12 U.S.C. § 2279aa–3 — Powers and duties of Corporation and Board

(a) Guarantees. After the Board has been properly constituted, and subject to this subchapter and other commitments and requirements established by law, the Corporation may provide guarantees, on terms and conditions it determines, for securities issued on the security of, or representing interests in, pooled interests in qualified loans. This section does not define the term “qualified loans.” (b) Duties of Board. (1) In general. The Board must (A) determine the general policies governing the Corporation’s operations; (B) select and appoint qualified people to fill offices provided for in the Corporation’s bylaws and determine their compensation; and (C) assign those people the executive functions, powers, and duties prescribed by the bylaws or by the Board. (2) Executive officers and functions. People elected or appointed under paragraph (1)(B) are the Corporation’s executive officers. They must carry out the Corporation’s executive functions, powers, and duties. (c) Powers of Corporation. The Corporation must be a body corporate and must have the following powers: (1) operate under the direction of its Board; (2) issue stock as provided in section 2279aa–4; (3) adopt, change, and use a corporate seal, which courts must recognize; (4) provide for a president, one or more vice presidents, a secretary, a treasurer, and other officers, employees, and agents that may be necessary; define their duties and compensation levels without regard to title 5; and require surety bonds or make other arrangements to protect against losses caused by their acts; (5) provide guarantees as provided under section 2279aa–6; (6) continue until dissolved by a law enacted by Congress; (7) prescribe, through the Board, bylaws consistent with law that provide for (A) the classes of the Corporation’s stock; and (B) how (i) stock is issued, transferred, and retired; (ii) the Corporation’s officers, employees, and agents are selected; (iii) the Corporation’s property is acquired, held, and transferred; (iv) the Corporation makes commitments and other financial assistance; (v) the Corporation conducts its general business; and (vi) the Corporation exercises and enjoys the privileges granted to it by law; (8) prescribe standards needed to carry out this subchapter; (9) enter into contracts and make payments under those contracts; (10) sue and be sued in its corporate capacity and complain and defend in any action brought by or against it in any State or Federal court with proper jurisdiction; (11) make and perform contracts, agreements, and commitments with people and entities inside and outside the Farm Credit System; (12) acquire, hold, lease, mortgage, or dispose of real and personal property at public or private sale; purchase or sell securities or obligations; and otherwise exercise the usual rights of an owner of property that are necessary or convenient for the Corporation’s business; (13) purchase, hold, sell, or assign a qualified loan; issue a guaranteed security representing an interest in, or an obligation backed by, the qualified loan; and perform all functions and responsibilities of an agricultural mortgage marketing facility operating as a certified facility under this subchapter; (14) establish, acquire, and maintain affiliates under applicable State law to carry out activities that otherwise would be performed directly by the Corporation under this subchapter. “Affiliate” is defined in section 2279aa–11(e); this section does not define it; and (15) exercise other incidental powers necessary to carry out the Corporation’s powers, duties, and functions under this subchapter. (d) Federal Reserve banks as depositaries and fiscal agents. Federal Reserve banks must act as depositories for, and fiscal agents or custodians of, the Corporation. (e) Access to book-entry system. The Corporation must have access to the “book-entry system” of the Federal Reserve System. This section does not define that term.