BONDS GUARANTEED BY FEDERAL HOME LOAN BANKS ELIGIBLE FOR TREATMENT AS TAX-EXEMPT BONDS.

SEC. 3023. BONDS GUARANTEED BY FEDERAL HOME LOAN BANKS ELIGIBLE FOR TREATMENT AS TAX-EXEMPT BONDS.(a) In General.—Subparagraph (A) of section 149(b)(3) (relating to exceptions for certain insurance programs) is amended by striking “or” at the end of clause (ii), by striking the period at the end of clause (iii) and inserting “, or” and by adding at the end the following new clause:“(iv) subject to subparagraph (E), any guarantee by a Federal home loan bank made in connection with the original issuance of a bond during the period beginning on the date of the enactment of this clause and ending on December 31, 2010 (or a renewal or extension of a guarantee so made).”.122 STAT. 2895(b) Safety and Soundness Requirements.—Paragraph (3) of section 149(b) is amended by adding at the end the following new subparagraph:“(E) Safety and soundness requirements for federal home loan banks.—Clause (iv) of subparagraph (A) shall not apply to any guarantee by a Federal home loan bank unless such bank meets safety and soundness collateral requirements for such guarantees which are at least as stringent as such requirements which apply under regulations applicable to such guarantees by Federal home loan banks as in effect on April 9, 2008.”.(c) Effective Date.—The amendments made by this section shall apply to guarantees made after the date of the enactment of this Act.