WASHINGTON - A bill introduced by Rep. Richard Baker, R-La., to revamp the Federal Home Loan Bank System drew criticism from the Federal Home Loan Bank of New York last week.

In an April 24 letter to House Banking Committee members from New York and New Jersey, New York FHLB President Alfred A. DelliBovi said Rep. Baker's bill could force the system's contribution to the Affordable Housing Program below $100 million.

That minimum was mandated by the Financial Institutions Reform, Recovery, and Enforcement Act of 1989.

"We believe that the Home Loan Banks should not retreat from support of our members and the low-income families who directly benefit from AHP," Mr. DelliBovi wrote.

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