410 
SEC. 1073. FEDERAL HOUSING FINANCE AGENCY OVER-
SIGHT OF FEDERAL HOME LOAN BANKS. 
The Federal Home Loan Bank Act (12 U.S.C. 1421 
et seq.), other than in provisions of that Act added or 
amended otherwise by this title, is amended— 
(1) by striking sections 2A and 2B (12 U.S.C. 
1422a, 1422b); 
(2) in section 6 (12 U.S.C. 1426(b)(1))— 
(A) in subsection (b)(1), in the matter pre-
ceding subparagraph (A), by striking ‘‘Finance 
Board approval’’ and inserting ‘‘approval by the 
Director’’; and 
(B) in each of subsections (c)(4)(B) and 
(d)(2), by striking ‘‘Finance Board regulations’’ 
each place that term appears and inserting 
‘‘regulations of the Director’’; 
(3) in section 8 (12 U.S.C. 1428), in the sec-
tion heading, by striking ‘‘BY THE BOARD’’; 
(4) in section 10(b) (12 U.S.C. 1430(b)), by 
striking ‘‘by formal resolution’’; 
(5) in section 10 (12 U.S.C. 1430), by adding 
at the end the following new subsection: 
‘‘(k) MONITORING
AND ENFORCING COMPLIANCE 
WITH AFFORDABLE HOUSING AND COMMUNITY INVEST-
MENT
PROGRAM
REQUIREMENTS.—The requirements 
under subsection (i) and (j) that the Banks establish Com-
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00410
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
411 
munity Investment and Affordable Housing Programs, re-
spectively, and contribute to the Affordable Housing Pro-
gram, shall be enforceable by the Director with respect 
to the Banks in the same manner and to the same extent 
as the housing goals under subpart B of part 2 of subtitle 
A of title XIII of the Housing and Community Develop-
ment Act of 1992 (12 U.S.C. 4561 et seq.) are enforceable 
under section 1336 of such Act with respect to the Federal 
National Mortgage Association and the Federal Home 
Loan Mortgage Corporation.’’; 
(6) in section 11 (12 U.S.C. 1431)— 
(A) in subsection (b)— 
(i) in the first sentence— 
(I) by striking ‘‘The Board’’ and 
inserting ‘‘The Office of Finance, as 
agent for the Banks,’’; and 
(II) by striking ‘‘the Board’’ and 
inserting ‘‘such Office’’; and 
(ii) in the second and fourth sen-
tences, by striking ‘‘the Board’’ each place 
such term appears and inserting ‘‘the Of-
fice of Finance’’; 
(B) in subsection (c)— 
(i) by striking ‘‘the Board’’ the first 
place such term appears and inserting ‘‘the 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00411
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
412 
Office of Finance, as agent for the 
Banks,’’; and 
(ii) by striking ‘‘the Board’’ the sec-
ond place such term appears and inserting 
‘‘such Office’’; and 
(C) in subsection (f)— 
(i) by striking the two commas after 
‘‘permit’’ and inserting ‘‘or’’; and 
(ii) by striking the comma after ‘‘re-
quire’’; 
(7) in section 15 (12 U.S.C. 1435), by inserting 
‘‘or the Director’’ after ‘‘the Board’’; 
(8) in section 18 (12 U.S.C. 1438), by striking 
subsection (b); 
(9) in section 21 (12 U.S.C. 1441)— 
(A) in subsection (b)— 
(i) in paragraph (5), by striking 
‘‘Chairperson of the Federal Housing Fi-
nance Board’’ and inserting ‘‘Director’’; 
and 
(ii) in the heading for paragraph (8), 
by striking ‘‘FEDERAL HOUSING FINANCE 
BOARD’’ and inserting ‘‘DIRECTOR’’; and 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00412
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
413 
(B) in subsection (i), in the heading for 
paragraph (2), by striking ‘‘FEDERAL HOUSING 
FINANCE BOARD’’ and inserting ‘‘DIRECTOR’’; 
(10) in section 23 (12 U.S.C. 1443), by striking 
‘‘Board of Directors of the Federal Housing Finance 
Board’’ and inserting ‘‘Director’’; 
(11) by striking ‘‘the Board’’ each place such 
term appears in such Act (except in section 15 (12 
U.S.C. 
1435), 
section 
21(f)(2) 
(12 
U.S.C. 
1441(f)(2)), 
subsections 
(a), 
(k)(2)(B)(i), 
and 
(n)(6)(C)(ii) of section 21A (12 U.S.C. 1441a), sub-
sections (f)(2)(C), and (k)(7)(B)(ii) of section 21B 
(12 U.S.C. 1441b), and the first two places such 
term appears in section 22 (12 U.S.C. 1442)) and 
inserting ‘‘the Director’’; 
(12) by striking ‘‘The Board’’ each place such 
term appears in such Act (except in sections 7(e) 
(12 U.S.C. 1427(e)), and 11(b) (12 U.S.C. 
1431(b))) and inserting ‘‘The Director’’; 
(13) by striking ‘‘the Board’s’’ each place such 
term appears in such Act and inserting ‘‘the Direc-
tor’s’’; 
(14) by striking ‘‘The Board’s’’ each place such 
term appears in such Act and inserting ‘‘The Direc-
tor’s’’; 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00413
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
414 
(15) by striking ‘‘the Finance Board’’ each 
place such term appears in such Act and inserting 
‘‘the Director’’; 
(16) by striking ‘‘Federal Housing Finance 
Board’’ each place such term appears and inserting 
‘‘Director’’; 
(17) in section 11(i) (12 U.S.C. 1431(i), by 
striking ‘‘the Chairperson of’’; and 
(18) in section 21(e)(9) (12 U.S.C. 1441(e)(9)), 
by striking ‘‘Chairperson of the’’. 
SEC. 1074. JOINT ACTIVITIES OF BANKS. 
Section 11 of the Federal Home Loan Bank Act (12 
U.S.C. 1431) is amended by adding at the end the fol-
lowing new subsection: 
‘‘(l) JOINT ACTIVITIES.—Subject to the regulation of 
the Director, any two or more Federal Home Loan Banks 
may establish a joint office for the purpose of performing 
functions for, or providing services to, the Banks on a 
common or collective basis, or may require that the Office 
of Finance perform such functions or services, but only 
if the Banks are otherwise authorized to perform such 
functions or services individually.’’. 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00414
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
415 
SEC. 1075. SHARING OF INFORMATION BETWEEN FEDERAL 
HOME LOAN BANKS. 
(a) IN GENERAL.—The Federal Home Loan Bank 
Act is amended by inserting after section 20 (12 U.S.C. 
1440) the following new section: 
‘‘SEC. 20A. SHARING OF INFORMATION BETWEEN FEDERAL 
HOME LOAN BANKS. 
‘‘(a) REGULATORY AUTHORITY.—The Director shall 
prescribe such regulations as may be necessary to ensure 
that each Federal Home Loan Bank has access to infor-
mation that the Bank needs to determine the nature and 
extent of its joint and several liability. 
‘‘(b) NO WAIVER OF PRIVILEGE.—The Director shall 
not be deemed to have waived any privilege applicable to 
any information concerning a Federal Home Loan Bank 
by transferring, or permitting the transfer of, that infor-
mation to any other Federal Home Loan Bank for the 
purpose of enabling the recipient to evaluate the nature 
and extent of its joint and several liability.’’. 
(b) REGULATIONS.—The regulations required under 
the amendment made by subsection (a) shall be issued in 
final form not later than 6 months after the effective date 
under section 1081 of this title. 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00415
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
416 
SEC. 1076. REORGANIZATION OF BANKS AND VOLUNTARY 
MERGER. 
Section 26 of the Federal Home Loan Bank Act (12 
U.S.C. 1446) is amended— 
(1) by inserting ‘‘(a) REORGANIZATION.—’’ be-
fore ‘‘Whenever’’; and 
(2) by striking ‘‘liquidated or’’ each place such 
phrase appears; 
(3) by striking ‘‘liquidation or’’; and 
(4) by adding at the end the following new sub-
section: 
‘‘(b) VOLUNTARY MERGERS.—Any two or more 
Banks may, with the approval of the Director, and the 
approval of the boards of directors of the Banks involved, 
merge. The Director shall promulgate regulations estab-
lishing the conditions and procedures for the consideration 
and approval of any such voluntary merger, including the 
procedures for Bank member approval.’’. 
SEC. 1077. SECURITIES AND EXCHANGE COMMISSION DIS-
CLOSURE. 
(a) IN GENERAL.—The Federal Home Loan Banks 
shall be exempt from compliance with— 
(1) sections 13(e), 14(a), 14(c), and 17A of the 
Securities Exchange Act of 1934 and related Com-
mission regulations; and 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00416
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
417 
(2) section 15 of that Act and related Securities 
and Exchange Commission regulations with respect 
to transactions in capital stock of the Banks. 
(b) MEMBER EXEMPTION.—The members of the 
Federal Home Loan Banks shall be exempt from compli-
ance with sections 13(d), 13(f), 13(g), 14(d), and 16 of 
the Securities Exchange Act of 1934 and related Securi-
ties and Exchange Commission regulations with respect 
to their ownership of, or transactions in, capital stock of 
the Federal Home Loan Banks. 
(c) EXEMPTED AND GOVERNMENT SECURITIES.— 
(1) CAPITAL STOCK.—The capital stock issued 
by each of the Federal Home Loan Banks under 
section 6 of the Federal Home Loan Bank Act are— 
(A) exempted securities within the mean-
ing of section 3(a)(2) of the Securities Act of 
1933; and 
(B) ‘‘exempted securities’’ within the 
meaning of section 3(a)(12)(A) of the Securities 
Exchange Act of 1934. 
(2) OTHER
OBLIGATIONS.—The debentures, 
bonds, and other obligations issued under section 11 
of the Federal Home Loan Bank Act are— 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00417
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
418 
(A) exempted securities within the mean-
ing of section 3(a)(2) of the Securities Act of 
1933; 
(B) ‘‘government securities’’ within the 
meaning of section 3(a)(42) of the Securities 
Exchange Act of 1934; 
(C) excluded from the definition of ‘‘gov-
ernment securities broker’’ within section 
3(a)(43) of the Securities Exchange Act of 
1934; 
(D) excluded from the definition of ‘‘gov-
ernment 
securities 
dealer’’ 
within 
section 
3(a)(44) of the Securities Exchange Act of 
1934; and 
(E) ‘‘government securities’’ within the 
meaning of section 2(a)(16) of the Investment 
Company Act of 1940. 
(d) 
EXEMPTION
FROM
REPORTING
REQUIRE-
MENTS.—The Federal Home Loan Banks shall be exempt 
from periodic reporting requirements pertaining to— 
(1) the disclosure of related party transactions 
that occur in the ordinary course of business of the 
Banks with their members; and 
(2) the disclosure of unregistered sales of equity 
securities. 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00418
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
419 
(e) TENDER OFFERS.—The Securities and Exchange 
Commission’s rules relating to tender offers shall not 
apply in connection with transactions in capital stock of 
the Federal Home Loan Banks. 
(f) REGULATIONS.—In issuing any final regulations 
to implement provisions of this section, the Securities and 
Exchange Commission shall consider the distinctive char-
acteristics of the Federal Home Loan Banks when evalu-
ating the accounting treatment with respect to the pay-
ment to Resolution Funding Corporation, the role of the 
combined financial statements of the twelve Banks, the ac-
counting classification of redeemable capital stock, and the 
accounting treatment related to the joint and several na-
ture of the obligations of the Banks. 
SEC. 1078. COMMUNITY FINANCIAL INSTITUTION MEM-
BERS. 
(a) TOTAL ASSET REQUIREMENT.—Paragraph (10) 
of section 2 of the Federal Home Loan Bank Act (12 
U.S.C. 1422(10)), as so redesignated by section 1071(3) 
of this title, is amended by striking ‘‘$500,000,000’’ each 
place such term appears and inserting ‘‘$1,000,000,000’’. 
(b) USE OF ADVANCES FOR COMMUNITY DEVELOP-
MENT ACTIVITIES.—Section 10(a) of the Federal Home 
Loan Bank Act (12 U.S.C. 1430(a)) is amended— 
(1) in paragraph (2)(B)— 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00419
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
420 
(A) by striking ‘‘and’’; and 
(B) by inserting ‘‘, and community devel-
opment activities’’ before the period at the end; 
(2) in paragraph (3)(E), by inserting ‘‘or com-
munity development activities’’ after ‘‘agriculture,’’; 
and 
(3) in paragraph (6)— 
(A) by striking ‘‘and’’; and 
(B) by inserting ‘‘, and ‘community devel-
opment activities’ ’’ before ‘‘shall’’. 
SEC. 1079. TECHNICAL AND CONFORMING AMENDMENTS. 
(a) RIGHT TO FINANCIAL PRIVACY ACT OF 1978.— 
Section 1113(o) of the Right to Financial Privacy Act of 
1978 (12 U.S.C. 3413(o)) is amended— 
(1) by striking ‘‘Federal Housing Finance 
Board’’ and inserting ‘‘Federal Housing Finance 
Agency’’; and 
(2) by striking ‘‘Federal Housing Finance 
Board’s’’ and inserting ‘‘Federal Housing Finance 
Agency’s’’. 
(b) RIEGLE COMMUNITY DEVELOPMENT AND REGU-
LATORY IMPROVEMENT ACT OF 1994.—Section 117(e) of 
the Riegle Community Development and Regulatory Im-
provement Act of 1994 (12 U.S.C. 4716(e)) is amended 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00420
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
421 
by striking ‘‘Federal Housing Finance Board’’ and insert-
ing ‘‘Federal Housing Finance Agency’’. 
(c) TITLE 18, UNITED STATES CODE.—Title 18, 
United States Code, is amended by striking ‘‘Federal 
Housing Finance Board’’ each place such term appears 
in each of sections 212, 657, 1006, 1014, and inserting 
‘‘Federal Housing Finance Agency’’. 
(d) MARA ACT OF 1997.—Section 517(b)(4) of the 
Multifamily Assisted Housing Reform and Affordability 
Act of 1997 (42 U.S.C. 1437f note) is amended by strik-
ing ‘‘Federal Housing Finance Board’’ and inserting 
‘‘Federal Housing Finance Agency’’. 
(e) TITLE 44, UNITED STATES CODE.—Section 
3502(5) of title 44, United States Code, is amended by 
striking ‘‘Federal Housing Finance Board’’ and inserting 
‘‘Federal Housing Finance Agency’’. 
(f) ACCESS TO LOCAL TV ACT OF 2000.—Section 
1004(d)(2)(D)(iii) of the Launching Our Communities’ 
Access to Local Television Act of 2000 (47 U.S.C. 
1103(d)(2)(D)(iii)) is amended by striking ‘‘Office of Fed-
eral Housing Enterprise Oversight, the Federal Housing 
Finance Board’’ and inserting ‘‘Federal Housing Finance 
Agency’’. 
(g) SARBANES-OXLEY
ACT
OF
2002.—Section 
105(b)(5)(B)(ii)(II) of the Sarbanes-Oxley Act of 2002 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00421
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
422 
(15 U.S.C. 7215(B)(5)(b)(ii)(II)) is amended by inserting 
‘‘and the Director of the Federal Housing Finance Agen-
cy’’ after ‘‘Commission,’’. 
SEC. 1080. STUDY OF AFFORDABLE HOUSING PROGRAM 
USE FOR LONG-TERM CARE FACILITIES. 
The Comptroller General shall conduct a study of the 
use of affordable housing programs of the Federal home 
loan banks under section 10(j) of the Federal Home Loan 
Bank Act to determine how and the extent to which such 
programs are used to assist long-term care facilities for 
low- and moderate-income individuals, and the effective-
ness and adequacy of such assistance in meeting the needs 
of affected communities. he Comptroller General shall sub-
mit a report to the Director of the Federal Housing Fi-
nance Agency and the Congress regarding the results of 
the study not later than the expiration of the 1-year period 
beginning on the date of the enactment of this Act. This 
section shall take effect on the date of the enactment of 
this Act. 
SEC. 1081. EFFECTIVE DATE. 
Except as specifically provided otherwise in this sub-
title, this subtitle shall take effect on and the amendments 
made by this subtitle shall take effect on, and shall apply 
beginning on, the expiration of the 6-month period begin-
ning on the date of the enactment of this Act. 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00422
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
424 
benefits of any such employee which accrue before 
the effective date of the transfer of such employee 
pursuant to section 1087; and 
(2) may take any other action necessary for the 
purpose of winding up the affairs of the Office. 
(c) STATUS OF EMPLOYEES BEFORE TRANSFER.— 
The amendments made by title I and the abolishment of 
the Office of Federal Housing Enterprise Oversight under 
subsection (a) of this section may not be construed to af-
fect the status of any employee of such Office as employ-
ees of an agency of the United States for purposes of any 
other provision of law before the effective date of the 
transfer of any such employee pursuant to section 1087. 
(d) USE OF PROPERTY AND SERVICES.— 
(1) PROPERTY.—The Director of the Federal 
Housing Finance Agency may use the property of 
the Office of Federal Housing Enterprise Oversight 
to perform functions which have been transferred to 
the Director of the Federal Housing Finance Agency 
for such time as is reasonable to facilitate the or-
derly transfer of functions transferred pursuant to 
any other provision of this title or any amendment 
made by this title to any other provision of law. 
(2) AGENCY
SERVICES.—Any agency, depart-
ment, or other instrumentality of the United States, 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00424
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
425 
and any successor to any such agency, department, 
or instrumentality, which was providing supporting 
services to the Office of Federal Housing Enterprise 
Oversight before the expiration of the period under 
subsection (a) in connection with functions that are 
transferred to the Director of the Federal Housing 
Finance Agency shall— 
(A) continue to provide such services, on a 
reimbursable basis, until the transfer of such 
functions is complete; and 
(B) consult with any such agency to co-
ordinate and facilitate a prompt and reasonable 
transition. 
(e) SAVINGS PROVISIONS.— 
(1) EXISTING RIGHTS, DUTIES, AND OBLIGA-
TIONS NOT AFFECTED.—Subsection (a) shall not af-
fect the validity of any right, duty, or obligation of 
the United States, the Director of the Office of Fed-
eral Housing Enterprise Oversight, or any other per-
son, which— 
(A) arises under or pursuant to the title 
XIII of the Housing and Community Develop-
ment Act of 1992, the Federal National Mort-
gage Association Charter Act, the Federal 
Home Loan Mortgage Corporation Act, or any 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00425
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
426 
other provision of law applicable with respect to 
such Office; and 
(B) existed on the day before the abolish-
ment under subsection (a) of this section. 
(2) CONTINUATION
OF
SUITS.—No action or 
other proceeding commenced by or against the Di-
rector of the Office of Federal Housing Enterprise 
Oversight in connection with functions that are 
transferred to the Director of the Federal Housing 
Finance Agency shall abate by reason of the enact-
ment of this title, except that the Director of the 
Federal Housing Finance Agency shall be sub-
stituted for the Director of the Office of Federal 
Housing Enterprise Oversight as a party to any 
such action or proceeding. 
SEC. 1086. CONTINUATION AND COORDINATION OF CER-
TAIN REGULATIONS. 
All regulations, orders, determinations, and resolu-
tions that— 
(1) were issued, made, prescribed, or allowed to 
become effective by— 
(A) the Office of Federal Housing Enter-
prise Oversight; or 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00426
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
427 
(B) a court of competent jurisdiction and 
that relate to functions transferred by this sub-
title; and 
(2) are in effect on the date of the abolishment 
under section 1085(a) of this title, shall remain in 
effect according to the terms of such regulations, or-
ders, determinations, and resolutions, and shall be 
enforceable by or against the Director of the Federal 
Housing Finance Agency until modified, terminated, 
set aside, or superseded in accordance with applica-
ble law by such Director, as the case may be, any 
court of competent jurisdiction, or operation of law. 
SEC. 1087. TRANSFER AND RIGHTS OF EMPLOYEES OF 
OFHEO. 
(a) TRANSFER.—Each employee of the Office of Fed-
eral Housing Enterprise Oversight shall be transferred to 
the Federal Housing Finance Agency for employment no 
later than the date of the abolishment under section 
1085(a) of this title and such transfer shall be deemed 
a transfer of function for purposes of section 3503 of title 
5, United States Code. 
(b) GUARANTEED POSITIONS.—Each employee trans-
ferred under subsection (a) shall be guaranteed a position 
with the same status, tenure, grade, and pay as that held 
on the day immediately preceding the transfer. Each such 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00427
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
428 
employee holding a permanent position shall not be invol-
untarily separated or reduced in grade or compensation 
for 12 months after the date of transfer, except for cause 
or, if the employee is a temporary employee, separated in 
accordance with the terms of the appointment. 
(c) APPOINTMENT
AUTHORITY
FOR
EXCEPTED 
SERVICE EMPLOYEES.— 
(1) IN GENERAL.—In the case of employees oc-
cupying positions in the excepted service, any ap-
pointment authority established pursuant to law or 
regulations of the Office of Personnel Management 
for filling such positions shall be transferred, subject 
to paragraph (2). 
(2) DECLINE OF TRANSFER.—The Director of 
the Federal Housing Finance Agency may decline a 
transfer of authority under paragraph (1) (and the 
employees appointed pursuant thereto) to the extent 
that such authority relates to positions excepted 
from the competitive service because of their con-
fidential, policy-making, policy-determining, or pol-
icy-advocating character. 
(d) REORGANIZATION.—If the Director of the Fed-
eral Housing Finance Agency determines, after the end 
of the 1-year period beginning on the date of the abolish-
ment under section 1085(a), that a reorganization of the 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00428
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
429 
combined work force is required, that reorganization shall 
be deemed a major reorganization for purposes of afford-
ing 
affected 
employees 
retirement 
under 
section 
8336(d)(2) or 8414(b)(1)(B) of title 5, United States 
Code. 
(e) EMPLOYEE BENEFIT PROGRAMS.—Any employee 
of the Office of Federal Housing Enterprise Oversight ac-
cepting employment with the Director of the Federal 
Housing Finance Agency as a result of a transfer under 
subsection (a) may retain for 12 months after the date 
such transfer occurs membership in any employee benefit 
program of the Federal Housing Finance Agency or the 
Office of Federal Housing Enterprise Oversight, as appli-
cable, including insurance, to which such employee belongs 
on the date of the abolishment under section 1085(a) if— 
(1) the employee does not elect to give up the 
benefit or membership in the program; and 
(2) the benefit or program is continued by the 
Director of the Federal Housing Finance Agency, 
The difference in the costs between the benefits which 
would have been provided by such agency and those pro-
vided by this section shall be paid by the Director of the 
Federal Housing Finance Agency. If any employee elects 
to give up membership in a health insurance program or 
the health insurance program is not continued by such Di-
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00429
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
430 
rector, the employee shall be permitted to select an alter-
nate Federal health insurance program within 30 days of 
such election or notice, without regard to any other regu-
larly scheduled open season. 
SEC. 1088. TRANSFER OF PROPERTY AND FACILITIES. 
Upon the abolishment under section 1085(a), all 
property of the Office of Federal Housing Enterprise 
Oversight shall transfer to the Director of the Federal 
Housing Finance Agency. 
CHAPTER 2—FEDERAL HOUSING FINANCE 
BOARD 
SEC. 1091. ABOLISHMENT OF THE FEDERAL HOUSING FI-
NANCE BOARD. 
(a) IN GENERAL.—Effective at the end of the 6- 
month period beginning on the date of enactment of this 
Act, the Federal Housing Finance Board (in this subtitle 
referred to as the ‘‘Board’’) is abolished. 
(b) DISPOSITION OF AFFAIRS.—During the 6-month 
period beginning on the date of enactment of this Act, the 
Board, for the purpose of winding up the affairs of the 
Board and in addition to carrying out its other responsibil-
ities under law— 
(1) shall manage the employees of such Board 
and provide for the payment of the compensation 
and benefits of any such employee which accrue be-
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00430
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
431 
fore the effective date of the transfer of such em-
ployee under section 1093; and 
(2) may take any other action necessary for the 
purpose of winding up the affairs of the Board. 
(c) STATUS OF EMPLOYEES BEFORE TRANSFER.— 
The amendments made by titles I and II and the abolish-
ment of the Board under subsection (a) may not be con-
strued to affect the status of any employee of such Board 
as employees of an agency of the United States for pur-
poses of any other provision of law before the effective 
date of the transfer of any such employee under section 
1093. 
(d) USE OF PROPERTY AND SERVICES.— 
(1) PROPERTY.—The Director of the Federal 
Housing Finance Agency may use the property of 
the Board to perform functions which have been 
transferred to the Director of the Federal Housing 
Finance Agency for such time as is reasonable to fa-
cilitate the orderly transfer of functions transferred 
under any other provision of this title or any amend-
ment made by this title to any other provision of 
law. 
(2) AGENCY
SERVICES.—Any agency, depart-
ment, or other instrumentality of the United States, 
and any successor to any such agency, department, 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00431
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
432 
or instrumentality, which was providing supporting 
services to the Board before the expiration of the pe-
riod under subsection (a) in connection with func-
tions that are transferred to the Director of the 
Federal Housing Finance Agency shall— 
(A) continue to provide such services, on a 
reimbursable basis, until the transfer of such 
functions is complete; and 
(B) consult with any such agency to co-
ordinate and facilitate a prompt and reasonable 
transition. 
(e) SAVINGS PROVISIONS.— 
(1) EXISTING RIGHTS, DUTIES, AND OBLIGA-
TIONS NOT AFFECTED.—Subsection (a) shall not af-
fect the validity of any right, duty, or obligation of 
the United States, a member of the Board, or any 
other person, which— 
(A) arises under the Federal Home Loan 
Bank Act or any other provision of law applica-
ble with respect to such Board; and 
(B) existed on the day before the effective 
date of the abolishment under subsection (a). 
(2) CONTINUATION
OF
SUITS.—No action or 
other proceeding commenced by or against the 
Board in connection with functions that are trans-
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00432
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
433 
ferred to the Director of the Federal Housing Fi-
nance Agency shall abate by reason of the enactment 
of this title, except that the Director of the Federal 
Housing Finance Agency shall be substituted for the 
Board or any member thereof as a party to any such 
action or proceeding. 
SEC. 1092. CONTINUATION AND COORDINATION OF CER-
TAIN REGULATIONS. 
(a) IN GENERAL.—All regulations, orders, deter-
minations, and resolutions described under subsection (b) 
shall remain in effect according to the terms of such regu-
lations, orders, determinations, and resolutions, and shall 
be enforceable by or against the Director of the Federal 
Housing Finance Agency until modified, terminated, set 
aside, or superseded in accordance with applicable law by 
such Director, any court of competent jurisdiction, or op-
eration of law. 
(b) APPLICABILITY.—A regulation, order, determina-
tion, or resolution is described under this subsection if it— 
(1) was issued, made, prescribed, or allowed to 
become effective by— 
(A) the Board; or 
(B) a court of competent jurisdiction and 
relates to functions transferred by this subtitle; 
and 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00433
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
434 
(2) is in effect on the effective date of the abol-
ishment under section 1091(a). 
SEC. 1093. TRANSFER AND RIGHTS OF EMPLOYEES OF THE 
FEDERAL HOUSING FINANCE BOARD. 
(a) TRANSFER.—Each employee of the Board shall 
be transferred to the Federal Housing Finance Agency for 
employment not later than the effective date of the abol-
ishment under section 1091(a), and such transfer shall be 
deemed a transfer of function for purposes of section 3503 
of title 5, United States Code. 
(b) GUARANTEED POSITIONS.—Each employee trans-
ferred under subsection (a) shall be guaranteed a position 
with the same status, tenure, grade, and pay as that held 
on the day immediately preceding the transfer. Each such 
employee holding a permanent position shall not be invol-
untarily separated or reduced in grade or compensation 
for 12 months after the date of transfer, except for cause 
or, if the employee is a temporary employee, separated in 
accordance with the terms of the appointment. 
(c) APPOINTMENT AUTHORITY FOR EXCEPTED AND 
SENIOR EXECUTIVE SERVICE EMPLOYEES.— 
(1) IN GENERAL.—In the case of employees oc-
cupying positions in the excepted service or the Sen-
ior Executive Service, any appointment authority es-
tablished under law or by regulations of the Office 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00434
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
435 
of Personnel Management for filling such positions 
shall be transferred, subject to paragraph (2). 
(2) DECLINE OF TRANSFER.—The Director of 
the Federal Housing Finance Agency may decline a 
transfer of authority under paragraph (1) to the ex-
tent that such authority relates to positions excepted 
from the competitive service because of their con-
fidential, policymaking, policy-determining, or policy- 
advocating character, and noncareer positions in the 
Senior Executive Service (within the meaning of sec-
tion 3132(a)(7) of title 5, United States Code). 
(d) REORGANIZATION.—If the Director of the Fed-
eral Housing Finance Agency determines, after the end 
of the 1-year period beginning on the effective date of the 
abolishment under section 1091(a), that a reorganization 
of the combined workforce is required, that reorganization 
shall be deemed a major reorganization for purposes of 
affording affected employees retirement under section 
8336(d)(2) or 8414(b)(1)(B) of title 5, United States 
Code. 
(e) EMPLOYEE BENEFIT PROGRAMS.— 
(1) IN GENERAL.—Any employee of the Board 
accepting employment with the Federal Housing Fi-
nance Agency as a result of a transfer under sub-
section (a) may retain for 12 months after the date 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00435
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
436 
on which such transfer occurs membership in any 
employee benefit program of the Federal Housing 
Finance Agency or the Board, as applicable, includ-
ing insurance, to which such employee belongs on 
the effective date of the abolishment under section 
1091(a) if— 
(A) the employee does not elect to give up 
the benefit or membership in the program; and 
(B) the benefit or program is continued by 
the Director of the Federal Housing Finance 
Agency. 
(2) COST
DIFFERENTIAL.—The difference in 
the costs between the benefits which would have 
been provided by the Board and those provided by 
this section shall be paid by the Director of the Fed-
eral Housing Finance Agency. If any employee elects 
to give up membership in a health insurance pro-
gram or the health insurance program is not contin-
ued by such Director, the employee shall be per-
mitted to select an alternate Federal health insur-
ance program within 30 days after such election or 
notice, without regard to any other regularly sched-
uled open season. 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00436
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
437 
SEC. 1094. TRANSFER OF PROPERTY AND FACILITIES. 
Upon the effective date of the abolishment under sec-
tion 1091(a), all property of the Board shall transfer to 
the Director of the Federal Housing Finance Agency. 
CHAPTER 3—DEPARTMENT OF HOUSING 
AND URBAN DEVELOPMENT 
SEC. 1095. TERMINATION OF ENTERPRISE-RELATED FUNC-
TIONS. 
(a) TERMINATION DATE.—For purposes of this sub-
title, the term ‘‘termination date’’ means the date that oc-
curs 6 months after the date of the enactment of this Act. 
(b) DETERMINATION OF TRANSFERRED FUNCTIONS 
AND EMPLOYEES.— 
(1) IN GENERAL.—Not later than the expira-
tion of the 3-month period beginning on the date of 
the enactment of this Act, the Secretary, in con-
sultation with the Director of the Office of Federal 
Housing Enterprise Oversight, shall determine— 
(A) the functions, duties, and activities of 
the Secretary of Housing and Urban Develop-
ment regarding oversight or regulation of the 
enterprises under or pursuant to the author-
izing statutes, title XIII of the Housing and 
Community Development Act of 1992, and any 
other provisions of law, as in effect before the 
date of the enactment of this Act, but not in-
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00437
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
438 
cluding any such functions, duties, and activi-
ties of the Director of the Office of Federal 
Housing Enterprise Oversight of the Depart-
ment of Housing and Urban Development and 
such Office; and 
(B) the employees of the Department of 
Housing and Urban Development necessary to 
perform such functions, duties, and activities. 
(2) ENTERPRISE-RELATED
FUNCTIONS.—For 
purposes of this subtitle, the term ‘‘enterprise-re-
lated functions of the Department’’ means the func-
tions, duties, and activities of the Department of 
Housing and Urban Development determined under 
paragraph (1)(A). 
(3) ENTERPRISE-RELATED
EMPLOYEES.—For 
purposes of this subtitle, the term ‘‘enterprise-re-
lated employees of the Department’’ means the em-
ployees of the Department of Housing and Urban 
Development determined under paragraph (1)(B). 
(c) DISPOSITION OF AFFAIRS.—During the 6-month 
period beginning on the date of enactment of this Act, the 
Secretary of Housing and Urban Development (in this 
subtitle referred to as the ‘‘Secretary’’), for the purpose 
of winding up the affairs of the Secretary regarding the 
enterprise-related functions of the Department of Housing 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00438
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
439 
and Urban Development (in this subtitle referred to as 
the ‘‘Department’’) and in addition to carrying out the 
Secretary’s other responsibilities under law regarding such 
functions— 
(1) shall manage the enterprise-related employ-
ees of the Department and provide for the payment 
of the compensation and benefits of any such em-
ployee which accrue before the effective date of the 
transfer of any such employee under section 1097; 
and 
(2) may take any other action necessary for the 
purpose of winding up the enterprise-related func-
tions of the Department. 
(d) STATUS OF EMPLOYEES BEFORE TRANSFER.— 
The amendments made by titles I and II and the termi-
nation of the enterprise-related functions of the Depart-
ment under subsection (b) may not be construed to affect 
the status of any employee of the Department as employ-
ees of an agency of the United States for purposes of any 
other provision of law before the effective date of the 
transfer of any such employee under section 1097. 
(e) USE OF PROPERTY AND SERVICES.— 
(1) PROPERTY.—The Director of the Federal 
Housing Finance Agency may use the property of 
the Secretary to perform functions which have been 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00439
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
440 
transferred to the Director of the Federal Housing 
Finance Agency for such time as is reasonable to fa-
cilitate the orderly transfer of functions transferred 
under any other provision of this title or any amend-
ment made by this title to any other provision of 
law. 
(2) AGENCY
SERVICES.—Any agency, depart-
ment, or other instrumentality of the United States, 
and any successor to any such agency, department, 
or instrumentality, which was providing supporting 
services to the Secretary regarding enterprise-related 
functions of the Department before the termination 
date under subsection (a) in connection with such 
functions that are transferred to the Director of the 
Federal Housing Finance Agency shall— 
(A) continue to provide such services, on a 
reimbursable basis, until the transfer of such 
functions is complete; and 
(B) consult with any such agency to co-
ordinate and facilitate a prompt and reasonable 
transition. 
(f) SAVINGS PROVISIONS.— 
(1) EXISTING RIGHTS, DUTIES, AND OBLIGA-
TIONS NOT AFFECTED.—Subsection (a) shall not af-
fect the validity of any right, duty, or obligation of 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00440
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
441 
the United States, the Secretary, or any other per-
son, which— 
(A) arises under the authorizing statutes, 
title XIII of the Housing and Community De-
velopment Act of 1992, or any other provision 
of law applicable with respect to the Secretary, 
in connection with the enterprise-related func-
tions of the Department; and 
(B) existed on the day before the termi-
nation date under subsection (a). 
(2) CONTINUATION
OF
SUITS.—No action or 
other proceeding commenced by or against the Sec-
retary in connection with the enterprise-related func-
tions of the Department shall abate by reason of the 
enactment of this title, except that the Director of 
the Federal Housing Finance Agency shall be sub-
stituted for the Secretary or any member thereof as 
a party to any such action or proceeding. 
SEC. 1096. CONTINUATION AND COORDINATION OF CER-
TAIN REGULATIONS. 
(a) IN GENERAL.—All regulations, orders, and deter-
minations described in subsection (b) shall remain in ef-
fect according to the terms of such regulations, orders, 
determinations, and resolutions, and shall be enforceable 
by or against the Director of the Federal Housing Finance 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00441
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
442 
Agency until modified, terminated, set aside, or super-
seded in accordance with applicable law by such Director, 
any court of competent jurisdiction, or operation of law. 
(b) APPLICABILITY.—A regulation, order, or deter-
mination is described under this subsection if it— 
(1) was issued, made, prescribed, or allowed to 
become effective by— 
(A) the Secretary; or 
(B) a court of competent jurisdiction and 
that relate to the enterprise-related functions of 
the Department; and 
(2) is in effect on the termination date under 
section 1095(a). 
SEC. 1097. TRANSFER AND RIGHTS OF EMPLOYEES OF DE-
PARTMENT OF HOUSING AND URBAN DEVEL-
OPMENT. 
(a) TRANSFER.— 
(1) IN GENERAL.—Except as provided in para-
graph (2), each enterprise-related employee of the 
Department shall be transferred to the Federal 
Housing Finance Agency for employment not later 
than the termination date under section 1095(a) and 
such transfer shall be deemed a transfer of function 
for purposes of section 3503 of title 5, United States 
Code. 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00442
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
443 
(2) AUTHORITY TO DECLINE.—An enterprise- 
related employee of the Department may, in the dis-
cretion of the employee, decline transfer under para-
graph (1) to a position in the Federal Housing Fi-
nance Agency and shall be guaranteed a position in 
the Department with the same status, tenure, grade, 
and pay as that held on the day immediately pre-
ceding the date that such declination was made. 
Each such employee holding a permanent position 
shall not be involuntarily separated or reduced in 
grade or compensation for 12 months after the date 
that the transfer would otherwise have occurred, ex-
cept for cause or, if the employee is a temporary em-
ployee, separated in accordance with the terms of 
the appointment. 
(b) GUARANTEED POSITIONS.—Each enterprise-re-
lated employee of the Department transferred under sub-
section (a) shall be guaranteed a position with the same 
status, tenure, grade, and pay as that held on the day 
immediately preceding the transfer. Each such employee 
holding a permanent position shall not be involuntarily 
separated or reduced in grade or compensation for 12 
months after the date of transfer, except for cause or, if 
the employee is a temporary employee, separated in ac-
cordance with the terms of the appointment. 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00443
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
444 
(c) APPOINTMENT AUTHORITY FOR EXCEPTED AND 
SENIOR EXECUTIVE SERVICE EMPLOYEES.— 
(1) IN GENERAL.—In the case of employees oc-
cupying positions in the excepted service or the Sen-
ior Executive Service, any appointment authority es-
tablished under law or by regulations of the Office 
of Personnel Management for filling such positions 
shall be transferred, subject to paragraph (2). 
(2) DECLINE OF TRANSFER.—The Director of 
the Federal Housing Finance Agency may decline a 
transfer of authority under paragraph (1) (and the 
employees appointed pursuant thereto) to the extent 
that such authority relates to positions excepted 
from the competitive service because of their con-
fidential, policymaking, policy-determining, or policy- 
advocating character, and noncareer positions in the 
Senior Executive Service (within the meaning of sec-
tion 3132(a)(7) of title 5, United States Code). 
(d) REORGANIZATION.—If the Director of the Fed-
eral Housing Finance Agency determines, after the end 
of the 1-year period beginning on the termination date 
under section 1095(a), that a reorganization of the com-
bined workforce is required, that reorganization shall be 
deemed a major reorganization for purposes of affording 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00444
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
445 
affected employees retirement under section 8336(d)(2) or 
8414(b)(1)(B) of title 5, United States Code. 
(e) EMPLOYEE BENEFIT PROGRAMS.— 
(1) IN GENERAL.—Any enterprise-related em-
ployee of the Department accepting employment 
with the Federal Housing Finance Agency as a re-
sult of a transfer under subsection (a) may retain 
for 12 months after the date on which such transfer 
occurs membership in any employee benefit program 
of the Federal Housing Finance Agency or the De-
partment, as applicable, including insurance, to 
which such employee belongs on the termination 
date under section 1095(a) if— 
(A) the employee does not elect to give up 
the benefit or membership in the program; and 
(B) the benefit or program is continued by 
the Director of the Federal Housing Finance 
Agency. 
(2) COST
DIFFERENTIAL.—The difference in 
the costs between the benefits which would have 
been provided by the Department and those provided 
by this section shall be paid by the Director of the 
Federal Housing Finance Agency. If any employee 
elects to give up membership in a health insurance 
program or the health insurance program is not con-
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00445
Fmt 6652
Sfmt 6201
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS
446 
tinued by such Director, the employee shall be per-
mitted to select an alternate Federal health insur-
ance program within 30 days after such election or 
notice, without regard to any other regularly sched-
uled open season. 
SEC. 1098. TRANSFER OF APPROPRIATIONS, PROPERTY, 
AND FACILITIES. 
Upon the termination date under section 1095(a), all 
assets, liabilities, contracts, property, records, and unex-
pended balances of appropriations, authorizations, alloca-
tions, and other funds employed, held, used, arising from, 
available to, or to be made available to the Department 
in connection with enterprise-related functions of the De-
partment shall transfer to the Director of the Federal 
Housing Finance Agency. Unexpended funds transferred 
by this section shall be used only for the purposes for 
which the funds were originally authorized and appro-
priated. 
Æ 
VerDate Aug 31 2005 
02:06 Apr 24, 2008
Jkt 069200
PO 00000
Frm 00446
Fmt 6652
Sfmt 6301
E:\BILLS\H5857.IH
H5857
bajohnson on PROD1PC77 with BILLS