[Federal Register Volume 83, Number 67 (Friday, April 6, 2018)]
[Proposed Rules]
[Pages 14781-14785]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-07044]


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FEDERAL HOUSING FINANCE AGENCY

12 CFR Parts 1239 and 1273

RIN 2590-AA90


Responsibilities of Boards of Directors, Corporate Practices, and 
Corporate Governance

AGENCY: Federal Housing Finance Agency.

ACTION: Proposed rule.

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SUMMARY: The Federal Housing Finance Agency (FHFA) is proposing to 
amend its regulation on the Responsibilities of Boards of Directors, 
Corporate Practices, and Corporate Governance for its regulated 
entities. The proposed rule would amend the existing regulation 
pertaining to Federal Home Loan Bank strategic business plans so that 
it would apply as well to the Enterprises, and would make a number of 
adjustments and conforming changes to the existing regulation. As 
amended, the regulation would require that the board of directors of 
each regulated entity have in effect at all times a strategic business 
plan that describes how the regulated entity's business activities will 
achieve its statutory purposes. The proposed rule would retain the 
provision that requires each regulated entity's board of directors to 
review the strategic business plan at least annually, re-adopt it at 
least once every three years, and establish reporting requirements for 
and monitor implementation of the strategic business plan. The proposed 
rule would add a new provision regarding current and emerging business 
risks, repeal two outdated provisions of the existing regulation, and 
make a conforming change to the Office of Finance Board of Directors 
regulation.

DATES: Written comments on the proposed rule must be received on or 
before June 5, 2018.

ADDRESSES: You may submit your comments on the proposed rule, 
identified by regulatory information number (RIN) 2590-AA90, by any of 
the following methods:
     Agency Website: www.fhfa.gov/open-for-comment-or-input.
     Federal eRulemaking Portal: http://www.regulations.gov. 
Follow the instructions for submitting comments. If you submit your 
comment to the Federal eRulemaking Portal, please also send it by email 
to FHFA at [email protected] to ensure timely receipt by the FHFA. 
Please include ``Comments/RIN 2590-AA90'' in the subject line of the 
submission.
     Courier/Hand Delivery: The hand delivery address is: 
Alfred M. Pollard, General Counsel, Attention: Comments/RIN 2590-AA90, 
Federal Housing Finance Agency, 400 Seventh Street SW, Eighth Floor, 
Washington, DC 20219. Deliver the package to the Seventh Street 
entrance Guard Desk, First Floor, on business days between 9 a.m. and 5 
p.m.
     U.S. Mail, United Parcel Service, Federal Express, or 
Other Mail Service: The mailing address for comments is: Alfred M. 
Pollard, General Counsel, Attention: Comments/RIN 2590-AA90, Federal 
Housing Finance Agency, 400 Seventh Street SW, Eighth Floor, 
Washington, DC 20219.

FOR FURTHER INFORMATION CONTACT: Daniel Callis, Principal Risk Analyst, 
Office of the Chief Accountant, at [email protected] or (202) 649-
3448, or Ming-Yuen Meyer-Fong, Office of General Counsel, at [email protected] or (202) 649-3078 (these are not toll-free 
numbers), Federal Housing Finance Agency, Constitution Center, 400 
Seventh Street SW, Washington, DC 20219. The telephone number for the 
Telecommunications Device for the Hearing Impaired is (800) 877-8339.

SUPPLEMENTARY INFORMATION: 

I. Request for Comments

    FHFA invites comments on all aspects of this proposed rule. After 
considering all comments, FHFA intends to issue a final rule. FHFA will 
post on the FHFA website at http://www.fhfa.gov all

[[Page 14782]]

public comments it receives without change, including any personal 
information you provide, such as your name, address, email address, and 
telephone number. In addition, copies of all comments received will be 
available for examination by the public through the electronic 
rulemaking docket for this proposed rule also located on the FHFA 
website.

II. Background and Summary

    FHFA previously consolidated and relocated the regulations of its 
predecessor agencies, the Federal Housing Finance Board (Finance Board) 
and the Office of Federal Housing Enterprise Oversight, that pertained 
to the responsibilities of boards of directors, corporate practices, 
and corporate governance matters into a new regulation at 12 CFR part 
1239. 80 FR 72327 (November 19, 2015). The FHFA regulation is organized 
such that some parts apply to all of FHFA's regulated entities and 
other parts, because of differences in their corporate structure or 
business models, apply only to the Federal Home Loan Banks (Banks), or 
only to Fannie Mae and Freddie Mac (Enterprises).
    The current regulation requires each Bank's board of directors to 
have in effect at all times a strategic business plan that describes 
how the business activities of the Bank will achieve the mission of the 
Bank, consistent with the Federal Home Loan Bank Act (Bank Act), 12 
U.S.C. 1421 et seq. The current regulation also requires a Bank's board 
of directors periodically to review and re-adopt the Bank's strategic 
business plan, establish management reporting requirements, and monitor 
implementation of the strategic business plan. 12 CFR 1239.31.
    FHFA proposes to adopt a similar requirement for the Enterprises. 
Strategic planning is an organization's process of defining its 
direction and making decisions on allocating its resources to pursue 
this direction. The result of this process is the organization's 
strategy--a guiding vision of what the organization intends to 
accomplish and key initiatives or action plans for achieving the 
vision. It is necessarily forward-looking, actionable, and measurable, 
and it should be updated periodically to reflect, among other things, 
changing risks, business environments, and corporate direction. A 
strategic plan is adopted by an organization's board of directors and 
executed by its senior management on behalf of its stakeholders.
    The proposed rule would replace the existing Bank-only strategic 
business plan provision currently at 12 CFR 1239.31 with a new 
provision, to be located at 12 CFR 1239.14. The new provision would 
adapt the current Bank-only strategic business plan requirements to 
cover the Enterprises, and make adjustments and conforming changes as 
needed to reflect the requirements of the Banks and the Enterprises. 
The most significant change would be to bring the Enterprises within 
the scope of the strategic business plan requirement currently required 
only of the board of directors at each Bank. The proposed rule would 
also include a new requirement for each regulated entity to identify 
current and emerging risks in its strategic business plan. Apart from 
that provision, the proposed rule would not impose any new requirements 
on the Banks' strategic business plans. The proposed rule would also 
repeal an existing provision relating to quantitative performance goals 
for Bank products related to multifamily housing and to community 
financial institution collateral, and a related existing reporting 
provision.

III. The Proposed Rule

A. Analysis of the Proposed Rule

    The proposed rule would require the board of directors at each 
regulated entity to adopt and have in effect at all times a strategic 
business plan for the regulated entity. The regulated entity's 
strategic business plan adopted by the board of directors must meet 
certain minimum requirements pertaining to operating goals, credit 
needs and market opportunities, new activities, supporting analyses, 
and current and emerging risks. As noted above, all of these 
requirements, except for the current and emerging risks, already apply 
to the Banks. The proposed rule would also require the board of 
directors at each regulated entity to review the regulated entity's 
strategic business plan at least annually, to re-adopt the strategic 
business plan for the regulated entity at least every three years, to 
establish management reporting requirements, and to monitor 
implementation of the strategic business plan, as set forth in proposed 
Sec.  1239.14(b).
    The Enterprises are congressionally chartered entities established 
to advance certain statutory purposes. These statutory purposes include 
providing stability in the secondary market for residential mortgages, 
responding appropriately to the private capital market, providing 
ongoing assistance (by facilitating liquidity and distribution of 
investment capital) to the secondary market for residential mortgages 
(including activities relating to mortgages on housing for low- and 
moderate-income families), and promoting access to mortgage credit 
throughout the nation. 12 U.S.C. 1716 et seq. (Fannie Mae); 12 U.S.C. 
1451 note (Freddie Mac). Their public purposes also include other, 
more-specific statutory or regulatory obligations including, for 
example, an Enterprise's obligations to meet its affordable housing 
goals, and its duty to serve specified underserved markets. See Federal 
Housing Enterprises Financial Safety and Soundness Act of 1992 (Safety 
and Soundness Act), 12 U.S.C. 4501 et seq.
    Similarly, the Banks are entities established under federal law to 
serve a housing finance and community lending mission. 12 U.S.C. 1430 
and 1430b. For example, in addition to advances, Bank core mission 
activities include debt or equity investments that primarily benefit 
households having a targeted income level or living in areas targeted 
for redevelopment, by supporting housing, economic development, 
community services, permanent jobs, or area revitalization or 
stabilization. 12 CFR 1265.3(e). Like the Enterprises, the Banks have 
affordable housing goals, but only to the extent that they purchase 
mortgages from their members. 12 U.S.C. 1430c.
    Paragraph 1239.14(a)(1)(i) of the proposed rule would replace the 
requirement to enumerate operating goals and objectives with a 
requirement to articulate measurable operating goals and objectives. 
The change is intended to clarify that goals and objectives are to be 
described, rather than simply listed, in a manner to allow the board of 
directors to monitor and hold management accountable for successful 
execution of the strategic business plan. A regulated entity's board 
could articulate measurable goals and objectives by specifying 
quantitative requirements or qualitative requirements. The proposed 
rule does not prescribe the specific ways in which operating goals and 
objectives must be articulated, so long as such operating goals and 
objectives are articulated in a measurable manner necessary to support 
a regulated entity's board of director's review and monitoring 
responsibilities under proposed Sec.  1239.14(b), and to allow the 
board of directors to evaluate and hold management accountable for 
successful implementation of the strategic business plan.
    Proposed Sec.  1239.14(a)(1)(i) would require each Bank's strategic 
business plan to articulate measurable operating goals and objectives 
for each significant business activity and all authorized new

[[Page 14783]]

business activities, which must include plans for maximizing activities 
that further the Bank's housing finance and community lending mission. 
This provision is much the same as the existing regulation, but 
includes several proposed changes to coordinate with the Enterprise 
requirement, including the reference to ``significant business 
activity,'' a proposed change from the existing reference to ``major 
business activity.''
    The proposed rule would also require a Bank's strategic business 
plan to articulate measurable operating goals and objectives for all 
``authorized new business activities.'' FHFA regulations currently 
provide for agency review and action on a Bank's ``new business 
activity'' before a Bank may commence with the new business activity. 
12 CFR part 1272. That regulation authorizes a Bank to commence a new 
business activity absent affirmative approval if FHFA does not take 
action within the timeframes established under 12 CFR part 1272. The 
proposed requirement to articulate operating goals and objectives would 
not apply to new business activities that are denied, are pending FHFA 
action, or are not yet submitted to FHFA, but only to those new 
business activities that have been authorized under the new business 
activities regulation.
    The proposed rule would retain the existing requirement that a 
Bank's strategic plan ``include plans for maximizing activities that 
further the Bank's housing finance and community lending mission, 
consistent with part 1265 of this chapter.'' Retaining this clause 
would reiterate the priority the Banks should continue to place on 
their core mission activities to further their housing finance and 
community lending mission, consistent with 12 CFR part 1265.
    For the Enterprises, proposed Sec.  1239.14(a)(1)(ii) would 
similarly require each Enterprise's strategic business plan to 
``articulate measurable operating goals and objectives for each 
significant existing activity and all authorized new activities.'' The 
Enterprises do not have a core mission activity regulation comparable 
to that of the Banks, so, a requirement analogous to that for the Banks 
described above is not included in the Enterprise provisions. However, 
proposed Sec.  1239.14(a)(1)(ii) would achieve an outcome for the 
Enterprises similar to that for the Banks under Sec.  1239.14(a)(1)(i). 
It does so by generally requiring the strategic business plan to 
describe ``how the [Enterprise's] business activities . . . will 
achieve [its] mission and public purposes,'' consistent with its 
charter act and the Safety and Soundness Act. It also does so by 
requiring the Enterprise's strategic business plan to articulate 
``measurable operating goals and objectives'' in achieving the 
Enterprise's statutory purposes. Describing how the Enterprise's 
business activities will achieve its mission and public purposes, and 
articulating measurable goals and objectives for significant existing 
activities, would help to enable an Enterprise's board of directors to 
monitor, review, and hold management accountable for successful 
execution of the strategic business plan.
    Proposed Sec.  1239.14(a)(1)(ii) would reference ``authorized new 
activities'' in its ``measurable operating goals and objectives'' 
requirement. FHFA regulations currently provide for agency review and 
action on an Enterprise's ``new activity'' before the Enterprise may 
commence with the new activity. 12 CFR part 1253. The term ``authorized 
new activities'' is used because the current regulation for considering 
new activities authorizes an Enterprise to engage in a new activity 
absent affirmative approval. This could occur where FHFA does not take 
action within 15 days from receipt of a complete new activity notice. 
12 CFR 1253.3(d). As a result, Sec.  1239.14(a)(1)(ii) requires 
articulation of measurable operating goals and objectives for all 
``authorized new activities,'' which could include both new activities 
that were affirmatively approved by FHFA and those authorized by 
passage of time. Proposed Sec.  1239.14(a)(1)(ii) would not require a 
strategic business plan to articulate measurable goals and objectives 
for new activities that are denied, pending FHFA action, or not yet 
submitted to FHFA.
    Proposed Sec.  1239.14(a)(2) would require each regulated entity's 
strategic business plan to discuss how the regulated entity will 
address credit needs and market opportunities identified through 
ongoing market research and stakeholder consultations. In the case of 
the Banks, stakeholders would include members, housing associates, and 
public and private organizations. In the case of the Enterprises, 
stakeholders would include mortgage market participants and public and 
private organizations, including those that advocate for access to 
credit. The purpose of Sec.  1239.14(a)(2) is similar to that currently 
in effect for the Banks, that is, to require regulated entity board 
engagement with market research and stakeholder consultations to 
identify areas of credit needs and market opportunities to further the 
regulated entity's public purposes.
    Proposed Sec.  1239.14(a)(3) would require a regulated entity's 
strategic business plan to describe ``significant activities in which 
the regulated entity is planning to be engaged,'' including any changes 
to business strategy or approach that the regulated entity is planning 
to undertake, and discuss how such activities further the regulated 
entity's public purposes. FHFA considered whether to retain the 
existing language in 12 CFR 1239.31(a)(4), which requires a regulated 
entity's strategic business plan to describe any ``proposed new 
business activities or enhancements of existing activities.'' However, 
the language of the existing requirement is unclear as to whether 
activities in various stages of development are covered.
    Specifically, the existing regulatory language referring to 
``proposed new business activities or enhancements of existing 
activities'' in Sec.  1239.31(a)(4) may be ambiguous in that it could 
be interpreted to include those activities that are in the planning or 
development process within a Bank, but not yet submitted as a new 
business activity. Alternatively, it could be interpreted to refer to 
only those new business activities submitted to and pending approval 
with FHFA. Rather than referring to proposed new business activities 
and enhancements of existing activities, FHFA proposes to modify the 
existing language for the Banks and apply the same requirement to the 
Enterprises.
    Proposed Sec.  1239.14(a)(3) would eliminate the need, in the 
context of the strategic business plan requirement, to determine 
whether an activity is a new business activity in the case of a Bank, 
or a new activity in the case of an Enterprise, for purposes of the 
respective regulation, and whether it has been submitted or approved as 
such. The focus of the requirement would be on significant activities 
in which the regulated entity is planning to be engaged and how these 
planned activities would further the regulated entity's public 
purposes. To the extent the significant activities described would 
affect the future financial condition or risk profile of the regulated 
entity, the strategic business plan should address such risks.
    For the Banks, proposed Sec.  1239.14(a)(3) would clarify the 
existing regulatory language in 12 CFR 1239.31(a)(4) for each Bank's 
strategic business plan to describe any ``proposed new business 
activities or enhancements of existing activities.'' Instead, the 
proposed change would require the plan to describe any ``significant 
activities in which the

[[Page 14784]]

regulated entity is planning to be engaged.''
    Proposed Sec.  1239.14(a)(4)(i) would continue to require a Bank 
strategic business plan to be supported by appropriate and timely 
research and analysis of relevant market developments and member and 
housing associate demand for Bank products and services. This is the 
same as the existing requirement for the Banks. In addition, the 
existing reference to ``associate'' would be revised to ``housing 
associate.''
    Similarly, Sec.  1239.14(a)(4)(ii) would require an Enterprise's 
strategic business plan to be supported by appropriate and timely 
research and analysis of relevant market developments. This Enterprise 
requirement is consistent with the existing requirement for the Banks, 
and does not include the Bank-specific reference to member and housing 
associate demand for Bank products and services.
    Proposed Sec.  1239.14(a)(5) would require a regulated entity's 
strategic business plan to identify current and emerging risks, 
including such current and emerging risks associated with the regulated 
entity's existing activities or new activities, and discuss how the 
regulated entity plans to further its public purposes and mission in a 
safe and sound manner.
    Emerging risks are risks that are potentially significant but which 
may not be fully known or understood, and could be associated with new 
or existing activities. This requirement would be a new requirement for 
the Banks.
    Proposed Sec.  1239.14(b) would require each regulated entity's 
board of directors to review the strategic business plan at least 
annually, re-adopt the plan at least every three years, and to 
establish reporting requirements and monitor implementation of the 
strategic business plan. The substance of this provision is identical 
to that of the existing Bank strategic business plan provision.

B. Provisions to be Repealed

    The proposed rule would repeal the provision from the existing 
regulation at 12 CFR 1239.31(a)(3) that requires the Banks to include 
in their strategic business plans quantitative performance goals for 
Bank products related to multifamily housing and to community financial 
institution (CFI) collateral. The Finance Board added this requirement 
to the strategic business plan regulation shortly after Congress first 
authorized the Banks to accept CFI collateral. When doing so, the 
Finance Board explained that it wanted to make clear that providing 
financing for multifamily lending and for advances secured by the newly 
authorized CFI collateral is a part of the Banks' mission. In the 17 
years that have passed since the Finance Board adopted this 
requirement, FHFA has monitored the Banks' acceptance of CFI collateral 
and has determined that this is very much a member-driven practice. 
There is considerable variation among the Banks as to the extent to 
which the Banks' members pledge CFI collateral, which FHFA believes is 
driven by the different types of loans made by the members in different 
Bank districts. Some Banks have significant numbers of members that 
make loans for small farm, small agribusiness, small business, or 
community development purposes, while other Banks have fewer members 
engaged in making those types of loans. Moreover, CFI collateral is no 
longer new, and decisions about what type of collateral to pledge are 
ultimately made by the individual members, based on their particular 
business needs. FHFA does not require Banks to set quantitative goals 
for the other types of collateral that members may pledge. In light of 
all of those factors, FHFA believes that there is no longer any need 
for the strategic business plans to address these categories of 
collateral. The proposed rule would repeal this provision, as well as a 
separate provision at 12 CFR 1239.31(c) that requires the Banks to 
report annually on their progress towards meeting those goals.
    The proposed rule would also make a conforming change to a 
reference contained in Sec.  1273.8(d)(2) relating to the Office of 
Finance board of directors' duty to approve a strategic business plan, 
to reference the proposed new provision at Sec.  1239.14.

C. Corporate Governance Requirements and Conservatorship

    As FHFA noted when it most recently adopted its corporate 
governance regulation, the regulation is not intended to address 
conservatorship matters. 80 FR at 72328. Instead, the corporate 
governance regulation is intended to address matters of corporate 
practice and governance at the regulated entities. FHFA, as 
conservator, currently possesses ultimate authority over all operations 
of the Enterprises. Pursuant to its conservatorship authority, FHFA has 
provided for Enterprise boards to exercise the functions of management 
oversight that exist under applicable law and regulation, including 
FHFA's corporate governance regulation, while reserving for itself 
decision making authority to establish conservatorship direction.
    Accordingly, under the proposed rule, as part of their corporate 
governance requirements, the board of directors at each Enterprise 
would be required to adopt a strategic business plan. Each Enterprise's 
strategic business plan should describe, at a minimum, how the business 
activities of the Enterprise will achieve its public purposes as set 
forth under its respective statutory charter and the Safety and 
Soundness Act. Although the Enterprises remain in conservatorship, 
their boards of directors have been operating under FHFA regulations, 
including the standards set forth in FHFA's corporate governance 
regulation at 12 CFR part 1239, that govern board members outside of 
conservatorship, except as modified by the conservator. Such duties 
include establishing strategic objectives that incorporate the 
priorities of the conservator while achieving the Enterprise's 
statutory purposes in a safe and sound manner.

D. Consideration of Differences Between the Banks and the Enterprises

    When promulgating regulations that relate to the Banks, section 
1313(f) of the Safety and Soundness Act requires FHFA to consider the 
differences between the Banks and the Enterprises with respect to the 
Banks': Cooperative ownership structure; mission of providing liquidity 
to members; affordable housing and community development mission; 
capital structure; and joint and several liability. 12 U.S.C. 4513(f). 
In developing the proposed rule, FHFA has considered these areas of 
differences between the Banks and the Enterprises, and has determined 
that the proposed rule is unlikely to adversely affect the Banks in 
these areas of differences. FHFA is requesting public comment on 
whether differences related to these factors should result in a 
revision of the proposed rule as it relates to the Banks.

IV. Paperwork Reduction Act

    The proposed rule does not contain any collections of information 
under the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.). 
Therefore, FHFA has not submitted any information to the Office of 
Management and Budget for review.

V. Regulatory Flexibility Act

    The Regulatory Flexibility Act (5 U.S.C. 601 et seq.) requires an 
agency to analyze a regulation's impact on small entities if the 
regulation is expected to have a significant economic impact on a 
substantial number of small entities. 5 U.S.C. 605(b). FHFA has 
considered the impact of this proposed rule and the

[[Page 14785]]

General Counsel of FHFA certifies that the proposed rule, if adopted as 
a final rule, is not likely to have a significant economic impact on a 
substantial number of small entities because it applies only to the 
regulated entities and the Office of Finance, which are not small 
entities for purposes of the Regulatory Flexibility Act. Therefore, an 
initial regulatory flexibility analysis is not required.

List of Subjects

12 CFR Part 1239

    Administrative practice and procedure, Federal home loan banks, 
Government-sponsored enterprises, Reporting and recordkeeping 
requirements.

12 CFR Part 1273

    Federal home loan banks, Securities.

    Accordingly, for reasons stated in the Supplementary Information, 
FHFA hereby proposes to amend 12 CFR parts 1239 and 1273 as follows:

Subchapter B--Regulated Entities

PART 1239--[AMENDED]

0
1. The authority citation for part 1239 continues to read as follows:

    Authority: 12 U.S.C. 1426, 1427, 1432(a), 1436(a), 1440, 
4511(b), 4513(a), 4513(b), and 4526.

0
2. Add new Sec.  1239.14 to subpart C to read as follows:


Sec.  1239.14  Strategic business plan.

    (a) Adoption of strategic business plan. Each board of directors 
shall adopt and have in effect at all times a strategic business plan 
for the regulated entity that describes, at a minimum, how the business 
activities of the regulated entity will achieve its mission and public 
purposes consistent with its authorizing statute, the Safety and 
Soundness Act, and, in the case of a Bank, part 1265 of this chapter. 
Specifically, each regulated entity's strategic business plan shall at 
a minimum:
    (1)(i) In the case of a Bank, articulate measurable operating goals 
and objectives for each significant business activity and for all 
authorized new business activities, which must include plans for 
maximizing activities that further the Bank's housing finance and 
community lending mission, consistent with part 1265 of this chapter;
    (ii) In the case of an Enterprise, articulate measurable operating 
goals and objectives for each significant existing activity and for all 
authorized new activities;
    (2) Discuss how the regulated entity will address credit needs and 
market opportunities identified through ongoing market research and 
stakeholder consultations;
    (3) Describe any significant activities in which the regulated 
entity is planning to be engaged, including any changes to business 
strategy or approach that the regulated entity is planning to 
undertake, and discuss how such activities would further the regulated 
entity's mission and public purposes;
    (4)(i) In the case of a Bank, be supported by appropriate and 
timely research and analysis of relevant market developments and member 
and housing associate demand for Bank products and services;
    (ii) In the case of an Enterprise, be supported by appropriate and 
timely research and analysis of relevant market developments; and
    (5) Identify current and emerging risks, including those associated 
with the regulated entity's existing activities or new activities, and 
discuss how the regulated entity plans to address emerging risks while 
furthering its public purposes and mission in a safe and sound manner.
    (b) Review and monitoring. Each board of directors shall:
    (1) Review the regulated entity's strategic business plan at least 
annually;
    (2) Re-adopt the strategic business plan for the regulated entity 
at least every three years; and
    (3) Establish management reporting requirements and monitor 
implementation of the strategic business plan and the operating goals 
and objectives contained therein.


Sec.  1239.31  [Removed and reserved]

0
3. Remove and reserve Sec.  1239.31.

Subchapter D--Federal Home Loan Banks

PART 1273--[AMENDED]

0
4. The authority citation for part 1273 continues to read as follows:

    Authority: 12 U.S.C. 1431, 1440, 4511(b), 4513, 4514(a), 
4526(a).

Sec.  1273.8  [Amended]

0
5. Section 1273.8(d)(2) is amended by removing the reference to ``Sec.  
1239.31'' and adding in its place ``Sec.  1239.14.''

    Dated: April 2, 2018.
 Melvin L. Watt,
 Director, Federal Housing Finance Agency.
[FR Doc. 2018-07044 Filed 4-5-18; 8:45 am]
 BILLING CODE 8070-01-P