, rural housing loans, and certain rural utility loans,
            as well as for farm and business loans guaranteed by the U.S. Department of Agriculture.
         
      
      Federal National Mortgage Association                                                                                    
         
      
      Federal Funds
         Portfolio Programs                                                                                                       
            
         Status of Direct Loans (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 915â4986â0â4â371
                  2016 actual
                  2017 est.
                  2018 est.
               
               
                  
                     
                  
               
               
                  
                  Cumulative balance of direct loans outstanding:
               
               
                  1210
                  Outstanding, start of year
                  370,450
                  306,537
                  288,408
               
               
                  1251
                  Repayments: Net repayments and prepayments
                  â63,913
                  â18,129
                  â38,408
               
               
                  
                  
                  
                     
                  
                  
                     
                  
                  
                     
                  
               
               
                  1290
                  Outstanding, end of year
                  306,537
                  288,408
                  250,000
               
               
                  
                     
                  
               
            
         
      
      
         The Federal National Mortgage Association (Fannie Mae) is a Government-sponsored enterprise (GSE) in the housing finance market.
            As a housing GSE, Fannie Mae is a federally chartered, shareholder-owned, private company with a public mission to provide
            stability in and increase the liquidity of the residential mortgage market and to help increase the availability of mortgage
            credit to low- and moderate-income families and in underserved areas. Fannie Mae engages primarily in two forms of business:
            guaranteeing residential mortgage securities and investing in portfolios of residential mortgages.
         
         Fannie Mae was established in 1938 to assist private markets in providing a steady supply of funds for housing. Fannie Mae
            was originally a subsidiary of the Reconstruction Finance Corporation and was permitted to purchase only loans insured by
            the Federal Housing Administration (FHA). In 1954, Fannie Mae was restructured as a mixed ownership (part government, part
            private) corporation. Legislation directed the sale of the Government's remaining interest in Fannie Mae in 1968 and completed
            the transformation to private shareholder ownership in 1970.
         
         The Housing and Economic Recovery Act (HERA) of 2008 reformed housing GSE regulation by creating the Federal Housing Finance
            Agency (FHFA), a new independent regulator, and providing temporary authority for the U.S. Department of the Treasury to purchase
            obligations of the housing GSEs. On September 6, 2008, FHFA placed Fannie Mae under Federal conservatorship in response to
            the GSEs' declining capital adequacy and to support the safety and soundness of the GSEs. On the following day, the U.S. Department
            of the Treasury entered into a Senior Preferred Stock Purchase Agreement (PSPA) with Fannie Mae to make investments of up
            to $100 billion in senior preferred stock as required to maintain positive equity. In May 2009, Treasury increased the funding
            commitments for the PSPA to $200 billion and in December 2009, Treasury modified the funding commitments in the PSPA to the
            greater of $200 billion or $200 billion plus cumulative net worth deficits experienced during 2010â2012, less any surplus
            remaining as of December 31, 2012. Based on the financial results reported by Fannie Mae as of December 31, 2012, and under
            the terms of the PSPA, the cumulative funding commitment cap for Fannie Mae was set at $233.7 billion. As of March 31, 2017,
            Fannie Mae had received $116.1 billion under the PSPA and made a total of $159.8 billion in dividend payments to Treasury
            on the senior preferred stock. The Budget continues to reflect the GSEs as non-budgetary entities, though their status will
            continue to be reviewed. All of the current federal assistance being provided to Fannie Mae, including the PSPA, is shown
            on-budget. For additional discussion and analyses of Fannie Mae, please see the Analytical Perspectives volume of the Budget documents.
         
      
      Balance Sheet (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 915â4986â0â4â371
                  2015 actual
                  2016 actual
               
               
                  
                     
                  
               
               
                  
                  ASSETS:
               
               
                  
                  Federal assets:
               
               
                  
                  Investments in US securities:
               
               
                  1102
                  Treasury securities, par
                  26,961
                  31,277
               
               
                  1201
                  Non-Federal assets: Investments in non-Federal securities, net
                  26,600
                  7,985
               
               
                  
                  Net value of assets related to direct loans receivable and acquired defaulted guaranteed loans receivable:
               
               
                  1601
                  Mortgage Loans and Mortgage Related Securities
                  248,930
                  227,157
               
               
                  1601
                  Mortgage Loans and Mortgage Related Securities - Consolidated Trusts
                  2,804,581
                  2,851,304
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1604
                  Direct loans and interest receivable, net
                  3,053,511
                  3,078,461
               
               
                  1606
                  Acquired Property, net
                  7,691
                  5,041
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1699
                  Value of assets related to direct loans
                  3,061,202
                  3,083,502
               
               
                  
                  Other Federal assets:
               
               
                  1801
                  Cash and other monetary assets
                  77,007
                  98,077
               
               
                  1901
                  Other assets
                  39,012
                  35,101
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1999
                  Total assets
                  3,230,782
                  3,255,942
               
               
                  
                  LIABILITIES:
               
               
                  
                  Non-Federal liabilities:
               
               
                  2202
                  Interest payable
                  10,016
                  9,512
               
               
                  2203
                  Debt
                  417,458
                  351,568
               
               
                  2203
                  Debt - Consolidated Trusts
                  2,788,787
                  2,881,545
               
               
                  2207
                  Other
                  10,518
                  9,141
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  2999
                  Total liabilities
                  3,226,779
                  3,251,766
               
               
                  
                  NET POSITION:
               
               
                  3300
                  Senior Preferred Stock
                  117,149
                  117,149
               
               
                  3300
                  Private Equity
                  â113,177
                  â112,973
               
               
                  3300
                  Noncontrolling Interest
                  31
                  
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  3999
                  Total net position
                  4,003
                  4,176
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  4999
                  Total liabilities and net position
                  3,230,782
                  3,255,942
               
               
                  
                     
                  
               
            
         
      
         Mortgage-backed Securities                                                                                               
            
         Status of Direct Loans (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 915â4987â0â4â371
                  2016 actual
                  2017 est.
                  2018 est.
               
               
                  
                     
                  
               
               
                  
                  Cumulative balance of direct loans outstanding:
               
               
                  1210
                  Outstanding, start of year
                  2,801,954
                  2,861,296
                  2,861,296
               
               
                  1231
                  Disbursements: Direct loan disbursements
                  554,925
                  
                  
               
               
                  1251
                  Repayments: Repayments and prepayments
                  â495,583
                  
                  
               
               
                  
                  
                  
                     
                  
                  
                     
                  
                  
                     
                  
               
               
                  1290
                  Outstanding, end of year
                  2,861,296
                  2,861,296
                  2,861,296
               
               
                  
                     
                  
               
            
         
      
      
         Prior to January 1, 2010, the mortgages in the pools of loans supporting the mortgage-backed securities guaranteed by Fannie
            Mae were considered to be owned by the holders of these securities according to the accounting standards for private corporations.
            Consequently, on the books of Fannie Mae, these mortgages were not considered assets and the securities outstanding were not
            considered liabilities. New accounting standards implemented on January 1, 2010, require consolidation of many, but not all,
            of these securities in Fannie Mae's financial statements. For the purposes of the Budget they are presented as direct loans
            for mortgage-backed securities. "Disbursements" and "Repayments" are budgetary terms. These items are reported by Fannie Mae
            as "Issuances" and "Liquidations," respectively.
         
      
      Federal Home Loan Mortgage Corporation                                                                                   
         
      
      Federal Funds
         Portfolio Programs                                                                                                       
            
         Status of Direct Loans (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 913â4988â0â4â371
                  2016 actual
                  2017 est.
                  2018 est.
               
               
                  
                     
                  
               
               
                  
                  Cumulative balance of direct loans outstanding:
               
               
                  1210
                  Outstanding, start of year
                  367,145
                  308,114
                  288,408
               
               
                  1251
                  Repayments: Repayments and prepayments
                  â59,031
                  â19,706
                  â38,408
               
               
                  
                  
                  
                     
                  
                  
                     
                  
                  
                     
                  
               
               
                  1290
                  Outstanding, end of year
                  308,114
                  288,408
                  250,000
               
               
                  
                     
                  
               
            
         
      
      
         The Federal Home Loan Mortgage Corporation (Freddie Mac) is a Government-sponsored enterprise (GSE) in the housing finance
            market. As a housing GSE, Freddie Mac is a federally chartered, shareholder-owned, private company with a public mission to
            provide stability in and increase the liquidity of the residential mortgage market, and to help increase the availability
            of mortgage credit to low- and moderate-income families and in underserved areas. Freddie Mac engages primarily in two forms
            of business: guaranteeing residential mortgage securities and investing in portfolios of residential mortgages.
         
         Freddie Mac was established in 1970 under the Emergency Home Finance Act. The Congress chartered Freddie Mac to provide mortgage
            lenders with an organized national secondary market enabling them to manage their conventional mortgage portfolio more effectively
            and gain indirect access to a ready source of additional funds to meet new demands for mortgages. Freddie Mac serves as a
            conduit facilitating the flow of investment dollars from the capital markets to mortgage lenders, and ultimately, to homebuyers.
         
         The Housing and Economic Recovery Act (HERA) of 2008 reformed housing GSE regulation by creating the Federal Housing Finance
            Agency (FHFA), a new independent regulator, and provided temporary authority for the U.S. Department of the Treasury to purchase
            obligations of the housing GSEs. On September 6, 2008, FHFA placed Freddie Mac under Federal conservatorship in response to
            the GSEs' declining capital adequacy and to support the safety and soundness of the GSEs. On the following day, the U.S. Department
            of the Treasury entered into a Senior Preferred Stock Purchase Agreement (PSPA) with Freddie Mac to make investments of up
            to $100 billion in senior preferred stock as required to maintain positive equity. In May 2009, Treasury increased the funding
            commitments for the PSPA to $200 billion and in December 2009, Treasury modified the funding commitments in the PSPA to the
            greater of $200 billion or $200 billion plus cumulative net worth deficits experienced during 2010â2012, less any surplus
            remaining as of December 31, 2012. Based on the financial results reported by Freddie Mac as of December 31, 2012, and under
            the terms of the PSPA, the cumulative funding commitment cap for Freddie Mac was set at $211.8 billion. As of March 31, 2017,
            Freddie Mac had received $71.3 billion under the PSPA and made a total of $105.9 billion in dividend payments to Treasury
            on the senior preferred stock. The Budget continues to reflect the GSEs as non-budgetary entities, though their status will
            continue to be reviewed. All of the current federal assistance being provided to Freddie Mac, including the PSPA, is shown
            on-budget. For additional discussion and analyses of Freddie Mac, please see the Analytical Perspectives volume of the Budget documents.
         
      
      Balance Sheet (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 913â4988â0â4â371
                  2015 actual
                  2016 actual
               
               
                  
                     
                  
               
               
                  
                  ASSETS:
               
               
                  
                  Federal assets:
               
               
                  
                  Investments in US securities:
               
               
                  1102
                  Treasury securities, par
                  12,158
                  23,579
               
               
                  1201
                  Non-Federal assets: Investments in non-Federal securities, net
                  38,738
                  55,673
               
               
                  
                  Net value of assets related to direct loans receivable and acquired defaulted guaranteed loans receivable:
               
               
                  1601
                  Mortgage Loans and Mortgage Related Securities
                  239,797
                  207,898
               
               
                  1601
                  Mortgage Loans and Mortgage Related Securities - Consolidated Trusts
                  1,615,291
                  1,666,352
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1604
                  Direct loans and interest receivable, net
                  1,855,088
                  1,874,250
               
               
                  1606
                  Acquired property, net
                  1,795
                  1,272
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1699
                  Value of assets related to direct loans
                  1,856,883
                  1,875,522
               
               
                  
                  Other Federal assets:
               
               
                  1801
                  Cash and other monetary assets
                  36,551
                  41,758
               
               
                  1901
                  Other assets
                  17,817
                  18,730
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1999
                  Total assets
                  1,962,147
                  2,015,262
               
               
                  
                  LIABILITIES:
               
               
                  
                  Non-Federal liabilities:
               
               
                  2202
                  Interest payable
                  6,135
                  5,890
               
               
                  2203
                  Debt
                  408,281
                  378,059
               
               
                  2203
                  Debt - Consolidated Trusts
                  1,539,108
                  1,621,782
               
               
                  2207
                  Other
                  7,324
                  6,021
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  2999
                  Total liabilities
                  1,960,848
                  2,011,752
               
               
                  
                  NET POSITION:
               
               
                  3300
                  Senior Preferred Stock
                  72,336
                  72,336
               
               
                  3300
                  Private Equity
                  â71,037
                  â68,826
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  3999
                  Total net position
                  1,299
                  3,510
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  4999
                  Total liabilities and net position
                  1,962,147
                  2,015,262
               
               
                  
                     
                  
               
            
         
      
         Mortgage-backed Securities                                                                                               
            
         Status of Direct Loans (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 914â4989â0â4â371
                  2016 actual
                  2017 est.
                  2018 est.
               
               
                  
                     
                  
               
               
                  
                  Cumulative balance of direct loans outstanding:
               
               
                  1210
                  Outstanding, start of year
                  1,719,202
                  1,817,855
                  1,817,855
               
               
                  1231
                  Disbursements: Direct loan disbursements
                  401,116
                  
                  
               
               
                  1251
                  Repayments: Repayments and prepayments
                  â302,463
                  
                  
               
               
                  
                  
                  
                     
                  
                  
                     
                  
                  
                     
                  
               
               
                  1290
                  Outstanding, end of year
                  1,817,855
                  1,817,855
                  1,817,855
               
               
                  
                     
                  
               
            
         
      
      
         Prior to January 1, 2010, the mortgages in the pools of loans supporting the mortgage-backed securities guaranteed by Freddie
            Mac were considered to be owned by the holders of these securities according to the accounting standards for private corporations.
            Consequently, on the books of Freddie Mac, these mortgages were not considered assets and the securities outstanding were
            not considered liabilities. New accounting standards implemented on January 1, 2010, require consolidation of many, but not
            all, of these securities in Freddie Mac's financial statements. For the purposes of the Budget, they are presented as direct
            loans for mortgage-backed securities. "Disbursements'' and "Repayments'' are budgetary terms. These items are reported by
            Freddie Mac as "Issuances" and "Liquidations," respectively.
         
      
      Federal Home Loan Bank System                                                                                            
         
      
      Federal Funds
         Federal Home Loan Banks                                                                                                  
            
         Status of Direct Loans (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 913â4990â0â4â371
                  2016 actual
                  2017 est.
                  2018 est.
               
               
                  
                     
                  
               
               
                  
                  Cumulative balance of direct loans outstanding:
               
               
                  1210
                  Outstanding, start of year
                  636,324
                  735,671
                  735,671
               
               
                  1231
                  Disbursements: Direct loan disbursements
                  6,599,502
                  6,599,502
                  6,599,502
               
               
                  1251
                  Repayments: Repayments and prepayments
                  â6,498,568
                  â6,599,502
                  â6,599,502
               
               
                  1264
                  Write-offs for default: Other adjustments, net (+ or -)
                  â1,587
                  
                  
               
               
                  
                  
                  
                     
                  
                  
                     
                  
                  
                     
                  
               
               
                  1290
                  Outstanding, end of year
                  735,671
                  735,671
                  735,671
               
               
                  
                     
                  
               
            
         
      
      
         The Federal Home Loan Bank System is a Government-sponsored enterprise (GSE) in the housing finance market. The Federal Home
            Loan Banks were chartered by the Federal Home Loan Bank Board under the authority of the Federal Home Loan Bank Act of 1932
            (Act). The 11 Federal Home Loan Banks (FHLBanks) are under the supervision of the Federal Housing Finance Agency (FHFA), established
            by the Congress in 2008. The common mission of FHLBanks is to facilitate the extension of credit through their members. To
            accomplish this mission, FHLBanks make loans, called "advances", and provide other credit products and services to their over
            7,100 member commercial banks, savings associations, insurance companies, and credit unions. Advances and letters of credit
            must be fully secured by eligible collateral, and long-term advances may be made only for the purpose of providing funds for
            residential housing finance. However, "community financial institutions'' may also use long-term advances to finance small
            businesses, small farms, and small agribusinesses. Additionally, specialized advance programs provide funds for community
            reinvestment and affordable housing programs. All regulated financial depositories, certified community development financial
            institutions, and insurance companies engaged in residential housing finance are eligible for membership, and must meet other
            requirements in the Act to obtain membership. Each FHLBank operates in a geographic district and together FHLBanks cover all
            of the United States, as well as the District of Columbia, Puerto Rico, the Virgin Islands, Guam, American Samoa, and the
            Northern Mariana Islands. The principal source of funds for the lending operation is the sale of consolidated obligations
            to the public. The consolidated obligations are not guaranteed by the U.S. Government as to principal or interest. Other sources
            of lendable funds include members' deposits and capital. Funds not immediately needed for advances to members are invested.
            The capital stock of the Federal Home Loan Banks is owned entirely by the members. Initially the U.S. Government purchased
            stock of the banks in the amount of $125 million. The banks had repurchased the Government's investment in full by mid-1951.
            The Act, as amended in 1989, requires each FHLBank to operate an Affordable Housing Program (AHP). Each FHLBank provides subsidies
            in the form of direct grants or below-market rate advances for members that use the funds for qualifying affordable housing
            projects. Each of the FHLBanks must set aside annually 10 percent of its previous year's net earnings, subject to an aggregate
            minimum of $100 million, for the AHP. The Act, as amended in 1999, also required that FHLBanks contribute 20 percent of net
            earnings annually to assist in the payment of interest on bonds issued by the Resolution Funding Corporation until such time
            as the total payments are equivalent to a $300 million annual annuity with a final maturity date of April 15, 2030. The FHLBanks
            fulfilled this obligation on August 5, 2011. For additional discussion and analyses of the FHLBanks, please see the Analytical Perspectives volume of the Budget.
         
      
      Balance Sheet (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 913â4990â0â4â371
                  2015 actual
                  2016 actual
               
               
                  
                     
                  
               
               
                  
                  ASSETS:
               
               
                  
                  Federal assets:
               
               
                  
                  Investments in US securities:
               
               
                  1102
                  Treasury securities, par
                  307
                  1,511
               
               
                  
                  Non-Federal assets:
               
               
                  1201
                  Investments in non-Federal securities, net
                  263,134
                  290,231
               
               
                  1206
                  Accounts receivable
                  1,106
                  1,201
               
               
                  1401
                  Net value of assets related to direct loans receivable: Direct loans receivable, gross
                  636,325
                  735,711
               
               
                  
                  Other Federal assets:
               
               
                  1801
                  Cash and other monetary assets
                  17,480
                  5,488
               
               
                  1803
                  Property, plant and equipment, net
                  210
                  218
               
               
                  1901
                  Other assets
                  1,364
                  2,004
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1999
                  Total assets
                  919,926
                  1,036,364
               
               
                  
                  LIABILITIES:
               
               
                  2101
                  Federal liabilities: REFCORP and Affordable Housing Program
                  833
                  912
               
               
                  
                  Non-Federal liabilities:
               
               
                  2202
                  Interest payable
                  1,353
                  1,225
               
               
                  2203
                  Debt
                  858,606
                  968,842
               
               
                  2207
                  Deposit funds and other borrowing
                  8,268
                  5,748
               
               
                  2207
                  Other
                  4,649
                  8,796
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  2999
                  Total liabilities
                  873,709
                  985,523
               
               
                  
                  NET POSITION:
               
               
                  3100
                  Invested capital
                  46,217
                  50,841
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  4999
                  Total liabilities and net position
                  919,926
                  1,036,364
               
               
                  
                     
                  
               
            
         
      
      Farm Credit System                                                                                                       
         
      
      
      
         The Farm Credit System (System) is a Government-sponsored enterprise that provides privately financed credit to agricultural
            and rural communities. The major functional entities of the System are (1) the Agricultural Credit Bank (ACB); (2) the Farm
            Credit Banks (FCBs); and (3) the direct-lender associations. Farmer Mac, which is also an institution of the System, is discussed
            separately below. The history and specific functions of the bank entities are discussed after the presentation of financial
            schedules for each bank entity. As part of the System, these entities are regulated and examined by the Farm Credit Administration
            (FCA), an independent Federal agency. The administrative costs of FCA are financed by assessments on System institutions,
            including Farmer Mac. System banks finance loans primarily from sales of bonds to the public and their own capital funds.
            The System bonds issued by the banks are not guaranteed by the U.S. Government as to either principal or interest. The bonds
            are backed by an insurance fund, administered by the Farm Credit System Insurance Corporation (FCSIC), an independent Federal
            agency that collects insurance premiums from member banks to pay its administrative expenses and fund insurance reserves.
            All of the banks' current operating expenses are paid from their own income and do not require budgetary resources from the
            Federal Government.
         
      
      Federal Funds
         Agricultural Credit Bank                                                                                                 
            
         Status of Direct Loans (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 912â4991â0â4â351
                  2016 actual
                  2017 est.
                  2018 est.
               
               
                  
                     
                  
               
               
                  
                  Cumulative balance of direct loans outstanding:
               
               
                  1210
                  Outstanding, start of year
                  84,524
                  90,417
                  94,608
               
               
                  1231
                  Disbursements: Direct loan disbursements
                  313,649
                  325,471
                  337,739
               
               
                  1251
                  Repayments: Repayments and prepayments
                  â307,755
                  â321,234
                  â334,123
               
               
                  1263
                  Write-offs for default: Direct loans
                  â1
                  â46
                  â50
               
               
                  
                  
                  
                     
                  
                  
                     
                  
                  
                     
                  
               
               
                  1290
                  Outstanding, end of year
                  90,417
                  94,608
                  98,174
               
               
                  
                     
                  
               
            
         
      
      
         CoBank, ACB, which is headquartered outside Denver, Colorado, serves eligible cooperatives nationwide and provides funding
            to Agricultural Credit Associations (ACAs) and Federal Land Credit Associations (FLCAs) in its chartered district. CoBank,
            ACB, is the only Agricultural Credit Bank (ACB) in the Farm Credit System. The ACB operates under statutory authority that
            combines the authorities of a Farm Credit Bank (FCB) and a Bank for Cooperatives (BC). In exercising its FCB authority, CoBank's
            charter limits its lending to 23 ACAs and one FLCA located in the northeast, central, and western regions of the country.
            As an entity lending to cooperatives, CoBank is chartered to provide credit and related services nationwide to eligible cooperatives
            primarily engaged in farm supply, grain, marketing, and processing (including sugar, dairy, and ethanol). CoBank also makes
            loans to rural utilities, including telecommunications companies, and it provides international loans for the financing of
            agricultural exports.
         
         Statement of Changes in Net Worth (in thousands of dollars)
         
            
               
                  
                     
                        
                     
                  
                  
                      
                     2015 act.
                     2016 act.
                     2017 est.
                     2018 est.
                  
                  
                     
                        
                     
                  
                  
                     
                  
                  
                     Beginning balance of net worth
                     7,061,398
                     7,800,245
                     8,653,830
                     8,946,279
                  
                  
                     Capital stock and participations issued
                     335,770
                     440,611
                     84,856
                     111,056
                  
                  
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                  
                  
                     Capital stock and participations retired
                     169,301
                     29,108
                     28,000
                     35,700
                  
                  
                     Net income
                     915,751
                     954,624
                     906,727
                     875,234
                  
                  
                     Cash/Dividends/Patronage Distributions
                     â456,814
                     â533,998
                     â569,456
                     â586,811
                  
                  
                     Other, net
                     113,441
                     21,456
                     â101,678
                     2,037
                  
                  
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                  
                  
                     Ending balance of net worth
                     7,800,245
                     8,653,830
                     8,946,279
                     9,312,095
                  
                  
                     
                  
                  
                     
                        
                     
                  
               
            
         
         Financing Activities (in thousands of dollars)
         
            
               
                  
                     
                        
                     
                  
                  
                      
                     2015 act.
                     2016 act.
                     2017 est.
                     2018 est.
                  
                  
                     
                        
                     
                  
                  
                     
                  
                  
                     Beginning balance of outstanding system obligations
                     88,513,292
                     97,279,304
                     107,407,980
                     111,023,434
                  
                  
                     
                     
                     
                     
                     
                  
                  
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                  
                  
                     Consolidated systemwide and other bank bonds issued
                     41,260,664
                     46,805,926
                     48,570,189
                     50,400,953
                  
                  
                     Consolidated systemwide and other bank bonds retired
                     31,383,539
                     37,078,905
                     45,421,952
                     46,146,494
                  
                  
                     Consolidated systemwide notes, net
                     â1,043,732
                     456,912
                     500,000
                     500,000
                  
                  
                     Other (Net)
                     â67,381
                     â55,257
                     â32,783
                     â22,025
                  
                  
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                  
                  
                     Ending balance of outstanding system obligations
                     97,279,304
                     107,407,980
                     111,023,434
                     115,755,868
                  
                  
                     
                  
                  
                     
                        
                     
                  
               
            
         
      
      Balance Sheet (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 912â4991â0â4â351
                  2015 actual
                  2016 actual
               
               
                  
                     
                  
               
               
                  
                  ASSETS:
               
               
                  
                  Non-Federal assets:
               
               
                  1201
                  Cash and investment securities
                  25,081
                  29,492
               
               
                  1206
                  Accrued interest receivable on loans
                  315
                  321
               
               
                  
                  Net value of assets related to direct loans receivable and acquired defaulted guaranteed loans receivable:
               
               
                  1601
                  Direct loans, gross
                  84,524
                  90,416
               
               
                  1603
                  Allowance for estimated uncollectible loans and interest (-)
                  â460
                  â519
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1699
                  Value of assets related to direct loans
                  84,064
                  89,897
               
               
                  1803
                  Other Federal assets: Property, plant and equipment, net
                  1,025
                  1,039
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1999
                  Total assets
                  110,485
                  120,749
               
               
                  
                  LIABILITIES:
               
               
                  2104
                  Federal liabilities: Resources payable to Treasury
                  1,484
                  1,498
               
               
                  
                  Non-Federal liabilities:
               
               
                  2201
                  Consolidated systemwide and other bank bonds
                  97,279
                  107,408
               
               
                  2201
                  Notes payable and other interest-bearing liabilities
                  3,636
                  2,916
               
               
                  2202
                  Accrued interest payable
                  286
                  273
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  2999
                  Total liabilities
                  102,685
                  112,095
               
               
                  
                  NET POSITION:
               
               
                  3300
                  Cumulative results of operations
                  7,800
                  8,654
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  4999
                  Total liabilities and net position
                  110,485
                  120,749
               
               
                  
                     
                  
               
            
         
      
         Farm Credit Banks                                                                                                        
            
         Status of Direct Loans (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 912â4992â0â4â371
                  2016 actual
                  2017 est.
                  2018 est.
               
               
                  
                     
                  
               
               
                  
                  Cumulative balance of direct loans outstanding:
               
               
                  1210
                  Outstanding, start of year
                  115,851
                  123,454
                  130,647
               
               
                  1231
                  Disbursements: Direct loan disbursements
                  207,734
                  219,359
                  230,638
               
               
                  1251
                  Repayments: Repayments and prepayments
                  â200,135
                  â212,148
                  â224,651
               
               
                  
                  Write-offs for default:
               
               
                  1263
                  Direct loans
                  
                  â18
                  â18
               
               
                  1264
                  Other adjustments, net (+ or -)
                  4
                  
                  
               
               
                  
                  
                  
                     
                  
                  
                     
                  
                  
                     
                  
               
               
                  1290
                  Outstanding, end of year
                  123,454
                  130,647
                  136,616
               
               
                  
                     
                  
               
            
         
      
      
         The Agricultural Credit Act of 1987 (1987 Act) required the Federal Land Banks (FLBs) and Federal Intermediate Credit Banks
            (FICBs) to merge into a Farm Credit Bank (FCB) in each of the 12 Farm Credit districts. FCBs operate under statutory authority
            that combines the prior authorities of an FLB and of an FICB. No merger occurred in the Jackson district in 1988 because the
            FLB of Jackson was in receivership. Pursuant to section 410(e) of the 1987 Act, as amended by the Farm Credit Banks Safety
            and Soundness Act of 1992, FICB of Jackson merged with FCB of Columbia on October 1, 1993. Mergers and consolidations of FCBs
            across district lines, which began in 1992, have continued to date. As a result of this restructuring activity, three FCBs,
            headquartered in the following cities, remain as of October 1, 2016: AgFirst Farm Credit Bank, Columbia, South Carolina; AgriBank,
            FCB, St. Paul, Minnesota; and FCB of Texas, Austin, Texas.
         
         FCBs serve as discount banks and, as of October 1, 2016, provided funds to one Federal Land Credit Association (FLCA) and
            49 Agricultural Credit Associations (ACAs). These direct-lender associations, in turn, primarily make short- and intermediate-term
            production loans and long-term real estate loans to eligible farmers and ranchers, farm-related businesses, and rural homeowners.
            FCBs can also lend to other financing institutions, including commercial banks, as authorized by the Farm Credit Act of 1971,
            as amended.
         
         All the capital stock of FICBs, from their organization in 1923 to December 31, 1956, was held by the U.S. Government. The
            Farm Credit Act of 1956 provided a long-range plan for the eventual ownership of the FICBs by the production credit associations
            and the gradual retirement of the Government's investment in the banks. This retirement was accomplished in full on December
            31, 1968. The last of the Government capital that had been invested in FLBs was repaid in 1947.
         
         Statement of Changes in Net Worth (in thousands of dollars)
         
            
               
                  
                     
                        
                     
                  
                  
                      
                  
                  
                     
                        
                     
                  
                  
                     
                        
                     
                  
                  
                      
                     2015 act.
                     2016 act.
                     2017 est.
                     2018 est.
                  
                  
                     
                        
                     
                  
                  
                     
                        
                     
                  
                  
                      
                  
                  
                     
                        
                     
                  
                  
                     Beginning balance of net worth
                     8,828,842
                     9,149,023
                     9,480,347
                     9,937,294
                  
                  
                     Capital stock and participations issued
                     185,976
                     226,361
                     175,970
                     175,040
                  
                  
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                  
                  
                     Capital stock and participations retired
                     85,259
                     113,897
                     10,182
                     9,021
                  
                  
                     Surplus Retired
                     â2,162
                     â4,633
                     0
                     0
                  
                  
                     Net income
                     1,049,060
                     1,026,457
                     958,943
                     962,909
                  
                  
                     Cash/Dividends/Patronage Distributions
                     â778,566
                     â695,451
                     â641,805
                     â637,413
                  
                  
                     Other, net
                     â53,192
                     â116,779
                     â25,979
                     â193,255
                  
                  
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                  
                  
                     Ending balance of net worth
                     9,149,023
                     9,480,347
                     9,937,294
                     10,235,554
                  
                  
                     
                  
                  
                     
                        
                     
                  
               
            
         
         Financing Activities (in thousands of dollars)
         
            
               
                  
                     
                        
                     
                  
                  
                      
                  
                  
                     
                        
                     
                  
                  
                     
                        
                     
                  
                  
                      
                     2015 act.
                     2016 act.
                     2017 est.
                     2018 est.
                  
                  
                     
                        
                     
                  
                  
                     
                        
                     
                  
                  
                      
                  
                  
                     
                        
                     
                  
                  
                     Beginning balance of outstanding system obligations
                     125,494,765
                     133,822,885
                     144,502,285
                     150,343,507
                  
                  
                     
                     
                     
                     
                     
                  
                  
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                  
                  
                     Consolidated systemwide and other bank bonds issued
                     222,845,285
                     242,160,591
                     230,529,306
                     235,080,328
                  
                  
                     Consolidated systemwide and other bank bonds retired
                     215,967,375
                     236,530,182
                     230,242,814
                     234,636,684
                  
                  
                     Consolidated systemwide notes, net
                     1,450,210
                     5,068,965
                     5,554,730
                     5,774,537
                  
                  
                     Other (Net)
                     0
                     â19,974
                     0
                     0
                  
                  
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                     
                        
                     
                  
                  
                     Ending balance of outstanding system obligations
                     133,822,885
                     144,502,285
                     150,343,507
                     156,561,688
                  
                  
                     
                  
                  
                     
                        
                     
                  
               
            
         
      
      Balance Sheet (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 912â4992â0â4â371
                  2015 actual
                  2016 actual
               
               
                  
                     
                  
               
               
                  
                  ASSETS:
               
               
                  
                  Non-Federal assets:
               
               
                  1201
                  Cash and investment securities
                  28,678
                  31,403
               
               
                  1206
                  Accrued Interest Receivable
                  502
                  554
               
               
                  
                  Net value of assets related to direct loans receivable and acquired defaulted guaranteed loans receivable:
               
               
                  1601
                  Direct loans, gross
                  115,850
                  123,453
               
               
                  1603
                  Allowance for estimated uncollectible loans and interest (-)
                  â37
                  â45
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1699
                  Value of assets related to direct loans
                  115,813
                  123,408
               
               
                  1803
                  Other Federal assets: Property, plant and equipment, net
                  560
                  629
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1999
                  Total assets
                  145,553
                  155,994
               
               
                  
                  LIABILITIES:
               
               
                  2104
                  Federal liabilities: Resources payable to Treasury
                  394
                  506
               
               
                  
                  Non-Federal liabilities:
               
               
                  2201
                  Consolidated systemwide and other bank bonds
                  133,822
                  144,502
               
               
                  2201
                  Notes payable and other interest-bearing liabilities
                  1,849
                  1,166
               
               
                  2202
                  Accrued interest payable
                  339
                  340
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  2999
                  Total liabilities
                  136,404
                  146,514
               
               
                  
                  NET POSITION:
               
               
                  3300
                  Cumulative results of operations
                  9,149
                  9,480
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  4999
                  Total liabilities and net position
                  145,553
                  155,994
               
               
                  
                     
                  
               
            
         
      
         Federal Agricultural Mortgage Corporation                                                                                
            
         Status of Guaranteed Loans (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 912â4993â0â4â351
                  2016 actual
                  2017 est.
                  2018 est.
               
               
                  
                     
                  
               
               
                  
                  Cumulative balance of guaranteed loans outstanding:
               
               
                  2210
                  Outstanding, start of year
                  15,628
                  17,248
                  17,248
               
               
                  2231
                  Disbursements of new guaranteed loans
                  4,233
                  
                  
               
               
                  2251
                  Repayments and prepayments
                  â2,613
                  
                  
               
               
                  
                  
                  
                     
                  
                  
                     
                  
                  
                     
                  
               
               
                  2290
                  Outstanding, end of year
                  17,248
                  17,248
                  17,248
               
               
                  
                     
                  
               
               
                  
                  Memorandum:
               
               
                  2299
                  Guaranteed amount of guaranteed loans outstanding, end of year
                  2,021
                  
                  
               
               
                  
                     
                  
               
            
         
      
      
            Farmer MacFarmer Mac is authorized under the Farm Credit Act of 1971, as amended by the Agricultural Credit Act of 1987 (Act), to create
            a secondary market for agricultural real estate and rural home mortgages. The Farmer Mac title of the Act was amended by the
            1990 farm bill to authorize Farmer Mac to purchase, pool, and securitize the guaranteed portions of farmer program, rural
            business, and community development loans guaranteed by the U.S. Department of Agriculture (USDA). The Farmer Mac title was
            amended in 1991 to clarify Farmer Mac's authority to issue debt obligations, provide for the establishment of minimum capital
            standards, establish the Office of Secondary Market Oversight at the Farm Credit Administration (FCA), and expand the Agency's
            rulemaking authority. The Farm Credit System Reform Act of 1996 (1996 Act) amended the Farmer Mac title to allow Farmer Mac
            to purchase loans directly from lenders and to issue and guarantee mortgage-backed securities without requiring that a minimum
            cash reserve or subordinated (first loss) interest be maintained by poolers as had been required under its original authority.
            The 1996 Act expanded FCA's regulatory authority to include provisions for establishing a conservatorship or receivership,
            if necessary, and provided for increased core capital requirements at Farmer Mac phased in over three years. Most recently,
            the 2008 Farm Bill, the Food, Conservation and Energy Act of 2008 amended the Farmer Mac title to authorize the financing
            of rural electric and telephone cooperatives.
         
         Farmer Mac operates through several programs: the "Farm & Ranch" program involves mortgage loans secured by first liens on
            agricultural real estate, or rural housing (qualified loans); the "USDA guarantees" program involves the guaranteed portions
            of certain USDA-guaranteed loans; and the "Rural Utilities" program involves rural electric and telecommunications loans.
            Farmer Mac operates by (1) purchasing, or committing to purchase, newly originated or existing qualified loans or guaranteed
            portions from lenders; (2) purchasing or guaranteeing "AgVantage'' bonds backed by qualified loans; and (3) exchanging qualified
            loans or guaranteed portions for guaranteed securities. Loans purchased by Farmer Mac may be aggregated into pools that back
            Farmer Mac guaranteed securities, which are held by Farmer Mac or sold into the capital markets.
         
         Farmer Mac is governed by a 15-member Board of Directors. Ten board members are elected by stockholders, including five by
            stockholders that are Farm Credit System (FCS) institutions and five by stockholders that are non-FCS financial services firms.
            Five are appointed by the President, subject to Senate confirmation.
         
            FinancingFinancial support and funding for Farmer Mac's operations come from several sources: sale of common and preferred stock, issuance
            of debt obligations, and income. Under procedures specified in the Act, Farmer Mac may issue obligations to the U.S. Treasury
            in a cumulative amount not to exceed $1.5 billion to fulfill Farmer Mac's guarantee obligations.
         
         As of September 30, 2016, Farmer Mac's core capital exceeded statutory requirements. Additionally, Farmer Mac's regulatory
            capital (core capital plus the allowance for loan losses) exceeded the amount of required regulatory capital as determined
            by the risk-based capital rule.
         
            GuaranteesFarmer Mac provides a guarantee of timely payment of principal and interest on securities backed by qualified loans or pools
            of qualified loans. These securities are not guaranteed by the United States and are not "Government securities."
         
         Farmer Mac is subject to reporting requirements under securities laws, and its guaranteed mortgage-backed securities are subject
            to registration with the Securities and Exchange Commission under the 1933 and 1934 Securities Acts.
         
            RegulationFarmer Mac is federally regulated by FCA, acting through its Office of Secondary Market Oversight (OSMO). FCA is responsible
            for the supervision of, examination of, and rulemaking for Farmer Mac.
         
      
      Balance Sheet (in millions of dollars)
      
         
            
               
                  
                     
                  
               
               
                  Identification code 912â4993â0â4â351
                  2015 actual
                  2016 actual
               
               
                  
                     
                  
               
               
                  
                  ASSETS:
               
               
                  
                  Non-Federal assets:
               
               
                  1201
                  Investment in securities
                  2,032
                  3,001
               
               
                  1206
                  Receivables, net
                  151
                  165
               
               
                  
                  Net value of assets related to direct loans receivable:
               
               
                  1401
                  Direct loans receivable, gross
                  11,080
                  12,434
               
               
                  1402
                  Interest receivable
                  74
                  87
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1499
                  Net present value of assets related to direct loans
                  11,154
                  12,521
               
               
                  1801
                  Other Federal assets: Cash and other monetary assets
                  1,517
                  314
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  1999
                  Total assets
                  14,854
                  16,001
               
               
                  
                  LIABILITIES:
               
               
                  
                  Non-Federal liabilities:
               
               
                  2201
                  Accounts payable
                  121
                  159
               
               
                  2202
                  Interest payable
                  38
                  40
               
               
                  2203
                  Debt
                  14,110
                  15,161
               
               
                  2204
                  Liabilities for loan guarantees
                  44
                  40
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  2999
                  Total liabilities
                  14,313
                  15,400
               
               
                  
                  NET POSITION:
               
               
                  3300
                  Invested capital
                  541
                  601
               
               
                  
                  
                  
                     
                  
                  
                     
                  
               
               
                  4999
                  Total liabilities and net position
                  14,854
                  16,001