42 U.S.C. § 292i — Insurance account

Page 1000 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 292i A prior section 709 of act July 1, 1944, was classified to section 292i of this title prior to repeal by Pub. L. 97–35, title XXVII, § 2720(a), Aug. 13, 1981, 95 Stat. 915. AMENDMENTS 1998—Subsec. (b). Pub. L. 105–392 inserted ‘‘and’’ at end of par. (4)(B), substituted a period for ‘‘; and’’ at end of par. (5), and struck out par. (6) which read as fol- lows: ‘‘prepare and submit a report not later than March 31, 1993, and annually, thereafter, to the Com- mittee on Labor and Human Resources of the Senate and the Committee on Energy and Commerce of the House of Representatives concerning— ‘‘(A) the default rates for each— ‘‘(i) institution described in section 292o(1) of this title that is participating in the loan programs under this subpart; ‘‘(ii) lender participating in the loan program under this subpart; and ‘‘(iii) loan holder under this subpart; ‘‘(B) the total amounts recovered pursuant to sec- tion 292f(b) of this title during the preceding fiscal year; and ‘‘(C) a plan for improving the extent of such recov- eries during the current fiscal year.’’ § 292i. Insurance account (a) In general (1) Establishment There is hereby established a student loan insurance account (in this section referred to as the ‘‘Account’’) which shall be available without fiscal year limitation to the Sec- retary for making payments in connection with the collection and default of loans in- sured under this subpart by the Secretary. (2) Funding (A) Except as provided in subparagraph (B), all amounts received by the Secretary as pre- mium charges for insurance and as receipts, earnings, or proceeds derived from any claim or other assets acquired by the Secretary in connection with his operations under this sub- part, and any other moneys, property, or as- sets derived by the Secretary from the oper- ations of the Secretary in connection with this section, shall be deposited in the Account. (B) With respect to amounts described in subparagraph (A) that are received by the Sec- retary for fiscal year 1993 and subsequent fis- cal years, the Secretary may, before depos- iting such amounts in the Account, reserve from the amounts each such fiscal year not more than $1,000,000 for obligation under sec- tion 292h(d) of this title. (3) Expenditures All payments in connection with the default of loans insured by the Secretary under this subpart shall be paid from the Account. (b) Contingent authority for issuance of notes or other obligations If at any time the moneys in the Account are insufficient to make payments in connection with the collection or default of any loan in- sured by the Secretary under this subpart, the Secretary of the Treasury may lend the Account such amounts as may be necessary to make the payments involved, subject to the Federal Cred- it Reform Act of 1990 [2 U.S.C. 661 et seq.]. (July 1, 1944, ch. 373, title VII, § 710, as added Pub. L. 102–408, title I, § 102, Oct. 13, 1992, 106 Stat. 2007; amended Pub. L. 105–392, title I, § 143, Nov. 13, 1998, 112 Stat. 3581.) Editorial Notes REFERENCES IN TEXT The Federal Credit Reform Act of 1990, referred to in subsec. (b), is title V of Pub. L. 93–344, as added by Pub. L. 101–508, title XIII, § 13201(a), Nov. 5, 1990, 104 Stat. 1388–609, which is classified generally to subchapter III (§ 661 et seq.) of chapter 17A of Title 2, The Congress. For complete classification of this Act to the Code, see Short Title of 1990 Amendment note set out under sec- tion 621 of Title 2 and Tables. PRIOR PROVISIONS A prior section 292i, act July 1, 1944, ch. 373, title VII, § 709, as added Oct. 12, 1976, Pub. L. 94–484, title II, § 207, 90 Stat. 2252; amended Nov. 9, 1978, Pub. L. 95–623, § 12(b), 92 Stat. 3457, related to shared schedule resi- dency training positions, prior to repeal by Pub. L. 97–35, title XXVII, § 2720(a), Aug. 13, 1981, 95 Stat. 915. Another prior section 292i, act July 1, 1944, ch. 373, title VII, § 710, as added July 30, 1956, ch. 779, § 2, 70 Stat. 720; amended Sept. 24, 1963, Pub. L. 88–129, § 2(a), 77 Stat. 164; Nov. 18, 1971, Pub. L. 92–157, title I, § 102(k)(2)(A), 85 Stat. 437, related to preparation and submission of an- nual reports to the Congress through the President, in- cluding its contents, as to grants for construction of health research facilities, prior to repeal by Pub. L. 94–484, title II, § 201(a), Oct. 12, 1976, 90 Stat. 2246. A prior section 710 of act July 1, 1944, was classified to section 292k of this title prior to the general revision of this subchapter by Pub. L. 102–408. Another prior section 710 of act July 1, 1944, was re- numbered section 709 by Pub. L. 97–35 and was classified to section 292j of this title prior to the general revision of this subchapter by Pub. L. 102–408. AMENDMENTS 1998—Subsec. (a)(2)(B). Pub. L. 105–392 substituted ‘‘fiscal year 1993 and subsequent fiscal years’’ for ‘‘any of the fiscal years 1993 through 1996’’. § 292j. Powers and responsibilities of Secretary (a) In general In the performance of, and with respect to, the functions, powers, and duties vested in the Sec- retary by this subpart, the Secretary is author- ized as follows: (1) To prescribe such regulations as may be necessary to carry out the purposes of this subpart. (2) To sue and be sued in any district court of the United States. Such district courts shall have jurisdiction of civil actions arising under this subpart without regard to the amount in controversy, and any action instituted under this subsection by or against the Secretary shall survive notwithstanding any change in the person occupying the office of Secretary or any vacancy in that office. No attachment, in- junction, garnishment, or other similar proc- ess, mesne or final, shall be issued against the Secretary or property under the control of the Secretary. Nothing herein shall be constructed to except litigation arising out of activities under this subpart from the application of sec- tions 517 and 547 of title 28. (3) To include in any contract for Federal loan insurance such terms, conditions, and covenants relating to repayment of principal and payments of interest, relating to his obli- gations and rights and to those of eligible