Source: https://www.law.cornell.edu/uscode/text/20/1066b?quicktabs_8=0
Timestamp: 2015-03-04 19:47:19
Document Index: 432171592

Matched Legal Cases: ['§ 1066', '§ 343', '§ 723', '§ 704', '§ 360', '§ 343', '§ 301', '§ 314', '§ 306', '§ 314', '§ 314', '§ 306', '§ 314', '§ 320', '§ 301', '§ 301', '§ 306', '§ 301', '§ 301', '§ 306', '§ 360', '§ 360', '§ 360']

20 U.S. Code § 1066b - Federal insurance for bonds | LII / Legal Information Institute
General rule Subject to the limitations in section 1066c of this title, the Secretary is authorized to enter into insurance agreements to provide financial insurance to guarantee the full payment of principal and interest on qualified bonds upon the conditions set forth in subsections (b), (c) and (d) of this section.
Responsibilities of designated bonding authority The Secretary may not enter into an insurance agreement described in subsection (a) of this section unless the Secretary designates a qualified bonding authority in accordance with sections 1066d
(1) and 1066e [1]
of this title and the designated bonding authority agrees in such agreement to—
provide in each loan agreement with respect to a loan that not less than 95 percent of the proceeds of the loan will be used—
establish an escrow account—
the balance of which—
Additional agreement provisions Any insurance agreement described in subsection (a) of this section shall provide as follows:
Upon receipt by the Secretary or the Secretary’s designee of the certification described in paragraph (4) of this subsection, the designated bonding authority may draw a funding under the letter of credit in an amount equal to—
Full faith and credit provisions Subject to subsection (c)(1) of this section the full faith and credit of the United States is pledged to the payment of all funds which may be required to be paid under the provisions of this section.
Sale of qualified bonds Notwithstanding any other provision of law, a qualified bond guaranteed under this part may be sold to any party that offers terms that the Secretary determines are in the best interest of the eligible institution.
(Pub. L. 89–329, title III, § 343, formerly title VII, § 723, as added Pub. L. 102–325, title VII, § 704,July 23, 1992, 106 Stat. 743; amended Pub. L. 103–382, title III, § 360C,Oct. 20, 1994, 108 Stat. 3972; renumbered title III, § 343, and amended Pub. L. 105–244, title III, §§ 301(a)(3), (4), (c)(5), 306
(b),Oct. 7, 1998, 112 Stat. 1636, 1637, 1646; Pub. L. 110–315, title III, §§ 314(b), 320(2),Aug. 14, 2008, 122 Stat. 3181, 3187.)
Section 1066e of this title, referred to in subsec. (b), was repealed by Pub. L. 105–244, title III, § 306(d),Oct. 7, 1998, 112 Stat. 1647.
A prior section 343 ofPub. L. 89–329was classified to section 1068 of this title prior to the general amendment of this subchapter by Pub. L. 99–498.
2008—Subsec. (b)(8)(B)(ii). Pub. L. 110–315, § 314(b)(1)(B), inserted “within 120 days” after “loan proceeds”.
Pub. L. 110–315, § 314(b)(1)(A), which directed the substitution of “5” for “10”, could not be executed because “10” did not appear subsequent to amendment by Pub. L. 105–244, § 306(b)(1). See 1998 Amendment note below.
Subsec. (b)(12). Pub. L. 110–315, § 314(b)(2)–(4), added par. (12).
Subsec. (e). Pub. L. 110–315, § 320(2), inserted heading.
1998—Subsec. (a). Pub. L. 105–244, § 301(c)(5)(A), substituted “section 1066c” for “section 1132c–3”.
Subsec. (b). Pub. L. 105–244, § 301(c)(5)(B)(i), substituted “sections 1066d
(1) and 1066e” for “sections 1132c–4(1) and 1132c–5” in introductory provisions.
Subsec. (b)(8). Pub. L. 105–244, § 306(b)(1), substituted “5 percent” for “10 percent” wherever appearing.
Subsec. (b)(10). Pub. L. 105–244, § 301(c)(5)(B)(ii), substituted “section 1066c” for “section 1132c–3”.
Subsec. (d). Pub. L. 105–244, § 301(c)(5)(B)(iii), made technical amendment to reference in original act which appears in text as reference to subsection (c)(1) of this section.
Subsec. (e). Pub. L. 105–244, § 306(b)(2), added subsec. (e).
1994—Subsec. (b)(8)(A). Pub. L. 103–382, § 360C(1)(A), inserted before semicolon “, with each eligible institution required to maintain in the escrow account an amount equal to 10 percent of the outstanding principal of all loans made to such institution under this part”.
Subsec. (b)(8)(B)(ii). Pub. L. 103–382, § 360C(1)(B), amended cl. (ii) generally. Prior to amendment, cl. (ii) read as follows: “when all bonds under this part are retired or canceled, shall be divided among the eligible institutions making deposits into such account on the basis of the amount of each such institution’s deposit;”.
Subsec. (b)(11). Pub. L. 103–382, § 360C(2), substituted “conditions” for “regulations”.