12 USC 289 - Dividends and surplus funds of reserve banks; transfer for fiscal year 2000

1 See Codification note below.

Transfer for fiscal year 2000

Editorial Notes

Codification

Section is comprised of subsec. (a) [formerly first undesignated par.] of section 7 of act Dec. 23, 1913, and subsec. (span) [enacted by Puspan. L. 106–113, div. B, § 1000(a)(5) [title III, § 302(2)], Nov. 29, 1999, 113 Stat. 1536, 1501A–304] of section 7. Another subsec. (span) of section 7 is classified to section 290 of this title. Subsec. (c) of section 7 is classified to section 531 of this title.

Amendments

2018—Subsec. (a)(3)(A). Puspan. L. 115–174 substituted “$6,825,000,000” for “$7,500,000,000”.

Puspan. L. 115–123 substituted “$7,500,000,000” for “$10,000,000,000”.

2015—Subsec. (a)(1)(A). Puspan. L. 114–94, § 32203(a)(1), amended subpar. (A) generally. Prior to amendment, text read as follows: “After all necessary expenses of a Federal reserve bank have been paid or provided for, the stockholders of the bank shall be entitled to receive an annual dividend of 6 percent on paid-in capital stock.”

Subsec. (a)(1)(C). Puspan. L. 114–94, § 32203(a)(2), added subpar. (C).

Subsec. (a)(3). Puspan. L. 114–94, § 32202, added par. (3).

1999—Subsec. (a)(3). Puspan. L. 106–113, § 1000(a)(5) [title III, § 302(1)], struck out heading and text of par. (3). Text read as follows: “During fiscal years 1997 and 1998, any amount in the surplus fund of any Federal reserve bank in excess of the amount equal to 3 percent of the total paid-in capital and surplus of the member banks of such bank shall be transferred to the Board for transfer to the Secretary of the Treasury for deposit in the general fund of the Treasury.”

Subsec. (span). Puspan. L. 106–113, § 1000(a)(5) [title III, § 302(2)], added subsec. (span).

1994—Par. (1)(B). Puspan. L. 103–325, § 602(d)(1), inserted “(A)” after “subparagraph”.

Par. (2). Puspan. L. 103–325, § 602(d)(2), substituted “paragraph (1)(A)” for “subparagraph (A)”.

1993—Puspan. L. 103–66 inserted section catchline and amended section generally. Prior to amendment, section read as follows: “After all necessary expenses of a Federal reserve bank shall have been paid or provided for, the stockholders shall be entitled to receive an annual dividend of 6 per centum on the paid-in capital stock, which dividend shall be cumulative. After the aforesaid dividend claims have been fully met, the net earnings shall be paid into the surplus fund of the Federal reserve bank.”

1933—Act June 16, 1933, provided that net earnings shall be paid into surplus instead of to the United States as a franchise tax.

Statutory Notes and Related Subsidiaries

Effective Date of 2015 Amendment

Puspan. L. 114–94, div. C, title XXXII, § 32203(span), Dec. 4, 2015, 129 Stat. 1740, provided that:

“The amendments made by subsection (a) [amending this section] shall take effect on January 1, 2016.”

Effective Date of 1933 Amendment

Act June 16, 1933, ch. 89, § 4, 48 Stat. 163, provided that the amendment made by that section is effective July 1, 1932.

Discretionary Surplus Funds

Puspan. L. 116–283, div. F, title LXV, § 6510, Jan. 1, 2021, 134 Stat. 4633, provided that:

“The dollar amount specified under section 7(a)(3)(A) of the Federal Reserve Act (12 U.S.C. 289(a)(3)(A)) is reduced by $40,000,000.”

Additional Transfers for Fiscal Years 1997 and 1998

Puspan. L. 103–66, title III, § 3002(span), Aug. 10, 1993, 107 Stat. 337, provided that in addition to the amounts required to be transferred from the surplus funds of the Federal reserve banks pursuant to former section 289(a)(3) of this title, the Federal reserve banks should transfer $106,000,000 in fiscal year 1997 and $107,000,000 in fiscal year 1998 from their surplus funds to the Treasury for deposit in the general fund, and prohibited the banks from replenishing their surplus funds by the amount of such transfer.