---
kind: "section"
citation: "12 U.S.C. § 2279aa–5"
title: "12"
title_heading: "Banks and Banking"
number: "2279aa–5"
heading: "Certification of agricultural mortgage marketing facilities"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/12/2279aa-5"
units:
  - "Chapter 23 — Farm Credit System"
  - "Subchapter VIII — Agricultural Mortgage Secondary Market"
  - "Part A — Establishment and Activities of Federal Agricultural Mortgage Corporation"
---

# §2279aa–5. Certification of agricultural mortgage marketing facilities

- (a) **Eligibility standards—**
  - (1) **Establishment required—** Within 120 days after the date on which the permanent [board](/usc/12/2279aa.md?p=2) first meets with a quorum present, the [Corporation](/usc/12/2279aa.md?p=4) shall issue standards for the certification of agricultural [mortgage](/usc/12/1707.md?p=a) marketing facilities (other than the [Corporation](/usc/12/2279aa.md?p=4)), including eligibility standards in accordance with [paragraph (2)](#a-2).
  - (2) **Minimum requirements—** To be eligible to be certified under the standards referred to in [paragraph (1)](#a-1), an agricultural [mortgage](/usc/12/1707.md?p=a) marketing facility (other than the [Corporation](/usc/12/2279aa.md?p=4)) shall—
    - (A) be an [institution](/usc/12/2271.md?p=3) of the Farm [Credit](/usc/12/5481.md?p=7) System or a [corporation](/usc/12/2279aa.md?p=4), association, or trust organized under the laws of the United States or of any [State](/usc/12/2279aa.md?p=8);
    - (B) meet or exceed capital standards established by the [Board](/usc/12/2279aa.md?p=2);
    - (C) have as one of the purposes of the facility, the sale or resale of securities representing interests in, or obligations backed by, pools of [qualified loans](/usc/12/2279aa.md?p=7) that have been provided [guarantees](/usc/12/2279aa.md?p=5) by the [Corporation](/usc/12/2279aa.md?p=4);
    - (D) demonstrate managerial ability with respect to agricultural [mortgage](/usc/12/1707.md?p=a) loan underwriting, servicing, and marketing that is acceptable to the [Corporation](/usc/12/2279aa.md?p=4);
    - (E) adopt appropriate agricultural [mortgage](/usc/12/1707.md?p=a) loan underwriting, appraisal, and servicing standards and procedures that meet or exceed the standards established by the [Board](/usc/12/2279aa.md?p=2);
    - (F) for purposes of enabling the [Corporation](/usc/12/2279aa.md?p=4) to examine the facility, agree to allow officers or employees of the [Corporation](/usc/12/2279aa.md?p=4) to have access to all books, accounts, financial records, reports, files, and all other papers, things, or property, of any type whatsoever, belonging to or used by the [Corporation](/usc/12/2279aa.md?p=4) that are necessary to facilitate an examination of the operations of the facility in connection with securities, and the pools of [qualified loans](/usc/12/2279aa.md?p=7) that back securities, for which the [Corporation](/usc/12/2279aa.md?p=4) has provided [guarantees](/usc/12/2279aa.md?p=5); and
    - (G) adopt appropriate minimum standards and procedures relating to loan administration and disclosure to borrowers concerning the terms and rights applicable to loans for which [guarantee](/usc/12/2279aa.md?p=5) is provided, in conformity with uniform standards established by the [Corporation](/usc/12/2279aa.md?p=4).
  - (3) **Nondiscrimination requirement—** The standards established under this subsection shall not discriminate between or against Farm [Credit](/usc/12/5481.md?p=7) System and non-Farm [Credit](/usc/12/5481.md?p=7) System applicants.
- (b) **Certification by Corporation—** Within 60 days after receiving an application for certification under this section, the [Corporation](/usc/12/2279aa.md?p=4) shall certify the facility if the facility meets the standards established by the [Corporation](/usc/12/2279aa.md?p=4) under [subsection (a)(1)](#a-1).
- (c) **Maximum time period for certification—** Any certification by the [Corporation](/usc/12/2279aa.md?p=4) of an agricultural [mortgage](/usc/12/1707.md?p=a) marketing facility shall be effective for a period determined by the [Corporation](/usc/12/2279aa.md?p=4) of not to exceed 5 years.
- (d) **Revocation—**
  - (1) **In general—** After notice and an opportunity for a hearing, the [Corporation](/usc/12/2279aa.md?p=4) may revoke the certification of an agricultural [mortgage](/usc/12/1707.md?p=a) marketing facility if the [Corporation](/usc/12/2279aa.md?p=4) determines that the facility no longer meets the standards referred to in [subsection (a)](#a).
  - (2) **Effect of revocation—** Revocation of a certification shall not affect any pool [guarantee](/usc/12/2279aa.md?p=5) that has been issued by the [Corporation](/usc/12/2279aa.md?p=4).
- (e) **Affiliation of FCS institutions with facility—**
  - (1) **Establishment of affiliate authorized—** Notwithstanding any other provision of this chapter, any Farm [Credit](/usc/12/5481.md?p=7) [System institution](/usc/12/2271.md?p=3), acting for such [institution](/usc/12/2271.md?p=3) alone or in conjunction with one or more other such [institutions](/usc/12/2271.md?p=3), may establish and operate, as an [affiliate](/usc/12/5481.md?p=1), an agricultural [mortgage](/usc/12/1707.md?p=a) marketing facility if, within a reasonable time after such establishment, such facility obtains and thereafter retains certification under [subsection (b)](#b) as a [certified facility](/usc/12/2279aa.md?p=3).
  - (2) **Exclusive agency agreement authorized—** Any number of Farm [Credit](/usc/12/5481.md?p=7) [System institutions](/usc/12/2271.md?p=3) (other than the [Corporation](/usc/12/2279aa.md?p=4)) may enter into an agreement with any [certified facility](/usc/12/2279aa.md?p=3) (including an [affiliate](/usc/12/5481.md?p=1) established under [paragraph (1)](#e-1)) to sell the [qualified loans](/usc/12/2279aa.md?p=7) of such [institutions](/usc/12/2271.md?p=3) exclusively to or through the facility.

## Source credit

(Pub. L. 92–181, title VIII, § 8.5, as added Pub. L. 100–233, title VII, § 702, Jan. 6, 1988, 101 Stat. 1694; amended Pub. L. 104–105, title I, § 106, Feb. 10, 1996, 110 Stat. 164.)

## Notes

### Editorial Notes

### Amendments

1996—Subsec. (a)(1). Pub. L. 104–105, § 106(1)(A), inserted “(other than the Corporation)” after “facilities”.

Subsec. (a)(2). Pub. L. 104–105, § 106(1)(B), inserted “(other than the Corporation)” after “facility” in introductory provisions.

Subsec. (e)(1). Pub. L. 104–105, § 106(2), struck out “(other than the Corporation)” after “System institution”.