Page:United States Statutes at Large Volume 104 Part 5.djvu/688

 104 STAT. 4010 PUBLIC LAW 101-624—NOV. 28, 1990 Subtitle C—Water and Waste Facilities SEC. 2321. INCREASE ON LIMITATION OF AUTHORIZATION FOR WATER AND WASTE GRANTS. Section 306(a)(2) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1926(a)(2)) is amended by striking ": Provided, That for fiscal years commencing after September 30, 1981, such grants may not exceed $154,900,000 in any fiscal year". Loan programs. SEC. 2322. WATER AND WASTE FACILITY FINANCING. (a) AUTHORITY.— The Secretary of Agriculture shall make loans to individuals or entities who are borrowers under title III of the Rural Electrification Act of 1936 (7 U.S.C. 930 et seq.) (in this section referred to as the "borrower"), to the extent of qusdifying applications therefor, to enable such borrowers to provide water and waste facility services in areas served by such borrowers. flj) LIMITATION. —Loans made under subsection (a) shall not, unless otherwise specified by law, exceed an amount equal to 10 percent of the total amount of insured loans under the Rural Electrification Act of 1936 authorized during the fiscal year in which such loan is made for rural electrification and telephone purposes, or $40,000,000, whichever is less. Such limitations shall be in ad(Ution to the total amount of insured loans authorized for electrification and telephone purposes. (c) PRIORITY.—In reviewing applications for loans under this section, the Secretary shall consider— (1) whether the loan is necessary to enable the communities to be served to comply with applicable Federal or State environmental laws; (2) whether the individuals residing in the area for which service is proposed, and any local government entities, are in favor of the borrower providing such services in the area; (3) the income, unemployment, and other characteristics of the area to be served; (4) the degree of deprivation faced by residents of the area to be served as a result of the lack of safe drinking water, adequate water supplies, sewage treatment and other waste disposal facilities; (5) the impact that the availability of safe water supplies, waste disposal and similar services would be likely to have on enhancing the prospects for economic growth within the area to be served; (6) the degree to which a loan that may be provided under this subsection is necessary to ensure that water and waste disposal services are available in the area to be served by such loan at costs that do not exceed those charged in other nearby areas; (7) the impact of the proposed loan on the retention of the property and service territory of the borrower, or in protecting the security given on outstanding loans provided to the borrower; and (8) whether the water and waste facility projects described in the application will duplicate any existing facilities, and whether the borrower will coordinate its water and waste facility operations with similar operations in the area, including efforts to achieve economies of scale through joint billing, collection, or other operations with nearby systems in order to reduce

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