Federal Register / Vol. 60, No. 26 / Wednesday, February 8, 1995 / Proposed Rules 7467

suspension, UDA projects that costly

and inefficient movements of milk

would have to be made to maintain pool

status of producers who have

historically supplied the market and to

prevent disorderly marketing in the

Central Arizona marketing area.

Accordingly, it may be appropriate to

suspend the aforesaid provisions

beginning March 1, 1995, for an

indefinite period.

List of Subjects in 7 CFR Part 1131

Milk marketing orders.

The authority citation for 7 CFR Part

1131 continues to read as follows:

Authority: Secs. 1–19, 48 Stat 31, as

amended; 7 U.S.C. 601–674.

Dated: February 2, 1995.

Lon Hatamiya,

Administrator.

[FR Doc. 95–3146 Filed 2–7–95; 8:45 am]

BILLING CODE 3410–02–M

NUCLEAR REGULATORY

COMMISSION

10 CFR Parts 50, 52 and 100

RIN 3150–AD93

Reactor Site Criteria Including Seismic

and Earthquake Engineering Criteria

for Nuclear Power Plants and

Proposed Denial of Petition From Free

Environment, Inc. et al.

AGENCY: Nuclear Regulatory

Commission.

ACTION: Proposed rule: Extension of

comment period.

SUMMARY: On October 17, 1994, the NRC

published (59 FR 52255) for public

comment a proposed revision of 10 CFR

Parts 50, 52, and 100 to update the

criteria used in decisions regarding

power reactor siting, including geologic,

seismic, and earthquake engineering

considerations for future nuclear power

plants. The comment period for this

proposed rule presently expires on

February 14, 1995.

The Commission has received

requests to extend the comment period

based on the fact that staff guidance

documents consisting of five draft

regulatory guides and three standard

review plan sections that were to

accompany the proposed rule were

delayed in issuance, and that

availability of these documents were

necessary to provide meaningful

comments.

The Commission agrees that

availability of the staff guidance

documents is necessary to provide

adequate comments. The staff guidance

documents are not yet available and

may not be available before the present

comment period expires.

The Commission therefore intends to

extend the comment period to allow a

75 day period after the staff guidance

documents become available to allow

interested persons adequate time to

comment on the staff guidance

documents as well as the proposed rule.

The comment period for this

proposed rule is being extended to

allow at least 75 days after the relevant

staff guidance documents become

available. At this time no firm

expiration date is available. When the

staff documents are available a notice

will be issued providing a firm

expiration date for comments.

ADDRESSES: Mail written comments to:

Secretary, U.S. Nuclear Regulatory

Commission, Washington, DC 20555,

Attention: Docketing and Service

Branch. Deliver comments to 11555

Rockville Pike, Rockville, Maryland,

between 7:45 am and 4:15 pm, Federal

workdays.

FOR FURTHER INFORMATION CONTACT: Dr.

Andrew J. Murphy, Office of Nuclear

Regulatory Research, U.S. Nuclear

Regulatory Commission, Washington,

DC 20555, telephone (301) 415–6010,

concerning the seismic and earthquake

engineering aspects and Mr. Leonard

Soffer, Office of Nuclear Regulatory

Research, U.S. Nuclear Regulatory

Commission, Washington, DC 20555,

telephone (301) 415–6574, concerning

other siting aspects.

Dated at Rockville, Maryland, this 3rd day

of February 1995.

For the Nuclear Regulatory Commission.

John C. Hoyle,

Acting Secretary of the Commission.

[FR Doc. 95–3153 Filed 2–7–95; 8:45 am]

BILLING CODE 7590–01–P

DEPARTMENT OF THE TREASURY

Office of the Comptroller of the

Currency

12 CFR Part 35

[Docket No. 95–01]

RIN 1557–AB44

Agricultural Loan Loss Amortization

AGENCY: Office of the Comptroller of the

Currency, Treasury.

ACTION: Notice of proposed rulemaking.

SUMMARY: The Office of the Comptroller

of the Currency (OCC) proposes to

remove its rule governing agricultural

loan loss amortization, effective January

1, 1999. This proposal 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.

DATES: Comments must be received by

April 10, 1995.

ADDRESSES: Comments should be

directed to: Communications Division,

Office of the Comptroller of the

Currency, 250 E Street, SW,

Washington, DC 20219, Attention:

Docket No. 95–01. Comments will be

available for public inspection and

photocopying at the same location.

FOR FURTHER INFORMATION CONTACT:

Andrew T. Gutierrez, Attorney,

Legislative and Regulatory Activities

Division, (202) 874–5090.

SUPPLEMENTARY INFORMATION:

Background

The OCC proposes to remove 12 CFR

part 35 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, the OCC’s rule

requires that loans under the program
7468 Federal Register / Vol. 60, No. 26 / Wednesday, February 8, 1995 / Proposed Rules

1See section 306(h)(2), Federal Home Loan

Mortgage Corporation Act (12 U.S.C. 1455(h)(2))

and section 304(b), Federal National Mortgage

Association Charter Act (12 U.S.C. 1719(b)).

must be fully amortized by December

31, 1998. 12 CFR 35.3(b).

The OCC proposes to remove 12 CFR

part 35, effective January 1, 1999,

obviating the need for regulatory action

in the future. Prior to that date, an

annotation to part 35 in title 12 of the

Code of Federal Regulations would

indicate the effective date for removal of

the part.

Regulatory Flexibility Act

It is hereby certified that this

regulation will not have a significant

economic impact on a substantial

number of small entities. Accordingly, a

regulatory flexibility analysis is not

required. This regulation has no

material impact on national banks,

regardless of size.

Executive Order 12866

The OCC has determined that this

proposal 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 proposal

would remove as unnecessary, for the

reasons set forth in the preamble, that

collection of information effective

January 1, 1999. Comments on the

OCC’s proposed elimination of this

collection of information should be sent

to the Office of Management and

Budget, Paperwork Reduction Project

(1557–0186), Washington, DC 20503,

with a copy to the OCC’s Legislative and

Regulatory Activities Division (Attn:

1557–0186) at the OCC address

previously specified.

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

proposed to be amended as follows:

PART 35—[REMOVED]

1. Part 35 is removed effective January

1, 1999.

Dated: February 3, 1995.

Eugene A. Ludwig,

Comptroller of the Currency.

[FR Doc. 95–3117 Filed 2–7–95; 8:45 am]

BILLING CODE 4810–33–P

DEPARTMENT OF HOUSING AND

URBAN DEVELOPMENT

Office of Federal Housing Enterprise

Oversight

12 CFR Chapter XVII

RIN 2550–AA02

Risk-Based Capital

AGENCY: Office of Federal Housing

Enterprise Oversight, HUD.

ACTION: Advance Notice of Proposed

Rulemaking.

SUMMARY: Title XIII of the Housing and

Community Development Act of 1992,

known as the Federal Housing

Enterprises Financial Safety and

Soundness Act of 1992, gives the Office

of Federal Housing Enterprise Oversight

(OFHEO) the responsibility for

developing a risk-based capital

regulation for the Federal National

Mortgage Association and the Federal

Home Loan Mortgage Corporation

(collectively, the Enterprises). To

discharge this responsibility, OFHEO

must develop and implement a riskbased capital ‘‘stress test’’ that, when

applied to the Enterprises, determines

the amount of capital that an Enterprise

must hold initially to maintain positive

capital throughout a ten-year period of

economic stress.

This Advance Notice of Proposed

Rulemaking (ANPR) announces

OFHEO’s intention to develop and

publish a risk-based capital regulation

and solicits public comment on a

variety of issues prior to the publication

of a proposed rule. OFHEO requests

comment from the public concerning

issues set forth in the ‘‘Solicitation of

Public Comment’’ subsection of the

SUPPLEMENTARY INFORMATION section

below.

DATES: Comments regarding the ANPR

must be received in writing on or before

May 9, 1995.

ADDRESSES: Send written comments to

Anne E. Dewey, General Counsel, Office

of General Counsel, Office of Federal

Housing Enterprise Oversight, 1700 G

Street, NW, Fourth Floor, Washington,

D.C. 20552.

FOR FURTHER INFORMATION CONTACT:

David J. Pearl, Director, Research,

Analysis and Capital Standards; or Gary

L. Norton, Deputy General Counsel,

Office of Federal Housing Enterprise

Oversight, 1700 G Street, NW, Fourth

Floor, Washington, D.C. 20552,

telephone (202) 414–3800 (not a toll-free

number).

SUPPLEMENTARY INFORMATION:

Background

Title XIII of the Housing and

Community Development Act of 1992,

Pub. L. No. 102–550, known as the

Federal Housing Enterprises Financial

Safety and Soundness Act of 1992, 12

U.S.C. 4501 et seq. (Act), established the

Office of Federal Housing Enterprise

Oversight (OFHEO) as an independent

office within the Department of Housing

and Urban Development. OFHEO’s

primary function is to ensure the

financial safety and soundness and the

capital adequacy of the nation’s two

largest housing finance institutions—the

Federal National Mortgage Association

(Fannie Mae) and the Federal Home

Loan Mortgage Corporation (Freddie

Mac) (collectively, the Enterprises).

Fannie Mae and Freddie Mac are

Government-sponsored enterprises that

serve important public purposes and

receive significant financial benefits,

including exemption from state and

local income taxes and special treatment

of their securities in a variety of

regulatory and transactional situations.

Although the securities that they issue

or guarantee are not backed by the full

faith and credit of the United States,1

their status as Government-sponsored

enterprises creates, in the view of

financial market participants, an

implicit Federal guarantee of those

securities. Furthermore, the failure of

either of the Enterprises would have

serious consequences for the

performance of the nation’s housing

markets, with a potentially

disproportionate effect on low- and

moderate-income families.

The Enterprises engage in two

principal businesses. First, they

maintain a portfolio of residential

mortgages and, second, they issue and

guarantee pools of residential

mortgages—in the form of mortgagebacked securities (MBS)—that are held

by investors. One of the Enterprises’

principal financial risks stems from

losses associated with defaults on

mortgages that they hold or guarantee.

The other financial risk stems from

losses associated with changes in

interest rates. Because the effective

maturities of the Enterprises’ assets and

liabilities are not the same, interest rate

changes could cause the margin

between the average yield on assets and

the average yield on liabilities to narrow

or even become negative.

The Enterprises’ capital serves as a

cushion to absorb financial losses for a