28

1 (2) The Community Development Fund shall be

2 credited with

13

14

15

16

17

18

19

20

(A) the proceeds from the sale of obligations under subsection (b) of this section,

(B) the proceeds from repayments of loans pro

vided under part A, and

(C) any other receipts from operations under this title, including annual payments made pursuant to subsection (c) (1) of this section.

(3) No part of the amounts in the Community Development Fund shall be used for the payment of any admin

istrative expenses.

(4) Notwithstanding the preceding provisions of this subsection, the payment of liabilities incurred by the Corporation as a result of guarantees made under title IV of

the Housing and Urban Development Act of 1968 shall be made only from the guarantee fund established pursuant to section 407 of such Act and in accordance with the terms

of such title; and the Community Development Fund established pursuant to this subsection shall not be available for 21 the provision of assistance in the form of guarantees under

22

228

225

23

24

such title or credited with any receipts from operations under

such title.

(5) An annual business-type budget for the Community

Development Fund shall be prepared, transmitted to the

29

1 Congress, considered, and enacted in the manner prescribed 2 by law (sections 102, 103, and 104 of the Government Cor3 poration Control Act (31 U.S.C. 847-849)) for wholly 4 owned Government corporations.

7

8

5 (b) In order to obtain funds for its activities under part 6 A (except grants under section 204 (d)), the Corporation— (1) is authorized, with the approval of the Secretary of the Treasury, to issue and have outstanding obligations having such maturities and bearing such rate or rates of interest as may be determined by the Corporation. Such obligations may be redeemable at the op

9

10

11

12

13

tion of the Corporation before maturity in such manner

as may be stipulated therein. The aggregate amount of

obligations of the Corporation outstanding at any one

14

15

time shall not exceed $

on July 1 of each of the three

succeeding years. The Corporation is authorized to pur

chase in the open market any of its outstanding obligations issued under this paragraph; and

(2) is authorized to issue to the Secretary of the Treasury such obligations, having such maturities and

(subject to the succeeding provisions of this subsection)

bearing such rate or rates of interest, as the Corporation

may determine to be necessary. The Secretary of the

48-279 0-70 - pt. 2 - 44

30

223

Treasury is authorized to purchase any obligations issued under the preceding sentence, and for such purpose the Secretary of the Treasury is authorized to use as a public debt transaction the proceeds of the sale of any securities hereafter issued under the Second Liberty Bond Act, as now or hereafter in force; and the purposes for which securities may be issued under the Second Liberty Bond

Act as now or hereafter in force are extended to include such purchases. Each purchase of obligations by the Secretary of the Treasury under this subsection shall be

upon such terms and conditions as to yield a return at a rate not less than a rate determined by the Secretary

of the Treasury, taking into consideration the current average yield on outstanding marketable obligations of the United States of comparable maturities. The Secretary of the Treasury may sell, upon such terms and conditions and at such price or prices as he shall determine, any of the obligations acquired by him under this paragraph. All redemptions, purchases, and sales by the Secretary of the Treasury of such obligations under this paragraph shall be treated as public debt transactions of

the United States.

23 The full faith and credit of the United States is pledged to 24 the payment of both the principal and interest of all obliga25 tions issued by the Corporation under paragraph (1) or 26 (2) of this subsection.

31

1 (c) (1) With respect to such amounts of loans made by 2 the Corporation under section 204 as may be specified in 3 appropriation Acts, the Secretary of Housing and Urban De4 velopment is authorized to make, and to contract to make, 5 annual payments to the Corporation in such amounts as are 6 necessary to equal the amount by which the dollar amount 7 of interest paid by the Corporation on account of its obliga8 tions issued under subsection (b) exceeds the dollar amount 9 of interest received by the Corporation on account of loans 10 made by it pursuant to such section 204.

11

(2) There are hereby authorized to be appropriated to 12 the Secretary of Housing and Urban Development such sums as may be necessary to make the annual payments re14 quired by contracts entered into by him pursuant to para15 graph (1).

13

16

17

(d) There are authorized to be appropriated such sums

as may be necessary to pay the administrative expenses in18 curred in carrying out the purpose set forth in section 200.

19

20

GENERAL POWERS OF THE CORPORATION

SEC. 226. (a) The Corporation (subject to its bylaws)

21 shall have power

(1) to adopt, alter, and use a corporate seal, which

shall be judicially noted;

(2) to enter into and perform contracts, leases, co

operative agreements, or other transactions, on such

32

terms as it may deem appropriate, with any agency or instrumentality of the United States, or with any State, territory, or possession, or the Commonwealth of Puerto Rico, or with any political subdivision thereof, or with any person, firm, association, or corporation;

(3) to execute all instruments necessary or appropriate in the exercise of any of its powers;

(4) in its corporate name, to sue and to be sued, and to complain and to defend, in any court of competent jurisdiction, State or Federal, but no attachment, injunc

tion, or other similar process, mesne or final, shall be issued against the property of the Corporation or against

the Corporation with respect to its property;

(5) to conduct its business without regard to any qualification or similar statute in any State of the United States, including the District of Columbia, the Common

wealth of Puerto Rico, and the territories and possessions of the United States;

(6) to lease, purchase, or acquire any property, real, personal, or mixed, or any interest therein, to hold, rent, maintain, modernize, renovate, improve, use, and operate such property, and to sell, for cash or credit,

lease, or otherwise dispose of the same, at such time,

in such manner, and to such extent as the Corporation

may deem necessary or appropriate;