PRIA, Government Policy, Made Personal

Summary

The Secretary of the Treasury must approve how a federal agency borrows money or sells debt. This includes the way it will be financed, where the money comes from, when the borrowing happens compared to markets and other agencies, and the loan terms like interest rates and how long until it is paid back. Agencies do not need this approval for debt that a law says cannot be guaranteed by the United States or for debt from the Farmers Home Administration. Agencies must send financing plans to the Secretary when and how he requires. When an agency asks for approval, the Secretary must act quickly and either approve or explain why not. He cannot delay a decision longer than 60 days unless he gives Congress a detailed reason before that time. He cannot delay longer than 120 days in any case. Delays should not unfairly hurt any one program, and requests that involve unusual urgency should get faster handling.

Title 12, §2286

Banks and Banking, Source: USLM XML via OLRC

(a)Method, source, timing, terms, and conditions of sale of obligations issued or sold by Federal agencies

To insure the orderly and coordinated marketing of Treasury and Federal agency obligations and appropriate financing planning with respect thereto, and to facilitate the effective financing of programs authorized by law subject to the applicable provisions of such law, the prior approval of the Secretary of the Treasury shall be required with respect to—

(1)the method of financing,

(2)the source of financing,

(3)the timing of financing in relation to market conditions and financing by other Federal agencies, and

(4)the financing terms and conditions, including rates of interest and maturities,

of obligations issued or sold by any Federal agency; except that the approval of the Secretary of the Treasury shall not be required with respect to (A) obligations issued or sold pursuant to an Act of Congress which expressly prohibits any guarantee of such obligations by the United States, and (B) obligations issued or sold by the Farmers Home Administration.

(b)Grant or denial of approval by Secretary

Upon receipt of a request from a Federal agency for his approval under subsection (a) of this section, the Secretary of the Treasury shall act promptly either to grant his approval or to advise the agency of the reasons for withholding his approval. In no case shall the Secretary of the Treasury withhold such approval for a period longer than sixty days unless, prior to the end of such period, he submits to the Congress a detailed explanation of his reasons for so doing. In no case shall the Secretary withhold such approval for a period longer than one hundred and twenty days. To the maximum extent practicable, withholdings of approval shall be made in a manner which is not disproportionately detrimental to the functioning of any particular type of Federal program. Expedited treatment shall be accorded in any case in which the Federal agency advises the Secretary of the Treasury that unusual circumstances require such treatment.

(c)Time and form for submission of financing plans

Federal agencies subject to this section shall submit financing plans to the Secretary of the Treasury at such times and in such forms as he shall prescribe.

Statutory Notes and Related Subsidiaries

Effective Date

Section effective on expiration of 30 days after Dec. 29, 1973, see section 20 of Pub. L. 93–224, set out as a note under section 2281 of this title.

§2286 Approval of Financing Plans by Secretary of the Treasury

Summary

Title 12, §2286

Notes & Related Subsidiaries

Statutory Notes and Related Subsidiaries

Effective Date

Citations & Metadata