[Code of Federal Regulations]

[Title 12, Volume 6]

[Revised as of January 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 12CFR614.4100]



[Page 110]

 

                       TITLE 12--BANKS AND BANKING

 

                 CHAPTER VI--FARM CREDIT ADMINISTRATION

 

PART 614_LOAN POLICIES AND OPERATIONS--Table of Contents

 

             Subpart C_Bank/Association Lending Relationship

 

Sec. 614.4100  Policies governing lending through Federal land bank 

associations.





    (a) Farm Credit Banks and agricultural credit banks may delegate 

authority to make credit decisions to Federal land bank associations 

that demonstrate the ability to extend and administer credit soundly, 

provided the association develops, implements and maintains adequate 

credit administration guidelines, standards, and practices.

    (b) The board of directors of each Farm Credit Bank and each 

agricultural credit bank lending through Federal land bank associations 

shall adopt policies and procedures governing the exercise of statutory 

and delegated authorities by such associations. Policies governing the 

delegated authorities shall:

    (1) Define authorities to be delegated;

    (2) Require the documented evaluation of the capability and 

responsibility of individuals exercising delegated authorities;

    (3) Provide for reporting of actions taken under delegated authority 

to the delegating bank;

    (4) Provide procedures for periodic review and enforcement;

    (5) Provide for withdrawal of authority where appropriate; and

    (6) Where redelegation from the association's board to association 

employees is authorized, require similar control measures to be used.



[55 FR 24883, June 19, 1990]