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42 U.S.C. § 291j–4 — Applications and conditions
Federal law — U.S. Code and appendices · legal_authorities
**(a) Contents of applications** For each project for which a guarantee of a loan to a nonprofit private agency or a direct loan to a public agency is sought under this part, there shall be submitted to the Secretary, through the State agency designated in accordance with [section 291d of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title42-section291d&num=0&edition=prelim), an application by such private nonprofit agency or by such public agency. If two or more private nonprofit agencies, or two or more public agencies, join in the project, the application may be filed by one or more such agencies. Such application shall (1) set forth all of the descriptions, plans, specifications, assurances, and information which are required by the third sentence of [section 291e(a) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title42-section291e/a&num=0&edition=prelim) (other than clause (6) thereof) with respect to applications submitted under that section, (2) contain such other information as the Secretary may require to carry out the purposes of this part, and (3) include a certification by the State agency of the total cost of the project and the amount of the loan for which a guarantee is sought under this part, or the amount of the direct loan sought under this part, as the case may be.
**(b) Conditions for approval** The Secretary may approve such application only if—
(1) there remains sufficient balance in the allotment determined for such State pursuant to [section 291j–2 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title42-section291j-2&num=0&edition=prelim) to cover the amount of the loan for which a guarantee is sought, or the amount of the direct loan sought (as the case may be
Source: Supplied U.S. Code snapshot — release unconfirmed · 42 U.S.C. § 291j–4
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Stable record: federal_law:legal_authorities:record_usc_6cab3c607e4b6fb5963cc922
Source file: Laws/federal/codes/united-states-code/title-42/section-291j4-applications-and-conditions--2e4b5ec8b6.md
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Source location: Title 42, Chapter 6A, § 291j–4; chapter-6a-public-health-service.md
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**(a) Contents of applications** For each project for which a guarantee of a loan to a nonprofit private agency or a direct loan to a public agency is sought under this part, there shall be submitted to the Secretary, through the State agency designated in accordance with [section 291d of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title42-section291d&num=0&edition=prelim), an application by such private nonprofit agency or by such public agency. If two or more private nonprofit agencies, or two or more public agencies, join in the project, the application may be filed by one or more such agencies. Such application shall (1) set forth all of the descriptions, plans, specifications, assurances, and information which are required by the third sentence of [section 291e(a) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title42-section291e/a&num=0&edition=prelim) (other than clause (6) thereof) with respect to applications submitted under that section, (2) contain such other information as the Secretary may require to carry out the purposes of this part, and (3) include a certification by the State agency of the total cost of the project and the amount of the loan for which a guarantee is sought under this part, or the amount of the direct loan sought under this part, as the case may be.
**(b) Conditions for approval** The Secretary may approve such application only if—
(1) there remains sufficient balance in the allotment determined for such State pursuant to [section 291j–2 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title42-section291j-2&num=0&edition=prelim) to cover the amount of the loan for which a guarantee is sought, or the amount of the direct loan sought (as the case may be), in such application,
(2) he makes each of the findings which are required by clauses (1) through (4) of [section 291e(b) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title42-section291e/b&num=0&edition=prelim) for the approval of applications for projects thereunder (except that, in the case of the finding required under such clause (4) of entitlement of a project to a priority established under [section 291c(a) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title42-section291c/a&num=0&edition=prelim); such finding shall be made without regard to the provisions of clauses (1) and (3) of such section),
(3) he finds that there is compliance with [section 291e(e) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title42-section291e/e&num=0&edition=prelim),
(4) he obtains assurances that the applicant will keep such records, and afford such access thereto, and make such reports, in such form and containing such information, as the Secretary may reasonably require, and
(5) he also determines, in the case of a loan for which a guarantee is sought, that the terms, conditions, maturity, security (if any), and schedule and amounts of repayments with respect to the loan are sufficient to protect the financial interests of the United States and are otherwise reasonable and in accord with regulations, including a determination that the rate of interest does not exceed such per centum per annum on the principal obligation outstanding as the Secretary determines to be reasonable, taking into account the range of interest rates prevailing in the private market for similar loans and the risks assumed by the United States.
**(c) Hearing** No application under this section shall be disapproved until the Secretary has afforded the State agency an opportunity for a hearing.
**(d) Amendment of approved applications** Amendment of an approved application shall be subject to approval in the same manner as an original application.
**(e) Recovery rights; terms and conditions**
(1) In the case of any loan to a nonprofit private agency, the United States shall be entitled to recover from the applicant the amount of any payments made pursuant to any guarantee of such loan under this part, unless the Secretary for good cause waives its right of recovery, and, upon making any such payment, the United States shall be subrogated to all of the rights of the recipient of the payments with respect to which the guarantee was made.
(2) Guarantees of loans to nonprofit private agencies under this part shall be subject to such further terms and conditions as the Secretary determines to be necessary to assure that the purposes of this part will be achieved, and, to the extent permitted by subsection (f), any of such terms and conditions may be modified by the Secretary to the extent he determines it to be consistent with the financial interest of the United States.
**(f) Incontestable guarantee** Any guarantee of a loan to a nonprofit private agency made by the Secretary pursuant to this part shall be incontestable in the hands of an applicant on whose behalf such guarantee is made, and as to any person who makes or contracts to make a loan to such applicant in reliance thereon, except for fraud or misrepresentation on the part of such applicant or such other person.
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Federal law — U.S. Code and appendices · legal_authorities
The Surgeon General, with the approval of the Federal Hospital Council and the Secretary of Health and Human Services shall by general regulations prescribe—
**(a) Priority of projects; determination** the general manner in which the State agency shall determine the priority of projects based on the relative need of different areas lacking adequate facilities of various types for which assistance is available under this part, giving special consideration—
(1) in the case of projects for the construction of hospitals, to facilities serving areas with relatively small financial resources and, at the option of the State, rural communities;
(2) in the case of projects for the construction of rehabilitation facilities, to facilities operated in connection with a university teaching hospital which will provide an integrated program of medical, psychological, social, and vocational evaluation and services under competent supervision;
(3) in the case of projects for modernization of facilities, to facilities serving densely populated areas;
(4) in the case of projects for construction or modernization of outpatient facilities, to any outpatient facility that will be located in, and provide services for residents of, an area determined by the Secretary to be a rural or urban poverty area;
(5) to projects for facilities which, alone or in conjunction with other facilities, will provide comprehensive health care, including outpatient and preventive care as well as hospitalization;
(6) to facilities which will provide training in health or allied health professions; and
(7) to facilities which will provide to a significant extent, for the treatment of alcoholism;
**(b) Standards of construction and equipment** general standards of construction and equipment for facilities
Source: Supplied U.S. Code snapshot — release unconfirmed · 42 U.S.C. § 291d
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