2 U.S.C. § 661d — Authorizations

Page 215 TITLE 2—THE CONGRESS § 661d loan guarantee commitment shall not be modified in a manner that increases its cost unless budget authority for the additional cost is appropriated, or is available out of existing appropriations or from other budgetary resources.’’ § 661d. Authorizations (a) Authorization of appropriations for costs There are authorized to be appropriated to each Federal agency authorized to make direct loan obligations or loan guarantee commit- ments, such sums as may be necessary to pay the cost associated with such direct loan obliga- tions or loan guarantee commitments. (b) Authorization for financing accounts In order to implement the accounting required by this subchapter, the President is authorized to establish such non-budgetary accounts as may be appropriate. (c) Treasury transactions with financing ac- counts The Secretary of the Treasury shall borrow from, receive from, lend to, or pay to the financ- ing accounts such amounts as may be appro- priate. The Secretary of the Treasury may pre- scribe forms and denominations, maturities, and terms and conditions for the transactions de- scribed above, except that the rate of interest charged by the Secretary on lending to financ- ing accounts (including amounts treated as lending to financing accounts by the Federal Fi- nancing Bank (hereinafter in this subsection re- ferred to as the ‘‘Bank’’) pursuant to section 655(b) of this title) and the rate of interest paid to financing accounts on uninvested balances in financing accounts shall be the same as the rate determined pursuant to section 661a(5)(E) of this title. For guaranteed loans financed by the Bank and treated as direct loans by a Federal agency pursuant to section 655(b) of this title, any fee or interest surcharge (the amount by which the interest rate charged exceeds the rate determined pursuant to section 661a(5)(E) of this title) that the Bank charges to a private bor- rower pursuant to section 2285(c) of title 12 shall be considered a cash flow to the Government for the purposes of determining the cost of the di- rect loan pursuant to section 661a(5) of this title. All such amounts shall be credited to the appro- priate financing account. The Bank is author- ized to require reimbursement from a Federal agency to cover the administrative expenses of the Bank that are attributable to the direct loans financed for that agency. All such pay- ments by an agency shall be considered adminis- trative expenses subject to section 661c(g) of this title. This subsection shall apply to transactions related to direct loan obligations or loan guar- antee commitments made on or after October 1, 1991. The authorities described above shall not be construed to supersede or override the au- thority of the head of a Federal agency to ad- minister and operate a direct loan or loan guar- antee program. All of the transactions provided in this subsection shall be subject to the provi- sions of subchapter II of chapter 15 of title 31. Cash balances of the financing accounts in ex- cess of current requirements shall be main- tained in a form of uninvested funds and the Secretary of the Treasury shall pay interest on these funds. (d) Authorization for liquidating accounts (1) Amounts in liquidating accounts shall be available only for payments resulting from di- rect loan obligations or loan guarantee commit- ments made prior to October 1, 1991, for— (A) interest payments and principal repay- ments to the Treasury or the Federal Financ- ing Bank for amounts borrowed; (B) disbursements of loans; (C) default and other guarantee claim pay- ments; (D) interest supplement payments; (E) payments for the costs of foreclosing, managing, and selling collateral that are cap- italized or routinely deducted from the pro- ceeds of sales; (F) payments to financing accounts when re- quired for modifications; (G) administrative expenses, if— (i) amounts credited to the liquidating ac- count would have been available for admin- istrative expenses under a provision of law in effect prior to October 1, 1991; and (ii) no direct loan obligation or loan guar- antee commitment has been made, or any modification of a direct loan or loan guar- antee has been made, since September 30, 1991; or (H) such other payments as are necessary for the liquidation of such direct loan obligations and loan guarantee commitments. (2) Amounts credited to liquidating accounts in any year shall be available only for payments required in that year. Any unobligated balances in liquidating accounts at the end of a fiscal year shall be transferred to miscellaneous re- ceipts as soon as practicable after the end of the fiscal year. (3) If funds in liquidating accounts are insuffi- cient to satisfy obligations and commitments of such accounts, there is hereby provided perma- nent, indefinite authority to make any pay- ments required to be made on such obligations and commitments. (e) Authorization of appropriations for imple- mentation expenses There are authorized to be appropriated to ex- isting accounts such sums as may be necessary for salaries and expenses to carry out the re- sponsibilities under this subchapter. (f) Reinsurance Nothing in this subchapter shall be construed as authorizing or requiring the purchase of in- surance or reinsurance on a direct loan or loan guarantee from private insurers. If any such re- insurance for a direct loan or loan guarantee is authorized, the cost of such insurance and any recoveries to the Government shall be included in the calculation of the cost. (g) Eligibility and assistance Nothing in this subchapter shall be construed to change the authority or the responsibility of a Federal agency to determine the terms and conditions of eligibility for, or the amount of as- sistance provided by a direct loan or a loan guarantee. (Pub. L. 93–344, title V, § 505, as added Pub. L. 101–508, title XIII, § 13201(a), Nov. 5, 1990, 104 Page 216 TITLE 2—THE CONGRESS § 661e Stat. 1388–613; amended Pub. L. 105–33, title X, § 10117(c), Aug. 5, 1997, 111 Stat. 694; Pub. L. 113–67, div. A, title I, § 122(15), Dec. 26, 2013, 127 Stat. 1176.) Editorial Notes PRIOR PROVISIONS A prior section 505 of Pub. L. 93–344, title V, July 12, 1974, 88 Stat. 322, repealed sections 66 and 81 of this title. AMENDMENTS 2013—Subsec. (c). Pub. L. 113–67 made technical amendment to reference in original act which appears in text as reference to section 655(b) of this title. 1997—Subsec. (c). Pub. L. 105–33, § 10117(c)(2), sub- stituted ‘‘supersede’’ for ‘‘supercede’’. Pub. L. 105–33, § 10117(c)(1), inserted before period at end of second sentence ‘‘, except that the rate of inter- est charged by the Secretary on lending to financing accounts (including amounts treated as lending to fi- nancing accounts by the Federal Financing Bank (here- inafter in this subsection referred to as the ‘Bank’) pur- suant to section 655(b) of this title) and the rate of in- terest paid to financing accounts on uninvested bal- ances in financing accounts shall be the same as the rate determined pursuant to section 661a(5)(E) of this title. For guaranteed loans financed by the Bank and treated as direct loans by a Federal agency pursuant to section 655(b) of this title, any fee or interest surcharge (the amount by which the interest rate charged exceeds the rate determined pursuant to section 661a(5)(E) of this title) that the Bank charges to a private borrower pursuant to section 2285(c) of title 12 shall be consid- ered a cash flow to the Government for the purposes of determining the cost of the direct loan pursuant to sec- tion 661a(5) of this title. All such amounts shall be credited to the appropriate financing account. The Bank is authorized to require reimbursement from a Federal agency to cover the administrative expenses of the Bank that are attributable to the direct loans fi- nanced for that agency. All such payments by an agen- cy shall be considered administrative expenses subject to section 661c(g) of this title. This subsection shall apply to transactions related to direct loan obligations or loan guarantee commitments made on or after Octo- ber 1, 1991’’. Subsec. (d). Pub. L. 105–33, § 10117(c)(3), amended head- ing and text of subsec. (d) generally. Prior to amend- ment, text read as follows: ‘‘If funds in liquidating ac- counts are insufficient to satisfy the obligations and commitments of said accounts, there is hereby pro- vided permanent, indefinite authority to make any payments required to be made on such obligations and commitments.’’ § 661e. Treatment of deposit insurance and agen- cies and other insurance programs (a) In general This subchapter shall not apply to the credit or insurance activities of the Federal Deposit Insurance Corporation, National Credit Union Administration, Resolution Trust Corporation, Pension Benefit Guaranty Corporation, National Flood Insurance, National Insurance Develop- ment Fund, Crop Insurance, or Tennessee Valley Authority. (b) Study The Director and the Director of the Congres- sional Budget Office shall each study whether the accounting for Federal deposit insurance programs should be on a cash basis on the same basis as loan guarantees, or on a different basis. Each Director shall report findings and rec- ommendations to the President and the Con- gress on or before May 31, 1991. (c) Access to data For the purposes of subsection (b), the Office of Management and Budget and the Congres- sional Budget Office shall have access to all agency data that may facilitate these studies. (Pub. L. 93–344, title V, § 506, as added Pub. L. 101–508, title XIII, § 13201(a), Nov. 5, 1990, 104 Stat. 1388–614; amended Pub. L. 105–33, title X, § 10117(d), Aug. 5, 1997, 111 Stat. 695.) Editorial Notes PRIOR PROVISIONS A prior section 506 of Pub. L. 93–344, title V, July 12, 1974, 88 Stat. 322, amended section 105 of Title 1, Gen- eral Provisions, and enacted provisions set out as a note under section 105 of Title 1, prior to the general revision of title V of Pub. L. 93–344 by Pub. L. 101–508. AMENDMENTS 1997—Pub. L. 105–33 struck out subsec. (a) designation and heading, redesignated pars. (1) to (3) of former sub- sec. (a) as subsecs. (a) to (c), respectively, inserted sub- sec. headings, and substituted ‘‘subsection (b)’’ for ‘‘paragraph (2)’’ in subsec. (c). § 661f. Effect on other laws (a) Effect on other laws This subchapter shall supersede, modify, or re- peal any provision of law enacted prior to No- vember 5, 1990, to the extent such provision is inconsistent with this subchapter. Nothing in this subchapter shall be construed to establish a credit limitation on any Federal loan or loan guarantee program. (b) Crediting of collections Collections resulting from direct loans obli- gated or loan guarantees committed prior to Oc- tober 1, 1991, shall be credited to the liquidating accounts of Federal agencies. Amounts so cred- ited shall be available, to the same extent that they were available prior to November 5, 1990, to liquidate obligations arising from such direct loans obligated or loan guarantees committed prior to October 1, 1991, including repayment of any obligations held by the Secretary of the Treasury or the Federal Financing Bank. The unobligated balances of such accounts that are in excess of current needs shall be transferred to the general fund of the Treasury. Such transfers shall be made from time to time but, at least once each year. (Pub. L. 93–344, title V, § 507, as added Pub. L. 101–508, title XIII, § 13201(a), Nov. 5, 1990, 104 Stat. 1388–614.) SUBCHAPTER IV—BUDGET AGREEMENT ENFORCEMENT PROVISIONS §§ 665 to 665e. Repealed. Pub. L. 105–33, title X, § 10118(a), Aug. 5, 1997, 111 Stat. 695 Section 665, Pub. L. 93–344, title VI, § 601, as added Pub. L. 101–508, title XIII, § 13111, Nov. 5, 1990, 104 Stat. 1388–602; amended Pub. L. 103–66, title XIV, § 14002(a), (b), Aug. 10, 1993, 107 Stat. 683, defined terms and pro- vided for points of order in cases where measures would exceed discretionary spending limits. A prior section 601 of Pub. L. 93–344, title VI, July 12, 1974, 88 Stat. 323, was classified to section 11 of former