2014 US Code
Title 43 - Public Lands (Sections 1 - 2434)
Chapter 42 - Rural Water Supply (Sections 2401 - 2434)
Subchapter II - Twenty-First Century Water Works (Sections 2421 - 2434)
Sec. 2423 - Loan guarantees
| Publication Title | United States Code, 2012 Edition, Supplement 2, Title 43 - PUBLIC LANDS |
| Category | Bills and Statutes |
| Collection | United States Code |
| SuDoc Class Number | Y 1.2/5: |
| Contained Within | Title 43 - PUBLIC LANDS CHAPTER 42 - RURAL WATER SUPPLY SUBCHAPTER II - TWENTY-FIRST CENTURY WATER WORKS Sec. 2423 - Loan guarantees |
| Contains | section 2423 |
| Date | 2014 |
| Laws In Effect As Of Date | January 5, 2015 |
| Positive Law | No |
| Disposition | standard |
| Source Credit | Pub. L. 109-451, title II, §204, Dec. 22, 2006, 120 Stat. 3358. |
| Statutes at Large Reference | 120 Stat. 3358 |
| Public and Private Law | Public Law 109-451 |
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Subject to the availability of appropriations, the Secretary may make available to lenders for a project meeting the eligibility criteria established in section 2422 of this title loan guarantees to supplement private-sector or lender financing for the project.
(b) Terms and limitations(1) In generalLoan guarantees under this section for a project shall be on such terms and conditions and contain such covenants, representations, warranties, and requirements as the Secretary determines to be appropriate to protect the financial interests of the United States.
(2) AmountLoan guarantees by the Secretary shall not exceed an amount equal to 90 percent of the cost of the project that is the subject of the loan guarantee, as estimated at the time at which the loan guarantee is issued.
(3) Interest rateAn obligation shall bear interest at a rate that does not exceed a level that the Secretary determines to be appropriate, taking into account the prevailing rate of interest in the private sector for similar loans and risks.
(4) AmortizationA loan guarantee under this section shall provide for complete amortization of the loan guarantee within not more than 40 years.
(5) NonsubordinationAn obligation shall be subject to the condition that the obligation is not subordinate to other financing.
(c) Prepayment and refinancingAny prepayment or refinancing terms on a loan guarantee shall be negotiated between the non-Federal borrower and the lender with the consent of the Secretary.
(Pub. L. 109–451, title II, §204, Dec. 22, 2006, 120 Stat. 3358.)
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