‘‘(1) IN GENERAL.—The Stabilization Fund is 
authorized to borrow from the Secretary of the 
Treasury from time-to-time as deemed necessary by 
the Board. The maximum outstanding amount of all 
borrowings from the Treasury by the Stabilization 
Fund and the National Credit Union Share Insur-
ance Fund, combined, is limited to the amount pro-
vided for in section 203(d)(1), including any author-
ized increases in that amount. 
‘‘(2) REPAYMENT OF ADVANCES.— 
‘‘(A) IN
GENERAL.—The advances made 
under this section shall be repaid by the Sta-
bilization Fund, and interest on such advances 
shall be paid, to the General Fund of the 
Treasury. 
‘‘(B) VARIABLE RATE OF INTEREST.—The 
Secretary of the Treasury shall make the first 
rate determination at the time of the first ad-
vance under this section and shall reset the rate 
again for all advances on each anniversary of 
the first advance. The interest rate shall be 
equal to the average market yield on out-
standing marketable obligations of the United 
States with remaining periods to maturity equal 
to 12 months. 
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‘‘(3) REPAYMENT
SCHEDULE.—The Stabiliza-
tion Fund shall repay the advances on a first-in, 
first-out basis, with interest on the amount repaid, 
at times and dates determined by the Board at its 
discretion. All advances shall be repaid not later 
than the date of the seventh anniversary of the first 
advance to the Stabilization Fund, unless the Board 
extends this final repayment date. The Board shall 
obtain the concurrence of the Secretary of the 
Treasury on any proposed extension, including the 
terms and conditions of the extended repayment. 
‘‘(d) ASSESSMENT TO REPAY ADVANCES.—At least 
90 days prior to each repayment described in subsection 
(c)(3), the Board shall set the amount of the upcoming 
repayment and determine if the Stabilization Fund will 
have sufficient funds to make the repayment. If the Sta-
bilization Fund might not have sufficient funds to make 
the repayment, the Board shall assess each federally in-
sured credit union a special premium due and payable 
within 60 days in an aggregate amount calculated to en-
sure the Stabilization Fund is able to make the repay-
ment. The premium charge for each credit union shall be 
stated as a percentage of its insured shares as represented 
on the credit union’s previous call report. The percentage 
shall be identical for each credit union. Any credit union 
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that fails to make timely payment of the special premium 
is subject to the procedures and penalties described under 
subsections (d), (e), and (f) of section 202. 
‘‘(e) DISTRIBUTIONS FROM INSURANCE FUND.—At 
the end of any calendar year in which the Stabilization 
Fund has an outstanding advance from the Treasury, the 
Insurance Fund is prohibited from making the distribu-
tion to insured credit unions described in section 
202(c)(3). In lieu of the distribution described in that sec-
tion, the Insurance Fund shall make a distribution to the 
Stabilization Fund of the maximum amount possible that 
does not reduce the Insurance Fund’s equity ratio below 
the normal operating level and does not reduce the Insur-
ance Fund’s available assets ratio below 1.0 percent. 
‘‘(f) INVESTMENT
OF STABILIZATION FUND AS-
SETS.—The Board may request the Secretary of the 
Treasury to invest such portion of the Stabilization Fund 
as is not, in the Board’s judgment, required to meet the 
current needs of the Stabilization Fund. Such investments 
shall be made by the Secretary of the Treasury in public 
debt securities, with maturities suitable to the needs of 
the Stabilization Fund, as determined by the Board, and 
bearing interest at a rate determined by the Secretary of 
the Treasury, taking into consideration current market 
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yields on outstanding marketable obligations of the United 
States of comparable maturity. 
‘‘(g) REPORTS.—The Board shall submit an annual 
report to Congress on the financial condition and the re-
sults of the operation of the Stabilization Fund. The re-
port is due to Congress within 30 days after each anniver-
sary of the first advance made under subsection (c)(1). 
Because the Stabilization Fund will use advances from the 
Treasury to meet corporate stabilization costs with full re-
payment of borrowings to Treasury at the Board’s discre-
tion not due until 7 years from the initial advance, to the 
extent operating expenses of the Stabilization Fund exceed 
income, the financial condition of the Stabilization Fund 
may reflect a deficit. With planned and required future 
repayments, the Board shall resolve all deficits prior to 
termination of the Stabilization Fund. 
‘‘(h) CLOSING OF THE STABILIZATION FUND.—With-
in 90 days following the seventh anniversary of the initial 
Stabilization Fund advance, or earlier at the Board’s dis-
cretion, the Board shall distribute any funds, property, or 
other assets remaining in the Stabilization Fund to the 
Insurance Fund and shall close the Stabilization Fund. 
If the Board extends the final repayment date as per-
mitted under subsection (c)(3), the mandatory date for 
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closing the Stabilization Fund shall be extended by the 
same number of days.’’. 
(b) 
CONFORMING
AMENDMENT.—Section 
202(c)(3)(A) of the Federal Credit Union Act (12 U.S.C. 
1782(c)(3)(A)) is amended by inserting ‘‘, subject to the 
requirements of section 217(e),’’ after ‘‘The Board shall’’. 
Æ 
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