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12 CFR § 1261.2 - Definitions.

---
identifier: "/us/cfr/t12/s1261.2"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "12 CFR § 1261.2 - Definitions."
title_number: 12
title_name: "Banks and Banking"
section_number: "1261.2"
section_name: "Definitions."
chapter_name: "FEDERAL HOUSING FINANCE AGENCY"
subchapter_number: "D"
subchapter_name: "FEDERAL HOME LOAN BANKS"
part_number: "1261"
part_name: "FEDERAL HOME LOAN BANK DIRECTORS"
positive_law: false
currency: "2026-04-05"
last_updated: "2026-04-05"
format_version: "1.1.0"
generator: "[email protected]"
authority: "12 U.S.C. 1426, 1427, 1432, 4511 and 4526."
regulatory_source: "73 FR 55715, Sept. 26, 2008, unless otherwise noted."
cfr_part: "1261"
---

# 1261.2 Definitions.

As used in this Subpart B:

*Advisory Council* means the Advisory Council each Bank is required to establish pursuant to section 10(j)(11) of the Bank Act (12 U.S.C. 1430(j)(11)), and part 1291 of this chapter.

*Bona fide resident* of a Bank district means an individual who:

(1) Maintains a principal residence in the Bank district; or

(2) If serving as an independent director, owns or leases in his or her own name a residence in the Bank district and is employed in a voting state in the Bank district.

*FHFA ID number* means the number assigned to a member by FHFA and used by FHFA and the Banks to identify a particular member.

*Independent directorship* means a directorship, as defined by section 7(a)(4)(A) of the Bank Act, 12 U.S.C. 1427(a)(4)(A), that is filled by a plurality vote of the members at large by an individual having the qualifications specified by section 7(a)(3)(B)(i) or (ii), 12 U.S.C. 1427(a)(3)(B)(i) or (ii).

*Member directorship* means a directorship, as defined by section 7(a)(4)(A) of the Bank Act, 12 U.S.C. 1427(a)(4)(A), that is filled by a plurality vote of the members located in a particular State by an individual who is an officer or director of a member located in that State.

*Method of equal proportions* means the mathematical formula used by FHFA to allocate member directorships among the States in a Bank's district based on the relative amounts of Bank stock required to be held as of the record date by members located in each State.

*Public interest director* means an individual serving in a public interest directorship.

*Public interest directorship* means an independent directorship filled by an individual with more than four years of experience representing consumer or community interests in banking services, credit needs, housing or consumer financial protections.

*Record date* means December 31 of the calendar year immediately preceding the election year.

*Voting State* means the District of Columbia, Puerto Rico, or the State of the United States in which a member's principal place of business, as determined in accordance with 12 CFR part 1263, or any successor provision, is located as of the record date. The voting State of a member with a principal place of business located in the U.S. Virgin Islands as of the record date is Puerto Rico, and the voting State of a member with a principal place of business located in American Samoa, Guam, or the Commonwealth of the Northern Mariana Islands as of the record date is Hawaii.

[73 FR 55715, Sept. 26, 2008, as amended at 74 FR 51460, Oct. 7, 2009. Redesignated and amended at 75 FR 17039, 17040, Apr. 5, 2010; 81 FR 76296, Nov. 2, 2016]