CREDIT ENHANCEMENT FOR CERTAIN TAX-EXEMPT BONDS.

SEC. 611. CREDIT ENHANCEMENT FOR CERTAIN TAX-EXEMPT BONDS. Section 21A(c)(8)(B) of the Federal Home Loan Bank Act (12 U.S.C. 1441a(c)(8)(B)) is amended— (1) by striking “(B) Credit enhancement.—With respect to” and inserting the following: “(B) Credit enhancement.— “(i) In general.— With respect to”; and (2) by adding at the end the following new clause: “(ii) Certain tax-exempt bonds.— The Corporation may provide credit enhancements with respect to tax-exempt bonds issued on behalf of nonprofit organizations pursuant to section 103, and subpart A of part IV of subchapter A of chapter 1, of the Internal Revenue Code of 1986, with respect to the disposition of eligible residential properties for the purposes described in clause (i).”.