12 U.S.C. § 4712 — Capitalization assistance to enhance li-

Page 1739 TITLE 12—BANKS AND BANKING § 4712 1 So in original. Probably should be followed by a period. (e) Coordination The Fund shall coordinate with other appro- priate Federal departments or agencies that op- erate similar training programs in order to pre- vent duplicative efforts. (f) Regulatory fee for providing training services (1) General rule The Fund may, at the discretion of the Ad- ministrator and in accordance with this sub- section, assess and collect regulatory fees solely to cover the costs of the Fund in pro- viding training services under a training pro- gram operated in accordance with this section. (2) Persons subject to fee Fees may be assessed under paragraph (1) only on persons who participate in the train- ing program. (3) Limitation on manner of collection Fees may be assessed and collected under this subsection only in such manner as may reasonably be expected to result in the collec- tion of an aggregate amount of fees during any fiscal year which does not exceed the aggre- gate costs of the Fund for such year in pro- viding training services under a training pro- gram operated in accordance with this sec- tion 1 (4) Limitation on amount of fee The amount of any fee assessed under this subsection on any person may not exceed the amount which is reasonably based on the pro- portion of the training services provided under a training program operated in accordance with this section which relate to such person. (Pub. L. 103–325, title I, § 109, Sept. 23, 1994, 108 Stat. 2176.) § 4709. Encouragement of private entities The Fund may facilitate the organization of corporations in which the Federal Government has no ownership interest. The purpose of any such entity shall be to assist community devel- opment financial institutions in a manner that is complementary to the activities of the Fund under this subchapter. Any such entity shall be managed exclusively by persons not employed by the Federal Government or any agency or in- strumentality thereof, or by any State or local government or any agency or instrumentality thereof. (Pub. L. 103–325, title I, § 110, Sept. 23, 1994, 108 Stat. 2177.) § 4710. Collection and compilation of information The Fund shall— (1) collect and compile information perti- nent to community development financial in- stitutions that will assist in creating, devel- oping, expanding, and preserving such institu- tions; and (2) make such information available to pro- mote the purposes of this subchapter. (Pub. L. 103–325, title I, § 111, Sept. 23, 1994, 108 Stat. 2177.) § 4711. Investment of receipts and proceeds (a) Establishment of account Any dividends on equity investments and pro- ceeds from the disposition of investments, de- posits, or credit union shares that are received by the Fund as a result of assistance provided pursuant to section 4707 or 4712 of this title, and any fees received pursuant to section 4708(f) of this title shall be deposited and accredited to an account of the Fund in the United States Treas- ury (hereafter in this section referred to as ‘‘the account’’) established to carry out the purpose of this subchapter. (b) Investments Upon request of the Administrator, the Sec- retary of the Treasury shall invest amounts de- posited in the account in public debt securities with maturities suitable to the needs of the Fund, as determined by the Administrator, and bearing interest at rates determined by the Sec- retary of the Treasury, comparable to current market yields on outstanding marketable obli- gations of the United States of similar matu- rities. (c) Availability Amounts deposited into the account and inter- est earned on such amounts pursuant to this section shall be available to the Fund until ex- pended. (Pub. L. 103–325, title I, § 112, Sept. 23, 1994, 108 Stat. 2177.) § 4712. Capitalization assistance to enhance li- quidity (a) Assistance (1) In general The Fund may provide assistance for the purpose of providing capital to organizations to purchase loans or otherwise enhance the li- quidity of community development financial institutions, if— (A) the primary purpose of such organiza- tions is to promote community develop- ment; and (B) any assistance received is matched with funds— (i) from sources other than the Federal Government; (ii) on the basis of not less than one dol- lar for each dollar provided by the Fund; and (iii) that are comparable in form and value to the assistance provided by the Fund. (2) Limitation on other assistance An organization that receives assistance under this section may not receive other fi- nancial or technical assistance under this sub- chapter. (3) Construction of Federal Government funds For purposes of this subsection, notwith- standing section 105(a)(9) of the Housing and Community Development Act of 1974 [42 U.S.C. 5305(a)(9)], funds provided pursuant to such Act shall be considered to be Federal Govern- ment funds. Page 1740 TITLE 12—BANKS AND BANKING § 4713 (b) Selection The selection of organizations to receive as- sistance under this section shall be at the dis- cretion of the Fund and in accordance with cri- teria established by the Fund. In establishing such criteria, the Fund shall take into account the criteria contained in sections 4704(b) and 4706 of this title, as appropriate. (c) Amount of assistance The Fund may provide a total of not more than $5,000,000 of assistance to an organization or its subsidiaries or affiliates under this section during any 3-year period. Assistance may be pro- vided in a lump sum or over a period of time, as determined by the Fund. (d) Audit and report requirements Organizations that receive assistance from the Fund in accordance with this section shall— (1) submit to the Fund, not less than once in every 18-month period, financial statements audited by an independent certified public ac- countant, as part of the report required by paragraph (2); (2) submit an annual report on its activities; and (3) keep such records as may be necessary to disclose the manner in which any assistance under this section is used. (e) Limitations on liability (1) Liability of Fund The liability of the Fund and the United States Government arising out of the provi- sion of assistance to any organization in ac- cordance with this section shall be limited to the amount of such assistance. The Fund shall be exempt from any assessments and any other liabilities that may be imposed on con- trolling or principal shareholders by any Fed- eral law or the law of any State, or territory. Nothing in this paragraph shall affect the ap- plication of Federal tax law. (2) Liability of Government This section does not oblige the Federal Government, either directly or indirectly, to provide any funds to any organization assisted pursuant to this section, or to honor, reim- burse, or otherwise guarantee any obligation or liability of such an organization. This sec- tion shall not be construed to imply that any such organization or any obligations or securi- ties of any such organization are backed by the full faith and credit of the United States. (f) Use of proceeds Any proceeds from the sale of loans by an or- ganization assisted under this section shall be used by the seller for community development purposes. (Pub. L. 103–325, title I, § 113, Sept. 23, 1994, 108 Stat. 2178.) Editorial Notes REFERENCES IN TEXT The Housing and Community Development Act of 1974, referred to in subsec. (a)(3), is Pub. L. 93–383, Aug. 22, 1974, 88 Stat. 633. For complete classification of this Act to the Code, see Short Title note set out under sec- tion 5301 of Title 42, The Public Health and Welfare, and Tables. § 4713. Incentives for depository institution par- ticipation (a) Function of Administrator (1) In general Of any funds appropriated pursuant to the authorization in section 4718(a) of this title, the funds made available for use in carrying out this section in accordance with section 4718(a)(4) of this title shall be administered by the Administrator of the Fund, in consulta- tion with— (A) the Federal banking agencies (as de- fined in section 3 of the Federal Deposit In- surance Act [12 U.S.C. 1813]) and the Na- tional Credit Union Administration; (B) the individuals named pursuant to clauses (ii) and (iv) of section 4703(d)(2)(G) of this title; and (C) any other representatives of insured depository institutions or other persons as the Administrator may determine to be ap- propriate. (2) Applicability of Bank Enterprise Act of 1991 Subject to subsection (b) and the consulta- tion requirement of paragraph (1)— (A) section 233 of the Bank Enterprise Act of 1991 [12 U.S.C. 1834a] shall be applicable to the Administrator, for purposes of this sec- tion, in the same manner and to the same extent that such section is applicable to the Community Enterprise Assessment Credit Board; (B) the Administrator shall, for purposes of carrying out this section and section 233 of the Bank Enterprise Act of 1991 [12 U.S.C. 1834a]— (i) have all powers and rights of the Community Enterprise Assessment Credit Board under section 233 of the Bank Enter- prise Act of 1991 to administer and enforce any provision of such section 233 which is applicable to the Administrator under this section; and (ii) shall be subject to the same duties and restrictions imposed on the Commu- nity Enterprise Assessment Credit Board; and (C) the Administrator shall— (i) have all powers and rights of an ap- propriate Federal banking agency under section 233(b)(2) of the Bank Enterprise Act of 1991 [12 U.S.C. 1834a(b)(2)] to approve or disapprove the designation of qualified distressed communities for purposes of this section and provide information and assistance with respect to any such des- ignation; and (ii) shall be subject to the same duties imposed on the appropriate Federal bank- ing agencies under such section 233(b)(2). (3) Awards The Administrator shall determine the amount of assessment credits, and shall make awards of those credits. (4) Regulations and guidelines The Administrator may prescribe such regu- lations and issue such guidelines as the Ad-