sets shall be liquidated by the Bank and the pro-
ceeds treated as a cash purchase of stock. 
(4) AUTHORITY
TO
MODIFY
RATES.—If the 
dividends provided for in paragraph (2) generate ei-
ther more or less investment in the Bank’s preferred 
stock than is needed to achieve and maintain the 
Bank’s desired capitalization, the Directors may re-
duce or increase the dividends provided for new ac-
quisitions of preferred stock in one or more of sub-
paragraphs (A) through (D) of paragraph (2) for 
such periods of time as the Directors determine ap-
propriate. 
(5) PRIORITY AND GUARANTEE OF DIVIDEND 
PAYMENTS.—Dividend payments on the Bank’s pre-
ferred stock shall have priority over other uses of in-
terest payments received by the Bank on its capital 
stock holdings of Treasury securities, and any such 
dividends owed in excess of the amount covered by 
these interest payments shall be guaranteed by the 
United States in the stock purchase agreement. 
(d) BORROWED CAPITAL.—The Bank is further au-
thorized to raise borrowed capital for projects needs, or 
to meet its cash flow (liquidity) needs, by— 
(1) issuing Bonds, with a fixed 5 to 10 year 
maturity; and 
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(2) maintaining a permanent, revolving dis-
count line of credit account with the Board of Gov-
ernors of the Federal Reserve System. 
(e) DEPOSITS.—Once chartered as a national bank, 
the Bank shall accept deposits from individuals, corpora-
tions, or public entities, into transaction deposit accounts 
on its books, and pay interest on those deposits, in an 
amount deemed appropriate by the Board. 
(f) LOANS.— 
(1) IN
GENERAL.—The Bank shall provide 
loans, in accordance with this Act, to entities, or 
enter into blended financing credit, for the financ-
ing, development, or operation of infrastructure 
projects. 
(2) LOAN MATURITY.—The maturity of loans 
should match, to the extent possible, the maturity 
periods of anticipated profitability, economic stim-
ulus, and projected useful life of projects financed by 
such loans. 
(3) LOAN LIMIT.—Total loans contracted by the 
Bank shall not exceed $5,000,000,000,000. 
(4) INTEREST CHARGES ON LOANS AND OTHER 
FEES.—The Bank— 
(A) shall charge fixed-rate-interest, fees, 
premiums, or discounts based on the risk asso-
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pbinns on DSKJLVW7X2PROD with BILLS
ciated with a loan made by the Bank, taking 
into consideration— 
(i) the price of Treasury obligations of 
a similar maturity or 1.6 percent per 
annum, whichever is greater; 
(ii) the credit rating of the borrowing 
entity if expressly published, or an assess-
ment of the overall finances of the bor-
rowing entity indicating an ability to serv-
ice the loan; 
(iii) current and expected future eco-
nomic conditions, including expected im-
provements in the economy and the bor-
rowing entity’s finances resulting from the 
Bank’s overall lending operations; and 
(iv) whether or not the borrowing en-
tity qualifies as a disadvantaged commu-
nity, and an interest rate subsidy, subject 
to availability of funds; 
(B) may, in connection with a loan ex-
tended by the Bank, issue guarantees, insur-
ance, coinsurance, and reinsurance to borrowing 
entities, insurance companies, financial institu-
tions, or others, or groups thereof, and charge 
fees based on a similar risk analysis; and 
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pbinns on DSKJLVW7X2PROD with BILLS
(C) may charge for the review of any 
project proposal in such amount as may be ap-
proved by the Board to cover the costs of such 
review. 
(5) REFINANCING.—Subject to a full audit of 
the project and borrower, and subject to Board re-
view, the Bank may extend the time limit for repay-
ment of a loan, through renewal, substitution of new 
obligations, or otherwise, with the maximum time for 
such renewal to be approved by the Board. The 
Bank may make such further loans as necessary for 
project completion, or to assure loan repayment. 
(6) LIMITATIONS ON LOANS.—The Bank may 
not— 
(A) provide loans to consumers or provide 
any other loans not described under this Act; or 
(B) engage in investment banking activi-
ties such as underwriting securities or trust 
management for customers. 
(g) CAPITAL
FOR LOAN DISBURSEMENTS.—Once 
chartered as a deposit-taking bank, the Bank is authorized 
to create funds in a deposit account in a borrowers name, 
in accordance with the loan agreement, as each scheduled 
loan disbursement as it is made. The Bank shall draw up 
an Aggregate Loan Disbursement Plan, for the informa-
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tion of the Comptroller of the Currency and the Board 
of Governors of the Federal Reserve System. 
(h) NET EARNINGS.—After meeting current obliga-
tions, the Bank is authorized to use its earnings, and all 
moneys which have been or may hereafter be allocated to 
or borrowed by it, in the exercise of its functions. From 
those monies, the Bank shall set aside loan loss provisions 
equal to a proportion of loan book value, as determined 
appropriate by the Board. Net earnings of the Bank, after 
setting aside loan loss provisions and estimated forward 
cash flow needs, shall be used for the payment of dividends 
to the United States Treasury, in an annual amount to 
be determined by the Board. Any residual net earnings 
shall be deposited into a Trust Fund to subsidize loans 
for disadvantaged communities that are not able to repay 
infrastructure loans on normal loan terms, in a manner 
to be determined by the Board. Any direct Federal con-
tributions from the budget for the purpose of subsidizing 
disadvantaged communities may also be added and uti-
lized via the Trust Fund. 
(i) GUARANTEES AND LOAN LOSS PROVISIONS.—In 
the event of any losses, as determined by the Board, in-
curred on loans, guarantees, and insurance extended 
under this Act, they shall be borne by the Bank out of 
its loan loss provisions. Any losses in excess thereof shall 
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