This section of the FEDERAL REGISTER

contains regulatory documents having general

applicability and legal effect, most of which

are keyed to and codified in the Code of

Federal Regulations, which is published under

50 titles pursuant to 44 U.S.C. 1510.

The Code of Federal Regulations is sold by

the Superintendent of Documents. Prices of

new books are listed in the first FEDERAL

REGISTER issue of each week.

Rules and Regulations Federal Register

27401

Vol. 60, No. 100

Wednesday, May 24, 1995

DEPARTMENT OF THE TREASURY

Office of the Comptroller of the

Currency

12 CFR Part 35

[Docket No. 95–08]

RIN 1557–AB44

Agricultural Loan Loss Amortization

AGENCY: Office of the Comptroller of the

Currency, Treasury.

ACTION: Final rule.

SUMMARY: The Office of the Comptroller

of the Currency (OCC) is removing its

rule governing agricultural loan loss

amortization, effective January 1, 1999.

This action is another component of the

OCC’s Regulation Review Program,

which is intended to update and

streamline OCC regulations and to

reduce unnecessary regulatory costs and

other burdens. This action is needed to

eliminate the rule when it becomes

obsolete.

EFFECTIVE DATE: January 1, 1999.

FOR FURTHER INFORMATION CONTACT:

Andrew T. Gutierrez, Attorney,

Legislative and Regulatory Activities

Division, Office of the Comptroller of

the Currency, 250 E Street, SW.,

Washington, DC 20219, (202) 874–5090.

SUPPLEMENTARY INFORMATION:

Background

The OCC is removing 12 CFR part 35,

effective January 1, 1999, as a

component of its Regulation Review

Program. The goal of the Regulation

Review Program is to review all of the

OCC’s rules to revise, streamline, and

simplify them, and to eliminate

provisions that do not contribute

significantly to maintaining the safety

and soundness of national banks or to

accomplishing the OCC’s other statutory

responsibilities.

Title VIII of the Competitive Equality

Banking Act of 1987, Pub. L. 100–86,

101 Stat. 635 (1987), added 12 U.S.C.

1823(j) in an attempt to alleviate some

of the financial pressures then facing

agricultural banks. In particular, 12

U.S.C. 1823(j) permits an agricultural

bank to amortize over a period not to

exceed seven years: (1) any loss on a

qualified agricultural loan that the bank

would otherwise be required to show on

its annual financial statement for any

year between December 31, 1983, and

January 1, 1992; and (2) any loss

resulting from the reappraisal of

property that the bank owned or

acquired between January 1, 1983, and

January 1, 1992, in connection with a

qualified agricultural loan. The OCC

implemented this statutory provision by

promulgating 12 CFR part 35 with a

temporary rule published on November

2, 1987 (52 FR 41959), and a final rule

published on July 28, 1988 (53 FR

28373).

Because the statute requires that a loss

occur on or before December 31, 1991,

to qualify, and that the amortization

period may not exceed seven years, the

program becomes obsolete on January 1,

1999. Reflecting this fact, 12 CFR 35.3(b)

requires that loans under the program

must be fully amortized by December

31, 1998.

On February 8, 1995, the OCC

proposed to remove 12 CFR part 35,

effective January 1, 1999, in order to

obviate the need for regulatory action in

the future (60 FR 7467). The OCC

received two comment letters on the

proposed rule, both of which supported

the proposed action. Consequently, the

OCC is issuing this final rule to remove

12 CFR part 35, effective January 1,

1999. Prior to that date, an annotation

to 12 CFR part 35 will indicate the

effective date for removal of the part.

Regulatory Flexibility Act

It is hereby certified that this final

rule will not have a significant

economic impact on a substantial

number of small entities. Accordingly, a

regulatory flexibility analysis is not

required. This final rule has no material

impact on national banks, regardless of

size.

Executive Order 12866

The OCC has determined that this

final rule is not a significant regulatory

action under Executive Order 12866.

Paperwork Reduction Act

The collection of information

contained in 12 CFR 35.7 has been

approved by the Office of Management

and Budget (OMB) under OMB Control

Number 1557–0186. This final rule will

remove as unnecessary, for the reasons

set forth in the preamble, that collection

of information effective January 1, 1999.

Unfunded Mandates Act of 1995

The OCC has determined that this

final rule will not result in expenditures

by state, local, and tribal governments,

or by the private sector, of more than

$100 million in any one year.

Accordingly, a budgetary impact

statement is not required under section

202 of the Unfunded Mandates Act of

1995.

List of Subjects in 12 CFR Part 35

Accounting, Agriculture, National

banks, Reporting and recordkeeping

requirements.

Authority and Issuance

For the reasons set out in the

preamble, and under the authority of 12

U.S.C. 93a and 1823(j), chapter I of title

12 of the Code of Federal Regulations is

amended as follows:

PART 35—[REMOVED]

1. Part 35 is removed effective January

1, 1999.

Dated: May 18, 1995.

Eugene A. Ludwig,

Comptroller of the Currency.

[FR Doc. 95–12648 Filed 5–23–95; 8:45 am]

BILLING CODE 4810–33–P

FARM CREDIT ADMINISTRATION

12 CFR Parts 614, 615, and 618

RIN 3052–AB53

Loan Policies and Operations; Funding

and Fiscal Affairs, Loan Policies and

Operations, and Funding Operations;

General Provisions; Effective Date

AGENCY: Farm Credit Administration.

ACTION: Notice of effective date.

SUMMARY: The Farm Credit

Administration (FCA) published a final

regulation under parts 614, 615, 618 on

April 24, 1995 (60 FR 20008). The final

regulation repeals several regulations