[Federal Register Volume 77, Number 237 (Monday, December 10, 2012)]
[Rules and Regulations]
[Pages 73263-73265]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-29695]



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Rules and Regulations
                                                Federal Register
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to and codified in the Code of Federal Regulations, which is published 
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Federal Register / Vol. 77, No. 237 / Monday, December 10, 2012 / 
Rules and Regulations

[[Page 73263]]



FEDERAL HOUSING FINANCE BOARD

12 CFR Part 905

FEDERAL HOUSING FINANCE AGENCY

12 CFR Part 1200

DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

Office of Federal Housing Enterprise Oversight

12 CFR Part 1700

RIN 2590-AA54


Organization and Functions, and Seal

AGENCY: Federal Housing Finance Agency.

ACTION: Final rule.

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SUMMARY: The Federal Housing Finance Agency (FHFA) adopts final 
regulations containing a description of its organization and 
description of its seal and logo. This rule removes comparable existing 
regulations of the Federal Housing Finance Board (Finance Board) and 
the Office of Federal Housing Enterprise Oversight (OFHEO), and 
establishes new FHFA regulations.

DATES: Effective Date: December 10, 2012.

FOR FURTHER INFORMATION CONTACT: Donna R. Ely, Associate General 
Counsel, Office of the General Counsel, (202) 649-3068 (not a toll free 
number), Donna.Ely@fhfa.gov, 400 Seventh Street SW., Eighth Floor, 
Washington, DC 20024. The telephone number for the Telecommunications 
Device for the Hearing Impaired is (800) 877-8339.

SUPPLEMENTARY INFORMATION:

I. Background

    Effective July 30, 2008, Division A of the Housing and Economic 
Recovery Act of 2008 (HERA), Public Law 110-289, 122 Stat. 2654 (2008), 
titled the Federal Housing Finance Regulatory Reform Act of 2008, 
amended the Federal Housing Enterprises Financial Safety and Soundness 
Act of 1992 (12 U.S.C. 4501 et seq.) (Safety and Soundness Act) and 
created FHFA as an independent agency of the Federal Government. HERA 
provided for the abolishment of the Office of Federal Housing 
Enterprise Oversight (OFHEO) and the Federal Housing Finance Board 
(Finance Board) one year after the date of enactment. Those agencies, 
together with the Housing and Urban Development Enterprise mission 
staff, were combined to establish FHFA. FHFA was established to oversee 
the prudential operations of the Federal National Mortgage Association 
(Fannie Mae), the Federal Home Loan Mortgage Corporation (Freddie Mac) 
(together, Enterprises), and the Federal Home Loan Banks (Banks); and 
to ensure that they operate in a safe and sound manner, remain 
adequately capitalized, foster liquid, efficient, competitive and 
resilient national housing finance markets, comply with the Safety and 
Soundness Act and their respective authorizing statutes, as well as all 
rules, regulations, guidelines and orders under those statutes, and 
carry out their missions through activities that are authorized by 
their respective statutes and are consistent with the public interest. 
FHFA also has regulatory authority over the Federal Home Loan Bank 
System's Office of Finance under section 1311(b)(2) of the Safety and 
Soundness Act (12 U.S.C. 4511(b)(2)).

II. Description of the Regulation

    The rule sets forth FHFA's business address and hours of operation.
    The rule also informs the public about FHFA's organization and 
structure, including the Office of the Director, the Division of 
Enterprise Regulation, the Division of Housing Mission and Goals, the 
Division of Federal Home Loan Bank Regulation, the Office of Inspector 
General, the Office of General Counsel, the Office of the Ombudsman, 
and the Office of Minority and Women Inclusion.
    The rule describes and depicts FHFA's official logo and seal.
    FHFA is removing the comparable regulations of the Finance Board 
and OFHEO, 12 CFR part 905 of the Finance Board regulations and 12 CFR 
part 1700 of the OFHEO regulations.

II. Regulatory Impact

Paperwork Reduction Act

    This final rule does not contain any information collection 
requirements that require the approval of the Office of Management and 
Budget under the Paperwork Reduction Act (44 U.S.C. 3501 et seq.).

Regulatory Flexibility Act

    Because no notice of proposed rulemaking is required for this 
regulation, the provisions of the Regulatory Flexibility Act (5 U.S.C. 
601 et seq.) do not apply. See 5 U.S.C. 601(2) and 603(a).

Administrative Procedure Act

    In promulgating this regulation, FHFA has determined that notice 
and public comment are not necessary. Section 553(b)(A) of title 5, 
United States Code, provides that when regulations involve matters of 
agency organization, procedure or practice, the agency may publish 
regulations in final form. In addition, FHFA finds, in accordance with 
5 U.S.C. 553(d), that a delayed effective date is unnecessary. 
Accordingly, these regulations are effective upon publication.

List of Subjects

12 CFR Part 905

    Federal home loan banks, Organization and functions (Government 
agencies).

12 CFR Part 1200

    Organization and functions (Government agencies), Seals and 
insignia.

12 CFR Part 1700

    Organization and functions (Government agencies).

Authority and Issuance

    Accordingly, for the reasons stated in the Supplementary 
Information, under the authority of 12 U.S.C. 4526, 12 U.S.C. 4512, and 
5 U.S.C. 552, FHFA amends Chapters IX, XII, and XVII of title 12 of the 
Code of Federal Regulations as follows:

[[Page 73264]]

Chapter IX--Federal Housing Finance Board

PART 905--[REMOVED]

0
1. Remove part 905.

Chapter XII--Federal Housing Finance Agency

Subchapter A--Organization and Operations

0
2. Add part 1200 to subchapter A to read as follows:

PART 1200--ORGANIZATION AND FUNCTIONS

Sec.
1200.1 Federal Housing Finance Agency.
1200.2 Organization of the Federal Housing Finance Agency.
1200.3 Official logo and seal.

    Authority: 5 U.S.C. 552, 12 U.S.C. 4512, 12 U.S.C. 4526.


Sec.  1200.1  Federal Housing Finance Agency.

    (a) Scope and authority. The Federal Housing Finance Agency (FHFA) 
is an independent agency of the Federal Government. Division A of the 
Housing and Economic Recovery Act of 2008, Public Law 110-289, 122 
Stat. 2654, titled the Federal Housing Finance Regulatory Reform Act of 
2008, amended the Federal Housing Enterprises Financial Safety and 
Soundness Act of 1992 (12 U.S.C. 4501 et seq.) (Safety and Soundness 
Act) and the Federal Home Loan Bank Act (12 U.S.C. 1421-1449) to 
establish FHFA. FHFA administers the Safety and Soundness Act and the 
regulated entities' authorizing statutes: the Federal Home Loan Bank 
Act, the Federal National Mortgage Association Charter Act, and the 
Federal Home Loan Mortgage Corporation Act. FHFA is responsible for the 
supervision and regulation of the Federal National Mortgage Corporation 
(Fannie Mae), the Federal Home Loan Mortgage Corporation (Freddie Mac), 
(together, Enterprises), the Federal Home Loan Banks (Banks) 
(collectively, the ``regulated entities''), and the Office of Finance 
(OF). FHFA is charged with ensuring that the regulated entities: 
Operate in a safe and sound manner, including maintaining adequate 
capital and internal controls; foster liquid, efficient, competitive, 
and resilient national housing finance markets; comply with the Safety 
and Soundness Act and their respective authorizing statutes, and rules, 
regulations and orders issued under the Safety and Soundness Act and 
the authorizing statutes; and carry out their respective statutory 
missions through activities and operations that are authorized and 
consistent with the Safety and Soundness Act, their respective 
authorizing statutes, and the public interest. FHFA's costs and 
expenses are funded by annual assessments paid by the regulated 
entities. FHFA is headed by a director, who is appointed by the 
President and confirmed by the Senate for a five-year term.
    (b) Location. FHFA's headquarters is located at 400 Seventh Street 
SW., Washington, DC 20024. FHFA's official hours of business are 8:00 
a.m.-5 p.m. (Eastern Time), Monday through Friday, excluding Federal 
holidays.


Sec.  1200.2  Organization of the Federal Housing Finance Agency.

    (a) Director. The Director is responsible for overseeing the 
prudential operations of each regulated entity, and for ensuring that 
each regulated entity: Operates in a safe and sound manner; operates 
and acts to foster liquid, efficient, competitive, and resilient 
national housing financing markets; complies with the Safety and 
Soundness Act, its authorizing statute, and rules, regulations, 
guidelines, and orders issued under those statutes; carries out its 
mission only through activities that are authorized by statute; and 
acts and operates consistent with the public interest. The Director may 
delegate to FHFA officers and employees any of the functions, powers, 
and duties of the Director as the Director considers appropriate. The 
Director manages FHFA, including through authorities delegated to FHFA 
officers and employees.
    (b) Deputy Director of the Division of Enterprise Regulation. The 
Deputy Director is responsible for managing FHFA's program of 
prudential supervision of the Enterprises. The Deputy Director provides 
management oversight, direction, and support for all examination 
activity involving the Enterprises, the development of supervision 
findings, and preparation of the annual reports of examination. The 
Deputy Director provides support and advice to the Director and other 
senior executives and represents the division on significant and 
emerging supervisory issues and development of FHFA supervisory policy, 
and has such other responsibilities as the Director may prescribe.
    (c) Deputy Director of the Division of Housing Mission and Goals. 
The Deputy Director is responsible for FHFA policy development and 
analysis, oversight of housing and regulatory policy, and oversight of 
the mission and goals of the Enterprises. The Deputy Director oversees 
and coordinates FHFA activities regarding data analysis, market 
surveillance, policy development, policy research and analysis 
affecting housing finance and financial markets, and policy analysis 
and research in support of FHFA's mission and the Director's 
responsibilities as a member of the Federal Housing Finance Oversight 
board, the Financial Stability Oversight Board, and the Financial 
Stability Oversight Council, and has such other responsibilities as the 
Director may prescribe.
    (d) Deputy Director of the Division of Federal Home Loan Bank 
Regulation. The Deputy Director is responsible for managing FHFA's 
program of prudential supervision of the Banks and the OF. The Deputy 
Director provides management oversight, direction and support for all 
examination activity involving the Banks, the development of 
supervision findings, and preparation of the annual reports of 
examination. The Deputy Director provides support and advice to the 
Director and other senior executives and represents the division on 
significant and emerging supervisory issues and development of FHFA 
supervisory policy, and has such other responsibilities as the Director 
may prescribe.
    (e) Offices and functions--(1) Office of the Director. The Office 
of the Director supports the activities of the Director and includes 
Offices as the Director may create within the Office of the Director.
    (2) Division of Enterprise Regulation. The division supports and 
implements the responsibilities of the Deputy Director described in 
paragraph (b) of this section. The division oversees and directs all 
Enterprise supervisory activities, develops examination findings, 
prepares reports of examination, and prepares the sections of the 
Annual Report to Congress that describe the condition and performance 
of each Enterprise. The division monitors and assesses the financial 
condition and performance of the Enterprises. By means of annual 
examinations and a continuous on-site presence, the division monitors 
and assesses the amount of risk each Enterprise assumes, the quality of 
risk management, and compliance with regulations.
    (3) Division of Housing Mission and Goals. The division supports 
and implements the responsibilities of the Deputy Director described in 
paragraph (c) of this section. In support of FHFA's mission and the 
Director's responsibilities as a member of the Federal Housing Finance 
Oversight Board, the Financial Stability Oversight Board, and the 
Financial Stability

[[Page 73265]]

Oversight Committee, the division also oversees and coordinates FHFA 
activities that involve certain data analysis, and analysis affecting 
housing finance and financial markets.
    (4) Division of Federal Home Loan Bank Regulation. The division 
supports and implements the responsibilities of the Deputy Director 
described in paragraph (d) of this section, including overseeing and 
directing all Bank supervisory activities, developing examination 
findings, preparing reports of examination, and preparing the sections 
of the annual report to Congress that describe the condition and 
performance of the Banks. The division monitors and assesses the 
financial condition and performance of the Banks and the OF and 
monitors and assesses their compliance with regulations, the amount of 
risk they assume, and the quality of their risk management through 
annual on-site examinations, periodic visits, and ongoing off-site 
monitoring and analysis.
    (5) Office of Inspector General. The office is headed by a 
presidentially appointed and Senate-confirmed Inspector General who 
serves under the general supervision of the Director. The office 
carries out activities and responsibilities established in the 
Inspector General Act of 1978.
    (6) Office of General Counsel. The office advises and supports the 
Director and FHFA staff on legal matters related to the functions, 
activities, and operations of FHFA and the regulated entities; it 
supports supervision functions, development and promulgation of 
regulations and orders, and enforcement actions. The office manages the 
Freedom of Information, Privacy Act and ethics programs. The Designated 
Agency Ethics Official advises, counsels, and trains FHFA employees on 
ethical standards and conflicts of interest, and manages the agency's 
financial disclosure program.
    (7) Office of the Ombudsman. The office is responsible for 
considering complaints and appeals from the regulated entities, the OF 
and any person that has a business relationship with a regulated entity 
or the OF concerning any matter relating to FHFA's regulation and 
supervision of that entity or the OF.
    (8) Office of Minority and Women Inclusion. The office is 
responsible for all matters of FHFA relating to diversity in 
management, employment, and business activities, and for supervising 
the diversity requirements applicable to the regulated entities and the 
OF.
    (f) Other Offices and Departments. The Director may from time to 
time establish other Offices and Divisions of the agency as the 
Director deems necessary or appropriate to carry out FHFA's mission, 
such as an Office of Conservatorship Operations during such period as 
regulated entities are under FHFA's conservatorship; an Office of 
Strategic Initiatives to manage such strategic initiatives as the 
Director may identify; and a Division of Supervision Policy and Support 
to facilitate consistent supervision and examination policies across 
all regulated entities. The Director may also establish other Offices 
and positions as the Director deems necessary and appropriate to 
support the operations of a federal agency, such as a Chief Operating 
Officer, a Chief Financial Officer, an Office of Information 
Technology, and such other offices, departments, and positions as are 
necessary and appropriate or may be required by statute.
    (g) Additional information. Current information on the organization 
of FHFA may be obtained by mail from the Office of Congressional 
Affairs and Communications, 400 Seventh Street, SW., Washington, DC 
20024. Such information, as well as other FHFA information, also may be 
obtained electronically by accessing FHFA's Web site located at 
www.FHFA.gov.


Sec.  1200.3  Official logo and seal.

    This section describes and displays the logo adopted by the 
Director as the official symbol representing FHFA. It is displayed on 
correspondence, selected documents, and signage. The logo serves as the 
official seal to certify and authenticate official documents of the 
agency.
    (a) Description. The logo is a disc consisting of three polygons 
each drawn in a manner resembling a silhouette of a pitched roof house 
and with distinctive eaves under its roof. Each polygon is placed one 
in front of the other, two of which are diminished in size from the 
polygon behind it. Placed in the center of the smallest polygon is the 
acronym for the organization, ``FHFA.'' The polygons are encircled by a 
designation scroll having an outer and inner border of plain heavy 
lines and containing the words ``FEDERAL HOUSING FINANCE AGENCY'' in 
capital letters with serifs, with two mullets on the extreme left and 
right of the scroll.
    (b) Display. FHFA's official logo and seal appears below:
    [GRAPHIC] [TIFF OMITTED] TR10DE12.004
    
Chapter XVII--Office of Federal Housing Enterprise Oversight, 
Department of Housing and Urban Development

PART 1700--[REMOVED]

0
3. Remove part 1700.

    Dated: December 3, 2012.
Edward J. DeMarco,
Acting Director, Federal Housing Finance Agency.
[FR Doc. 2012-29695 Filed 12-7-12; 8:45 am]
BILLING CODE 8070-01-P