Rule2026-03314
General Provisions
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
February 19, 2026
Issuing agencies
Farm Credit Administration
Abstract
The Farm Credit Administration (FCA, we, us or our) is issuing a final rule amending FCA's business planning requirements to comply with Executive Order 14219.
Full Text
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<title>Federal Register, Volume 91 Issue 33 (Thursday, February 19, 2026)</title>
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[Federal Register Volume 91, Number 33 (Thursday, February 19, 2026)]
[Rules and Regulations]
[Pages 7817-7819]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-03314]
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FARM CREDIT ADMINISTRATION
12 CFR Part 618
RIN 3052-AD65
General Provisions
AGENCY: Farm Credit Administration.
ACTION: Final rule.
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SUMMARY: The Farm Credit Administration (FCA, we, us or our) is issuing
a final rule amending FCA's business planning requirements to comply
with Executive Order 14219.
DATES: The regulation will become effective 30 days after publication
in the Federal Register during which either or both houses of Congress
are in session. Pursuant to 12 U.S.C. 2252(c)(1), FCA will publish
notification of the effective date in the Federal Register.
FOR FURTHER INFORMATION CONTACT:
Technical information: Darius Hale, Senior Policy Analyst, Office
of Regulatory Policy, (703) 883-4165, TTY (703) 883-4056.
Legal information: Jennifer Cohn, Assistant General Counsel, Office
of General Counsel, (703) 883-4020, TTY (703) 883-4056.
SUPPLEMENTARY INFORMATION:
I. Background
On February 19, 2025, Executive Order (E.O.) 14219, ``Ensuring
Lawful Governance and Implementing the President's `Department of
Government Efficiency' Deregulatory Initiative,'' was signed by
President Trump. The E.O. directed agencies to review all regulations
for consistency with law and Administration policy. The E.O. specified
seven classes of regulations that agencies, in consultation with the
Office of Information and Regulatory Affairs (OIRA), were required to
rescind or modify.
FCA reviewed its regulations pursuant to E.O. 14219. Following the
conclusion of our review, FCA identified several provisions in one
regulation that meet one of the classes of regulations listed in E.O.
14219. The table below summarizes our review of our regulations:
[[Page 7818]]
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Classes of regulations Affected FCA regulations
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i. unconstitutional regulations and Not applicable.
regulations that raise serious
constitutional difficulties, such as
exceeding the scope of the power vested in
the Federal Government by the
Constitution;
ii. regulations that are based on unlawful Not applicable.
delegations of legislative power;.
iii. regulations that are based on anything Not applicable.
other than the best reading of the
underlying statutory authority or
prohibition;
iv. regulations that implicate matters of <bullet> Sec.
social, political, or economic 618.8440(b)(2)(ii).
significance that are not authorized by <bullet> Sec.
clear statutory authority; 618.8440(b)(7)(iii).
<bullet> Sec.
618.8440(b)(8)(ii).
<bullet> Sec.
618.8440(c).
v. regulations that impose significant Not applicable.
costs upon private parties that are not
outweighed by public benefits;.
vi. regulations that harm the national Not applicable.
interest by significantly and
unjustifiably impeding technological
innovation, infrastructure development,
disaster response, inflation reduction,
research and development, economic
development, energy production, land use,
and foreign policy objectives;
vii. regulations that impose undue burdens Not applicable.
on small business and impede private
enterprise and entrepreneurship.
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The identified regulatory provisions in Sec. 618.8440(b) meet
class iv of E.O. 14219 because they are inconsistent with E.O. 14151,
``Ending Radical and Wasteful Government DEI Programs and
Preferencing,'' signed on January 20, 2025, which required the
termination of all diversity, equity, and inclusion mandates throughout
the Federal government. These provisions require Farm Credit System
(System) institutions to take diversity and inclusion into account in
their business planning.
II. Regulation Changes
In accordance with E.O. 14219, FCA is removing or revising four
paragraphs in Sec. 618.8440 that impose diversity and inclusion
requirements on System institutions. Specifically, paragraph (b)(2)(ii)
will no longer require institution business plans to assess diversity
as a need of the board of directors. Additionally, paragraph
(b)(7)(iii) will no longer require institution human capital plans to
include strategies and actions to strive for diversity and inclusion
within their workforce and management. And paragraph (b)(8)(ii) will no
longer require institutions, in their marketing plans' strategies and
actions to market their products and services to all eligible and
creditworthy persons, to have specific outreach toward diversity and
inclusion. In addition, because of the deletion of paragraph
(b)(7)(iii), we are removing paragraph (c)(1), which requires an
institution to report annually to its board on its progress in
accomplishing the strategies and actions required by paragraph
(b)(7)(iii), as a conforming change. All other requirements in Sec.
618.8440 will remain in effect.
III. Regulatory Matters
A. Notice and Comment
Public notice and comment are not required for this rulemaking.
Section 553(b)(B) of the Administrative Procedure Act \1\ (APA)
provides that when an agency for good cause finds that public notice
and comment procedures are impracticable, unnecessary, or contrary to
the public interest, the agency may issue a rule without providing
notice and an opportunity for public comment. The President and the
Office of Management and Budget (OMB) directed agencies to repeal
regulations identified as inconsistent with E.O. 14219 without public
notice and comment when such action is consistent with the good cause
provision of the APA.\2\
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\1\ 5 U.S.C. 553(b)(B).
\2\ Presidential Memorandum, Directing the Repeal of Unlawful
Regulations, dated April 9, 2025; OMB Memorandum M-25-36,
Streamlining the Review of Deregulatory Actions, dated October 21,
2025.
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FCA determined that good cause exists to finalize these amendments
without public notice and comment because they implement the
requirements of E.O. 14219 by removing regulatory requirements that are
inconsistent with E.O. 14151. Following notice and comment procedures
would delay a repeal that is legally required and would necessitate
expenditure of resources in service of retaining a regulation that
cannot be lawfully enforced. Nothing that might emerge during the
comment period could cure the inconsistency of these requirements with
E.O. 14151 or overcome FCA's non-discretionary inability to retain or
enforce them, and therefore notice and comment are superfluous and
``unnecessary'' within the meaning of the APA.
B. Determinations Under Executive Order 12866 and Executive Order 14192
The Office of Management and Budget's Office of Information and
Regulatory Affairs has determined that this final rule is not a
``significant regulatory action'' as defined by Section 3(f) of
Executive Order 12866, made applicable to FCA by Executive Order 14215.
This action is an Executive Order 14192 deregulatory action.
C. Regulatory Flexibility Act
Pursuant to section 605(b) of the Regulatory Flexibility Act,\3\
the FCA hereby certifies this final rule will not have a significant
economic impact on a substantial number of small entities. Each of the
banks in the System, considered together with its affiliated
associations, has assets and annual income in excess of the amounts
that would qualify them as small entities. Therefore, System
institutions are not ``small entities'' as defined in the Regulatory
Flexibility Act.
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\3\ 5 U.S.C. 605(b).
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D. Congressional Review Act (CRA)
Under the provisions of the Congressional Review Act (5 U.S.C. 801
et seq.), the Office of Management and Budget's Office of Information
and Regulatory Affairs has determined that this final rule is not a
``major rule'' as the term is defined at 5 U.S.C. 804(2).
List of Subjects in 12 CFR Part 618
Agriculture, Archives and records, Banks, Banking, Insurance,
Reporting and recordkeeping requirements, Rural areas, Technical
assistance.
For the reasons stated in the preamble, the Farm Credit
Administration amends 12 CFR part 618 as follows:
[[Page 7819]]
PART 618--GENERAL PROVISIONS
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1. The authority citation for part 618 continues to read as follows:
Authority: Secs. 1.5, 1.11, 1.12, 2.2, 2.4, 2.5, 2.12, 3.1,
3.7, 4.12, 4.13A, 4.25, 4.29, 5.9, 5.10, 5.17 of the Farm Credit Act
(12 U.S.C. 2013, 2019, 2020, 2073, 2075, 2076, 2093, 2122, 2128,
2183, 2200, 2211, 2218, 2243, 2244, and 2252).
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2. Amend Sec. 618.8440 by:
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a. Revising paragraph (b)(2)(ii);
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b. In paragraph (b)(7)(i), adding ``and'' after the semi-colon;
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c. In paragraph (b)(7)(ii), removing the text ``; and'' and adding a
period in its place;
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d. Removing paragraph (b)(7)(iii); and
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e. Revising paragraphs (b)(8)(ii) and (c).
The revisions read as follows:
Sec. 618.8440 Planning.
* * * * *
(b) * * *
(2) * * *
(ii) Include an assessment of the needs of the board, including
skills, based on the annual self-evaluation of the board's performance;
and
* * * * *
(8) * * *
(ii) Strategies and actions to market the institution's products
and services to all eligible and creditworthy persons within each
market segment.
(c) Each institution subject to paragraph (b)(8) of this section
must report annually to its board of directors on the progress the
institution has made in accomplishing the strategies and actions
required by paragraph (b)(8)(ii) of this section.
Ashley Waldron,
Secretary to the Board, Farm Credit Administration.
[FR Doc. 2026-03314 Filed 2-18-26; 8:45 am]
BILLING CODE 6705-01-P
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