PRIA, Government Policy, Made Personal

Summary

An enterprise may ask the Director in writing at any time during the year to lower a goal or subgoal for that year. The Director can approve a cut only if market or economic conditions or the enterprise’s financial condition make it necessary, or if meeting the goal would cause liquidity problems, over-investment in some markets, or other results that go against the law’s purpose or section 1716(3) or section 301(b)(3) of the Federal Home Loan Mortgage Corporation Act (12 U.S.C. 1451 note). After getting a petition, the Director must ask for public comment for 30 days. The Director must decide within 30 days after that comment period ends. The Director may extend the decision time once for a single 15-day period only if more information is requested from the enterprise.

Title 12, §4564

Banks and Banking, Source: USLM XML via OLRC

(a)Authority

An enterprise may petition the Director in writing at any time during a year to reduce the level of any goal or subgoal for such year established pursuant to this subpart.

(b)Standard for reduction

The Director may reduce the level for a goal or subgoal pursuant to such a petition only if—

(1)market and economic conditions or the financial condition of the enterprise require such action; or

(2)efforts to meet the goal or subgoal would result in the constraint of liquidity, over-investment in certain market segments, or other consequences contrary to the intent of this subpart, or section 1716(3) of this title or section 301(b)(3) of the Federal Home Loan Mortgage Corporation Act (12 U.S.C. 1451 note), as applicable.

(c)Determination

The Director shall, promptly upon receipt of a petition regarding a reduction, seek public comment on the reduction for a period of 30 days. The Director shall make a determination regarding any proposed reduction within 30 days after the expiration of such public comment period. The Director may extend such determination period for a single additional 15-day period, but only if the Director requests additional information from the enterprise.

Notes & Related Subsidiaries

Editorial Notes

References in Text

section 301(b)(3) of the Federal Home Loan Mortgage Corporation Act, referred to in subsec. (b)(2), is section 301(b)(3) of Pub. L. 91–351, which is set out as a

Short Title

and Statement of Purpose note under section 1451 of this title.

Prior Provisions

A prior section 4564, Pub. L. 102–550, title XIII, § 1334, Oct. 28, 1992, 106 Stat. 3960, related to central cities, rural areas, and other underserved areas housing goal, prior to repeal by Pub. L. 110–289, div. A, title I, § 1128(a), July 30, 2008, 122 Stat. 2696.

§4564 Discretionary Adjustment of Housing Goals