SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Emerald Ash Borer Municipality 
Assistance Act of 2007''.

SEC. 2. EMERALD ASH BORER REVOLVING LOAN FUND.

    (a) Definitions.--In this section:
            (1) Authorized equipment.--
                    (A) In general.--The term ``authorized equipment'' 
                means any equipment necessary for the management of 
                forest land.
                    (B) Inclusions.--The term ``authorized equipment'' 
                includes--
                            (i) cherry pickers;
                            (ii) equipment necessary for--
                                    (I) the construction of staging and 
                                marshalling areas;
                                    (II) the planting of trees; and
                                    (III) the surveying of forest land;
                            (iii) vehicles capable of transporting 
                        harvested trees;
                            (iv) wood chippers; and
                            (v) any other appropriate equipment, as 
                        determined by the Secretary.
            (2) Fund.--The term ``Fund'' means the Emerald Ash Borer 
        Revolving Loan Fund established by subsection (b).
            (3) Secretary.--The term ``Secretary'' means the Secretary 
        of Agriculture, acting through the Deputy Chief of the State 
        and Private Forestry organization.
    (b) Establishment of Fund.--There is established in the Treasury of 
the United States a revolving fund, to be known as the ``Emerald Ash 
Borer Revolving Loan Fund'', consisting of such amounts as are 
appropriated to the Fund under subsection (f).
    (c) Expenditures From Fund.--
            (1) In general.--Subject to paragraph (2), on request by 
        the Secretary, the Secretary of the Treasury shall transfer 
        from the Fund to the Secretary such amounts as the Secretary 
        determines are necessary to provide loans under subsection (e).
            (2) Administrative expenses.--An amount not exceeding 10 
        percent of the amounts in the Fund shall be available for each 
        fiscal year to pay the administrative expenses necessary to 
        carry out this section.
    (d) Transfers of Amounts.--
            (1) In general.--The amounts required to be transferred to 
        the Fund under this section shall be transferred at least 
        monthly from the general fund of the Treasury to the Fund on 
        the basis of estimates made by the Secretary of the Treasury.
            (2) Adjustments.--Proper adjustment shall be made in 
        amounts subsequently transferred to the extent prior estimates 
        were in excess of or less than the amounts required to be 
        transferred.
    (e) Uses of Fund.--
            (1) Loans.--
                    (A) In general.--The Secretary shall use amounts in 
                the Fund to provide loans to eligible units of local 
                government to finance purchases of authorized equipment 
                to monitor, remove, dispose of, and replace infested 
                trees that are located--
                            (i) on land under the jurisdiction of the 
                        eligible units of local government; and
                            (ii) within the borders of quarantine areas 
                        infested by the emerald ash borer.
                    (B) Maximum amount.--The maximum amount of a loan 
                that may be provided by the Secretary to an eligible 
                unit of local government under this subsection shall be 
                the lesser of--
                            (i) the amount that the eligible unit of 
                        local government has appropriated to finance 
                        purchases of authorized equipment to monitor, 
                        remove, dispose of, and replace infested trees 
                        that are located--
                                    (I) on land under the jurisdiction 
                                of the eligible unit of local 
                                government; and
                                    (II) within the borders of a 
                                quarantine area infested by the emerald 
                                ash borer; or
                            (ii) $5,000,000.
                    (C) Interest rate.--The interest rate on any loan 
                made by the Secretary under this paragraph shall be a 
                rate equal to 2 percent.
                    (D) Report.--Not later than 180 days after the date 
                on which an eligible unit of local government receives 
                a loan provided by the Secretary under subparagraph 
                (A), the eligible unit of local government shall submit 
                to the Secretary a report that describes each purchase 
                made by the eligible unit of local government using 
                assistance provided through the loan.
            (2) Loan repayment schedule.--
                    (A) In general.--To be eligible to receive a loan 
                from the Secretary under paragraph (1), in accordance 
                with each requirement described in subparagraph (B), an 
                eligible unit of local government shall enter into an 
                agreement with the Secretary to establish a loan 
                repayment schedule relating to the repayment of the 
                loan.
                    (B) Requirements relating to loan repayment 
                schedule.--A loan repayment schedule established under 
                subparagraph (A) shall require the eligible unit of 
                local government--
                            (i) to repay to the Secretary of the 
                        Treasury, not later than 1 year after the date 
                        on which the eligible unit of local government 
                        receives a loan under paragraph (1), and 
                        semiannually thereafter, an amount equal to the 
                        quotient obtained by dividing--
                                    (I) the principal amount of the 
                                loan (including interest); by
                                    (II) the total quantity of payments 
                                that the eligible unit of local 
                                government is required to make during 
                                the repayment period of the loan; and
                            (ii) not later than 20 years after the date 
                        on which the eligible unit of local government 
                        receives a loan under paragraph (1), to 
                        complete repayment to the Secretary of the 
                        Treasury of the loan made under this section 
                        (including interest).
    (f) Authorization of Appropriations.--There are authorized to be 
appropriated to the Fund such sums as are necessary to carry out this 
section.

SEC. 3. COOPERATIVE AGREEMENTS RELATING TO EMERALD ASH BORER PREVENTION 
              ACTIVITIES.

    Any cooperative agreement entered into after the date of enactment 
of this Act between the Secretary of Agriculture and a State relating 
to the prevention of emerald ash borer infestation shall allow the 
State to provide any cost-sharing assistance or financing mechanism 
provided to the State under the cooperative agreement to a unit of 
local government of the State that--
            (1) is engaged in any activity relating to the prevention 
        of emerald ash borer infestation; and
            (2) is capable of documenting each emerald ash borer 
        infestation prevention activity generally carried out by--
                    (A) the Department of Agriculture; or
                    (B) the State department of agriculture that has 
                jurisdiction over the unit of local government.
Output: Emerald Ash Borer Municipality Assistance Act of 2007 - Establishes in the Treasury the Emerald Ash Borer Revolving Loan Fund.

Directs the Secretary of Agriculture to use Fund amounts for loans to eligible local government units for purchases of equipment to monitor, dispose of, and replace infested trees on local government land within quarantine areas infested by the emerald ash borer.