622
PUBLIC LAW 92-181-DEC. 10, 1971
[85 STAT.
operating under the same title of this Act, merger of Federal land bank associations, merger of production credit associations and the consolidation or division of the territories which they serve; and approve consolidations of boards of directors or management agreements. Such mergers shall be encouraged where such action will improve service to borrowers and the financial stability, effect economies of operation, or permit desirable joint management, or consolidation of territories and office quarters, f^f'^'^ *° ^"" (^) Make annual reports directly to the Congress on the condition gre s s of the System and its institutions and on the manner and extent to which the purposes and objectives of this Act are being carried out and, from time to time, recommend directly legislative changes. (4) Except for associations, approve the salary scale for employees of the institutions of the System, and approve the compensation of the chief executive officer of such institutions. (5) Coordinate the activities of the banks in making studies of lending standards, including appraisal and credit standards; approve national and district standards, procedures, and appraisal forms; prescribe price and cost levels to be used in such standards, appraisals, and lending; supplement the work of the district under the foregoing where necessary to accomplish the purposes of this Act. (6) Prescribe loan security requirements and the types, classes, or number of loans which may be made only with prior approval. (7) Conduct loan and collateral security review. (8) Approve the issuance of obligations of the institutions of the System and execute on behalf of the banks consolidated and Systemwide obligations for the purpose of funding the authorized operations of the institutions of the System, and prescribe collateral therefor. (9) Approve interest rates paid by institutions of the System on their bonds, debentures, and similar obligations, the terms and conditions thereof, and interest or other charges made by such institutions to borrowers. (10) Make investments in stock of the institutions of the System as provided in section 4.0 out of the revolving fund, and require the retirement of such stock. (11) Regulate the borrowing, repayment, and transfer of funds and equities between institutions of the System. (12) Coordinate and assist in providing services necessary for the convenient, efficient, and effective management of the institutions of the System. (13) Undertake research into the rural credit needs of the country and ways and means of meeting them and of the funding of the operations of the System in relation to changing farming and economic conditions. Public informa^^^^ Prepare and disseminate information to the general public on tion. use, organization, and functions of the System and to investors on merits of its securities. (15) Require surety bonds or other provision for protection of the assets of the institutions of the System against losses occasioned by employees. ^"/aHon"'^ (16) Prescribe rules and regulations necessary or appropriate for regulations. carrying out the provisions of this Act. (17) Exercise such incidental powers as may be necessary or appropriate to fulfill its duties and carry out the purposes of this Act. SEC.
5.19. DELEGATION OF DUTIES AND POWERS TO INSTITUTIONS
OF THE SYSTEM.—The F a r m Credit Administration is authorized and directed, by order or rules and regulations, to delegate to a Federal land bank such of the duties, powers, and authority of the F a r m Credit
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