Laws: Cases and Codes : U.S. Code : Title 12 : Section 3305


   
U.S. Code as of: 01/19/04
Section 3305. Functions of Council

    (a) Establishment of principles and standards
      The Council shall establish uniform principles and standards and
    report forms for the examination of financial institutions which
    shall be applied by the Federal financial institutions regulatory
    agencies.
    (b) Making recommendations regarding supervisory matters and
      adequacy of supervisory tools
      (1) The Council shall make recommendations for uniformity in
    other supervisory matters, such as, but not limited to, classifying
    loans subject to country risk, identifying financial institutions
    in need of special supervisory attention, and evaluating the
    soundness of large loans that are shared by two or more financial
    institutions. In addition, the Council shall make recommendations
    regarding the adequacy of supervisory tools for determining the
    impact of holding company operations on the financial institutions
    within the holding company and shall consider the ability of
    supervisory agencies to discover possible fraud or questionable and
    illegal payments and practices which might occur in the operation
    of financial institutions or their holding companies.
      (2) When a recommendation of the Council is found unacceptable by
    one or more of the applicable Federal financial institutions
    regulatory agencies, the agency or agencies shall submit to the
    Council, within a time period specified by the Council, a written
    statement of the reasons the recommendation is unacceptable.
    (c) Development of uniform reporting system
      The Council shall develop uniform reporting systems for federally
    supervised financial institutions, their holding companies, and
    nonfinancial institution subsidiaries of such institutions or
    holding companies. The authority to develop uniform reporting
    systems shall not restrict or amend the requirements of section
    78l(i) of title 15.
    (d) Conducting schools for examiners and assistant examiners
      The Council shall conduct schools for examiners and assistant
    examiners employed by the Federal financial institutions regulatory
    agencies. Such schools shall be open to enrollment by employees of
    State financial institutions supervisory agencies and employees of
    the Federal Housing Finance Board under conditions specified by the
    Council.
    (e) Affect on Federal regulatory agency research and development of
      new financial institutions supervisory agencies
      Nothing in this chapter shall be construed to limit or discourage
    Federal regulatory agency research and development of new financial
    institutions supervisory methods and tools, nor to preclude the
    field testing of any innovation devised by any Federal regulatory
    agency.
    (f) Annual report
      Not later than April 1 of each year, the Council shall prepare an
    annual report covering its activities during the preceding year.
    (g) Flood insurance
      The Council shall consult with and assist the Federal entities
    for lending regulation, as such term is defined in section 4121(a)
    of title 42, in developing and coordinating uniform standards and
    requirements for use by regulated lending institutions under the
    national flood insurance program.



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