FINANCING CORPORATION ESTABLISHED.

SEC. 302. FINANCING CORPORATION ESTABLISHED. The Federal Home Loan Bank Act (12 U.S.C. 1421 et seq.) is amended by inserting after section 20 the following new section: “SEC. 21. FINANCING CORPORATION. “(a) Establishment.— Notwithstanding any other provision of law, the Board shall charter a corporation to be known as the Financing Corporation. “(b) Management of Financing Corporation.— “(1) Directorate.— The Financing Corporation shall be under the management of a directorate composed of 3 members as follows: “(A) The Director of the Office of Finance of the Federal Home Loan Banks (or the head of any successor to such office). “(B) 2 members selected by the Federal Home Loan Bank Board from among the presidents of the Federal Home Loan Banks. “(2) Terms.— Each member appointed under paragraph (1)(B) shall be appointed for a term of 1 year. “(3) Vacancy.— If any member leaves the office in which such member was serving when appointed to the Directorate— “(A) such member’s service on the Directorate shall terminate on the date such member leaves such office; and “(B) the successor to the office of such member shall serve the remainder of such member’s term. 101 STAT. 586 “(4) Equal representation of banks.— No president of a Federal Home Loan Bank may be appointed to serve an additional term on the Directorate until such time as the presidents of each of the other Federal Home Loan Banks have served as many terms on the Directorate as the president of such bank (before the appointment of such president to such additional term). “(5) Chairperson.— The Chairman of the Federal Home Loan Bank Board shall select the chairperson of the Directorate from among the 3 members of the Directorate. “(6) Staff.— “(A) No paid employees.— The Financing Corporation shall have no paid employees. “(B) Powers.— The Directorate may, with the approval of the Board, authorize the officers, employees, or agents of the Federal Home Loan Banks to act for and on behalf of the Financing Corporation in such manner as may be necessary to carry out the functions of the Financing Corporation. “(7) Administrative expenses.— “(A) In general.— All administrative expenses of the Financing Corporation shall be paid by the Federal Home Loan Banks. “(B) Pro rata distribution.— The amount each Federal Home Loan Bank shall pay shall be determined by the Board by multiplying the total administrative expenses for any period by the percentage arrived at by dividing— “(i) the aggregate amount the Board required such bank to invest in the Financing Corporation (as of the time of such determination) under paragraphs (4) and (5) of subsection (d) (as computed without regard to paragraph (3) or (6) of such subsection); by “(ii) the aggregate amount the Board required all Federal Home Loan Banks to invest (as of the time of such determination) under such paragraphs. “(C) Administrative expenses defined.— For purposes of this paragraph, the term ‘administrative expenses’ does not include— “(i) issuance costs (as such term is defined in subsection (g)(5)(A)); “(ii) any interest on (and any redemption premium with respect to) any obligation of the Financing Corporation; or “(iii) custodian fees (as such term is defined in subsection (g)(5)(B)). “(8) Regulation by board.— The Directorate shall be subject to such regulations, orders, and directions as the Board may prescribe. “(9) No compensation from financing corporation.— Members of the Directorate shall receive no pay, allowances, or benefits from the Financing Corporation by reason of their service on the Directorate. “(c) Powers of Financing Corporation.— The Financing Corporation shall have only the following powers, subject to the other provisions of this section and such regulations, orders, and directions as the Board may prescribe: 101 STAT. 587 “(1) To issue nonvoting capital stock to the Federal Home Loan Banks. “(2) To invest in any security issued by the Federal Savings and Loan Insurance Corporation under section 402(b) of the National Housing Act. “(3) To issue debentures, bonds, or other obligations and to borrow, to give security for any amount borrowed, and to pay interest on (and any redemption premium with respect to) any such obligation or amount. “(4) To impose assessments in accordance with subsection (f). “(5) To adopt, alter, and use a corporate seal. “(6) To have succession until dissolved. “(7) To enter into contracts. “(8) To sue and be sued in its corporate capacity, and to complain and defend in any action brought by or against the Financing Corporation in any State or Federal court of competent jurisdiction. “(9) To exercise such incidental powers not inconsistent with the provisions of this section or section 402(b) of the National Housing Act as are necessary or appropriate to carry out the provisions of this section. “(d) Capitalization of Financing Corporation.— “(1) Purchase of capital stock by federal home loan banks.— “(A) In general.— Each Federal Home Loan Bank shall invest in nonvoting capital stock of the Financing Corporation at such times and in such amounts as the Board may prescribe under this subsection. “(B) Par value; transferability.— Each share of stock issued by the Financing Corporation to a Federal Home Loan Bank shall have par value in an amount determined by the Board and shall be transferable only among the Federal Home Loan Banks in the manner and to the extent prescribed by the Board at not less than par value. “(2) Aggregate dollar amount limitation on all investments.— The aggregate amount of funds invested by all Federal Home Loan Banks in nonvoting capital stock of the Financing Corporation shall not exceed $3,000,000,000. “(3) Maximum investment amount limitation for each federal home loan bank.— The cumulative amount of funds invested in nonvoting capital stock of the Financing Corporation by each Federal Home Loan Bank shall not exceed the aggregate amount of— “(A) the sum of— “(i) the reserves maintained by such bank on December 31, 1985, pursuant to the requirement contained in the first 2 sentences of section 16; and “(ii) the undivided profits (as defined in paragraph (7)) of such bank on such date; and “(B) the sum of— “(i) the amounts added to reserves after December 31, 1985, pursuant to the requirement contained in the first 2 sentences of section 16; and “(ii) the undivided profits of such bank accruing after such date. “(4) Pro rata distribution of 1st $1,000,000,000 invested in financing corporation by home loan banks.— With respect to 101 STAT. 588the first $1,000,000,000 which the Board may require the Federal Home Loan Banks to invest in capital stock of the Financing Corporation under this subsection, the amount which each Federal Home Loan Bank (or any successor to such bank) shall invest shall be determined by the Board by applying to the total amount of such investment by all such banks the percentage appearing in the following table for each such bank: “Bank Percentage Federal Home Loan Bank of Boston 1.8629 Federal Home Loan Bank of New York 9.1006 Federal Home Loan Bank of Pittsburgh 4.2702 Federal Home Loan Bank of Atlanta 14.4007 Federal Home Loan Bank of Cincinnati 8.2653 Federal Home Loan Bank of Indianapolis 5.2863 Federal Home Loan Bank of Chicago 9.6886 Federal Home Loan Bank of Des Moines 6.9301 Federal Home Loan Bank of Dallas 8.8181 Federal Home Loan Bank of Topeka 5.2706 Federal Home Loan Bank of San Francisco 19.9644 Federal Home Loan Bank of Seattle 6.1422 “(5) Pro rata distribution of amounts required to be invested in excess of $1,000,000,000.— With respect to any amount in excess of $1,000,000,000 which the Board may require the Federal Home Loan Banks to invest in capital stock of the Financing Corporation under this subsection, the amount which each Federal Home Loan Bank (or any successor to such bank) shall invest shall be determined by the Board by multiplying such excess amount by the percentage arrived at by dividing— “(A) the sum of the total assets (as of the most recent December 31) held by all insured institutions which are members of such bank; by “(B) the sum of the total assets (as of such date) held by all insured institutions which are members of any Federal Home Loan Bank. “(6) Special provisions relating to maximum amount limitations.— “(A) In general.— If the amount any Federal Home Loan Bank is required to invest in capital stock of the Financing Corporation pursuant to a determination by the Board under paragraph (5) (or under subparagraph (B) of this paragraph) exceeds the maximum investment amount applicable with respect to such bank under paragraph (3) at the time of such determination (hereinafter in this paragraph referred to as the ‘excess amount’)— “(i) the Board shall require each remaining Federal Home Loan Bank to invest (in addition to the amount determined under paragraph (5) for such remaining bank and subject to the maximum investment amount applicable with respect to such remaining bank under paragraph (3) at the time of such determination) in such capital stock on behalf of the bank in the amount determined under subparagraph (B); “(ii) the Board shall require the bank to subsequently purchase the excess amount of capital stock from the remaining banks in the manner described in subparagraph (C); and “(iii) the requirements contained in subparagraphs (D) and (E) relating to the use of net earnings available 101 STAT. 589for dividends shall apply to such bank until the bank has purchased all of the excess amount of capital stock. “(B) Allocation of excess amount among remaining home loan banks.— The amount each remaining Federal Home Loan Bank shall be required to invest under subparagraph (A)(i) is the amount determined by the Board by multiplying the excess amount by the percentage arrived at by dividing— “(i) the amount of capital stock of the Financing Corporation held by such remaining bank at the time of such determination; by “(ii) the aggregate amount of such stock held by all remaining banks at such time. “(C) Purchase procedure.— The bank on whose behalf an investment in capital stock is made under subparagraph (A)(i) shall purchase, annually and at the issuance price, from each remaining bank an amount of such stock determined by the Board by multiplying the amount available for such purchases (at the time of such determination) by the percentage determined under subparagraph (B) with respect to such remaining bank until the aggregate amount of such capital stock has been purchased by the bank. “(D) Limitation on dividends.— The amount of dividends which may be paid for any year by a bank on whose behalf an investment is made under subparagraph (A)(i) shall not exceed an amount equal to % of the net earnings available for dividends of the bank for the year. “(E) Transfer to account for purchase of stock required.— Of the net earnings available for dividends for any year of a bank on whose behalf an investment is made under subparagraph (A)(i), such amount as is necessary to make the purchases of stock required under subparagraph (A)(ii) shall be placed in a reserve account (established in such manner as the Board shall prescribe by regulations) the balance in which shall be available only for such purchases. “(F) Net earnings available for dividends defined.— For purposes of this paragraph, the term ‘net earnings available for dividends’ means the net earnings of a bank for any period as computed after reducing the amount of earnings for such period by the amount required to be carried (for such period) to reserves maintained by such bank pursuant to the first two sentences of section 16 of this Act. “(7) Undivided profits defined.— For purposes of paragraph (3), the term ‘undivided profits’ means retained earnings minus the sum of— “(A) that portion required to be added to reserves maintained pursuant to the first two sentences of section 16 of this Act; and “(B) the dollar amounts held by the respective Federal Home Loan Banks in special dividend stabilization reserves on December 31, 1985, as determined under the following table: 101 STAT. 590 “Bank Dollar amount Federal Home Loan Bank of Boston $3.2 million Federal Home Loan Bank of New York 7.7 million Federal Home Loan Bank of Pittsburgh 5.2 million Federal Home Loan Bank of Atlanta 12.3 million Federal Home Loan Bank of Cincinnati 5.9 million Federal Home Loan Bank of Indianapolis 37.4 million Federal Home Loan Bank of Chicago 6.0 million Federal Home Loan Bank of Des Moines 32.7 million Federal Home Loan Bank of Dallas 45.0 million Federal Home Loan Bank of Topeka 13.7 million Federal Home Loan Bank of San Francisco 21.9 million Federal Home Loan Bank of Seattle 33.6 million “(e) Obligations of the Financing Corporation.— “(1) Limitation on amount of outstanding obligations.— The aggregate amount of obligations of the Financing Corporation which may be outstanding at any time (as determined by the Board) shall not exceed the lesser of— “(A) an amount equal to the greater of— “(i) 5 times the amount of the nonvoting capital stock of the Financing Corporation which is outstanding at such time; or “(ii) the sum of the face amounts (the amount of principal payable at maturity) of securities described in subsection (g)(2) which are held at such time in the segregated account established pursuant to such subsection; or “(B) $10,825,000,000. “(2) Annual limitation on net new borrowing.— Net new borrowing by the Financing Corporation— “(A) shall not exceed an amount equal to $3,750,000,000 in the 1-year period beginning on the date of the enactment of the Federal Savings and Loan Insurance Corporation Recapitalization Act of 1987; and “(B) shall not exceed an amount equal to $3,750,000,000 in each 1-year period beginning after the 1-year period described in subparagraph (A). “(3) Net proceeds to be invested in capital of fslic.— Subject to such terms and conditions as may be approved by the Board, the net proceeds of any obligation issued by the Financing Corporation shall be used to— “(A) purchase capital certificates or capital stock issued by the Federal Savings and Loan Insurance Corporation under section 402(b)(1)(A) of the National Housing Act; or “(B) refund any previously issued obligation the net proceeds of which were invested in the manner described in subparagraph (A). “(4) Limitation on term of obligations.— No obligation of the Financing Corporation may be issued which matures— “(A) more than 30 years after the date of issue; or “(B) after December 31, 2026. “(5) Investment of united states funds in obligations.— Obligations issued under this section by the Financing Corporation with the approval of the Board shall be lawful investments, and may be accepted as security, for all fiduciary, trust, and public funds the investment or deposit of which shall be under the authority or control of the United States or any officer of the United States. “(6) Market for obligations.— All persons having the power to invest in, sell, underwrite, purchase for their own accounts, accept as security, or otherwise deal in obligations of the Fed-101 STAT. 591eral Home Loan Banks shall also have the power to do so with respect to obligations of the Financing Corporation. “(7) No full faith and credit of the united states.— Obligations of the Financing Corporation and the interest payable on such obligations shall not be obligations of, or guaranteed as to principal or interest by, the Federal Home Loan Banks, the United States, or the Federal Savings and Loan Insurance Corporation and the obligations shall so plainly state. “(8) Tax exempt status.— “(A) In general.— Except as provided in subparagraph (B), obligations of the Financing Corporation shall be exempt from tax both as to principal and interest to the same extent as any obligation of a Federal Home Loan Bank is exempt from tax under section 13. “(B) Exception.— The Financing Corporation, like the Federal Home Loan Banks, shall be treated as an agency of the United States for purposes of the first sentence of section 3124(b) of title 31, United States Code (relating to determination of tax status of interest on obligations). “(9) Obligations are exempt securities.— Notwithstanding paragraph (7), obligations of the Financing Corporation shall be deemed to be exempt securities (within the meaning of laws administered by the Securities and Exchange Commission) to the same extent as securities which are direct obligations of the United States or are guaranteed as to principal or interest by the United States. “(10) Minority participation in public offerings.— The Chairman of the Board and the Directorate shall ensure that minority owned or controlled commercial banks, investment banking firms, underwriters, and bond counsels throughout the United States have an opportunity to participate to a significant degree in any public offering of obligations issued under this section. “(f) Assessment Authority of the Financing Corporation.— “(1) In general.— The Financing Corporation may, with the approval of the Board, assess on each insured institution an assessment, except that the aggregate amount assessed under this paragraph on any insured institution for any year may not exceed an amount equal to 1/12th of 1 percent of the aggregate amount of all accounts of insured members of such insured institution. “(2) Supplemental assessment authorized.— Upon the unanimous vote of the Directorate that additional funds are needed to pay the interest on the obligations of the Financing Corporation because no other funds are available, the Financing Corporation may, with the approval of the Board and in addition to any assessment assessed under paragraph (1), assess on each insured institution an assessment, except that the aggregate amount assessed under this paragraph on any insured institution for any year may not exceed an amount equal to ⅛th of 1 percent of the aggregate amount of all accounts of insured members of such insured institution. “(3) Total amount of assessments may not exceed interest and financing costs.— The aggregate amount of all assessments assessed under paragraphs (1) and (2) for any year may not exceed— “(A) the aggregate amount of— 101 STAT. 592 “(i) issuance costs (as such term is defined in subsection (g)(5)(A)) incurred with respect to obligations issued during such year; “(ii) interest paid on (and any redemption premium paid with respect to) obligations of the Financing Corporation during such year; and “(iii) custodian fees (as such term is defined in subsection (g)(5)(B)) incurred during such year; minus “(B) the aggregate amount of any payments under subsection (g)(4) during such year. “(4) Termination assessments.— “(A) Assessment authorized.— The Financing Corporation shall, with the approval of the Board, assess a termination assessment on any insured institution which ceases to be an insured institution. “(B) Maximum amount of assessment.— The amount of the assessment on any institution under subparagraph (A) shall be the amount which is equal to the sum of— “(i) the amount which is equal to 2 times the last annual insurance premium payable by such institution under section 404(b) of the National Housing Act (including the amount of any assessment imposed under paragraph (1) of this subsection in lieu of any such premium); and “(ii) the amount which is the product of— “(I) the aggregate amount of all accounts of insured members of such institution (as of the date the institution ceases to be an insured institution); and “(II) 2 times the rate (expressed as an annual rate) at which the supplemental assessment under section 404(c) of the National Housing Act was assessed against insured institutions by the Federal Savings and Loan Insurance Corporation in 1986. “(C) Reduction in assessment allowed for weakened institutions.— The amount of any assessment which the Financing Corporation may otherwise impose under this paragraph on an institution (which ceases to be an insured institution) may be reduced by such amount as the Financing Corporation, with the approval of the Board, may deem appropriate when— “(i) the institution poses a substantial risk to the assets of the Federal Savings and Loan Insurance Corporation; and “(ii) such reduction is necessary to assist in the sale or other disposition of the institution. “(D) Time for paying assessment.— “(i) Due within 30 days.— If an assessment is imposed on an institution under subparagraph (A), the institution shall be obligated to pay such assessment before the end of the 30-day period beginning on the date on which such institution ceases to be an insured institution. “(ii) Semiannual installments with interest.— Notwithstanding the requirement of clause (i), an institution may elect to pay the amount of any assess-101 STAT. 593ment imposed under subparagraph (A) in semiannual installments during the period beginning no later than the end of the 30-day period referred to in clause (i) and ending no later than the end of the 2-year period beginning on the date such assessment is imposed, together with interest accruing on the unpaid balance of such amount at a variable rate equal to the sum of— “(I) the bond equivalent yield on 6-month United States Treasury bills; and “(II) 100 basis points. “(E) Exit fee equalization.— If any institution described in subparagraph (F) paid any exit fee, or the equivalent thereof (as determined by the Corporation), on or before the date of the enactment of the Federal Savings and Loan Insurance Corporation Recapitalization Act of 1987, the Corporation shall repay to such institution an amount equal to the amount by which the amount of such fee exceeds the amount which such institution would be required to pay if the amount of such fee were determined under this paragraph as of the date of the enactment of this Act. “(F) Provisions applicable to certain institutions.— Except as provided in subparagraph (E), no assessment under this paragraph or insurance premium under section 407(d) of the National Housing Act may be imposed on an insured institution which, on or before March 31, 1987, had— “(i) its status as an insured institution terminated voluntarily, involuntarily, or by operation of law in connection with a conversion into, merger with, acquisition by, consolidation with, reorganization into, or combination by any means with, an institution the deposits of which are insured by the Federal Deposit Insurance Corporation; “(ii) filed an application or notice with any State banking agency or authority, or with the Comptroller of the Currency, the Federal Deposit Insurance Corporation, the Board of Governors of the Federal Reserve System, the Corporation or the Federal Home Loan Bank Board pursuant to a transaction which, upon consummation thereof, will result in the termination of the institution’s status as an insured institution in connection with its conversion into, merger with, acquisition by, consolidation with, reorganization into, or combination by any means with, an institution the deposits of which are insured by the Federal Deposit Insurance Corporation; or “(iii) entered into a letter of intent or a written memorandum of understanding, pursuant to a transaction which will result in the termination of the institution’s status as an insured institution in connection with its conversion into, merger with, acquisition by consolidation with, reorganization into, or combination by any means with, an institution the deposits of which are insured by the Federal Deposit Insurance Corporation. 101 STAT. 594 “(G) Additional provision.— Notwithstanding any other provision of law, the Federal Savings and Loan Insurance Corporation shall repay to Comerica, Inc. of Detroit, Michigan, an amount equal to any exit fee or equivalent thereof paid by Comerica, Inc. “(5) Payment to financing corporation.— All assessments assessed by the Financing Corporation under paragraph (1), (2), or (4) shall be paid to the Financing Corporation. “(g) Use and Disposition of Assets of the Financing Corporation Not Invested in FSLIC.— “(1) In general.— Subject to such regulations, restrictions, and limitations as may be prescribed by the Board, assets of the Financing Corporation, which are not invested in capital certificates or capital stock issued by the Federal Savings and Loan Insurance Corporation under section 402(b)(1)(A) of the National Housing Act, shall be invested in— “(A) direct obligations of the United States; “(B) obligations, participations, or other instruments of, or issued by, the Federal National Mortgage Association or the Government National Mortgage Association; “(C) mortgages, obligations, or other securities for sale by, or which have been disposed of by, the Federal Home Loan Mortgage Corporation under section 305 or 306 of the Federal Home Loan Mortgage Corporation Act; or “(D) any other security in which it is lawful for fiduciary and trust funds to be invested under the laws of any State. “(2) Segregated account for zero coupon instruments held to assure payment of principal.— The Financing Corporation shall invest in, and hold in a segregated account, noninterest bearing instruments— “(A) which are securities described in paragraph (1); and “(B) the total of the face amounts (the amount of principal payable at maturity) of which is approximately equal to the aggregate amount of principal on the obligations of the Financing Corporation, to assure the repayment of principal on obligations of the Financing Corporation. “(3) Dollar amount limitation on investment in zero coupon instruments for segregated account.— The aggregate amount invested by the Financing Corporation under paragraph (2) shall not exceed $2,200,000,000 (as determined on the basis of the purchase price). “(4) Exception for payment of issuance costs, interest, and custodian fees.— Notwithstanding the requirements of paragraph (1), the assets of the Financing Corporation referred to in paragraph (1) which are not invested under paragraph (2) may be used to pay— “(A) issuance costs; “(B) any interest on (and any redemption premium with respect to) any obligation of the Financing Corporation; and “(C) custodian fees. “(5) Definitions.— For purposes of this subsection— “(A) Issuance costs.— The term ‘issuance costs’— “(i) means issuance fees and commissions incurred by the Financing Corporation in connection with the issu-101 STAT. 595ance or servicing of any obligation of the Financing Corporation; and “(ii) includes legal and accounting expenses, trustee and fiscal and paying agent charges, costs incurred in connection with preparing and printing offering materials, and advertising expenses, to the extent that any such cost or expense is incurred by the Financing Corporation in connection with issuing any obligation. “(B) Custodian fees.— The term ‘custodian fee’ means— “(i) any fee incurred by the Financing Corporation in connection with the transfer of any security to, or the maintenance of any security in, the segregated account established under paragraph (2); and “(ii) any other expense incurred by the Financing Corporation in connection with the establishment or maintenance of such account. “(h) Miscellaneous Provisions Relating to Financing Corporation.— “(1) Treatment for certain purposes.— Except as provided in subsection (e)(8)(B), the Financing Corporation shall be treated as a Federal Home Loan Bank for purposes of sections 13 and 23. “(2) Federal reserve banks as depositaries and fiscal agents.— The Federal Reserve banks are authorized to act as depositaries for or fiscal agents or custodians of the Financing Corporation. “(3) Applicability of certain provisions relating to government corporation.— Notwithstanding the fact that no Government funds may be invested in the Financing Corporation, the Financing Corporation shall be treated, for purposes of sections 9105, 9107, and 9108 of title 31, United States Code, as a mixed-ownership Government corporation which has capital of the Government. “(i) Federal Savings and Loan Insurance Corporation Industry Advisory Committee.— “(1) Establishment.— There is hereby established the Federal Savings and Loan Insurance Corporation Industry Advisory Committee (hereinafter in this subsection referred to as the ‘Committee’). “(2) Membership.— “(A) Appointment.— The Committee shall consist of 13 members selected as follows: “(i) 1 member appointed by the Chairman of the Board from among individuals who are officers of insured institutions and who are not members of the Board or employees of the Board, the Federal Savings and Loan Insurance Corporation, or the Board of Directors of any Federal Home Loan Bank. “(ii) 1 member elected from each Federal Home Loan Bank district (by the members of the Board of Directors of each such bank who were elected by the members of such bank) from among individuals who are officers of insured institutions. “(B) Terms.— Members shall be appointed or elected for terms of 1 year. 101 STAT. 596 “(C) Chairperson.— The member appointed under subparagraph (A)(i) shall be the chairperson of the Committee. “(D) Vacancies.— Any vacancy on the Committee shall be filled in the manner in which the original appointment was made. “(E) Pay and expenses.— Members of the Committee shall serve without pay but each member of the Committee shall be reimbursed, in such manner as the Board may prescribe by regulation, by the Federal Home Loan Bank which elected such member (and, in the case of the member appointed by the Chairman of the Board, by the Board) for expenses incurred in connection with attendance of such members at meetings of the Committee. “(F) Meetings.— The Committee shall meet from time to time at the call of the chairperson or a majority of the members. “(3) Duties of the committee.— The duties of the Committee are as follows: “(A) To review the reports and budgets prepared pursuant to section 402(k) of the National Housing Act and any other matter which the Board may present for the Committee’s consideration. “(B) To confer with the Board on the reports, budgets, and other matters reviewed under subparagraph (A). “(C) To prepare written comments and recommendations for the Board and the Federal Savings and Loan Insurance Corporation with respect to the reports, budgets, and other matters reviewed under subparagraph (A) (which shall be submitted to the Board in a timely manner after each meeting). “(4) Annual report.— “(A) Required.— Not later than January 15 of each year, the Committee shall submit a report to the Committee on Banking, Finance and Urban Affairs of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate. “(B) Contents.— The report required under subparagraph (A) shall describe the activities of the Committee during the preceding year and the reports and recommendations made by the Committee to the Board and the Federal Savings and Loan Insurance Corporation during such year. “(5) Regulations.— The Board shall prescribe such regulations as the Board determines to be appropriate to avoid conflicts of interest with respect to the disclosure to and use by members of the Committee of information relating to the Board, the Federal Savings and Loan Insurance Corporation, the Federal Home Loan Banks, and the Federal Asset Disposition Association. “(6) Federal advisory committee act does not apply.— The Federal Advisory Committee Act shall not apply to the Committee. “(7) Termination.— The Committee shall terminate when the Financing Corporation terminates under subsection (j). 101 STAT. 597 “(j) Termination of the Financing Corporation.— “(1) In general.— The Financing Corporation shall be dissolved, as soon as practicable, after the earlier of— “(A) the date by which all stock purchased by the Financing Corporation in the Federal Savings and Loan Insurance Corporation has been retired; or “(B) December 31, 2026. “(2) Board authority to conclude the affairs of financing corporation.— Effective on the date of the dissolution of the Financing Corporation under paragraph (1), the Board may exercise, on behalf of the Financing Corporation, any power of the Financing Corporation which the Board determines to be necessary to settle and conclude the affairs of the Financing Corporation. “(k) Regulations.— The Board may prescribe such regulations as may be necessary to carry out the provisions of this section, including regulations defining terms used in this section. “(l) Definitions.— For purposes of this section— “(1) Insured institution.— The term ‘insured institution’ has the meaning given to such term by section 401(a) of the National Housing Act. “(2) Insured member.— The term ‘insured member’ has the meaning given to such term by section 401(b) of the National Housing Act. “(3) Directorate.— The term ‘Directorate’ means the directorate established in the manner provided in subsection (b)(1) to manage the Financing Corporation.”.