Page:United States Statutes at Large Volume 104 Part 5.djvu/689

 PUBLIC LAW 101-624—NOV. 28, 1990 104 STAT. 4011 the costs, improve the operations, or otherwise assist such systems. (d) COORDINATION,— (1) OTHER PROGRAMS AND REQUIREMENTS.— (A) OTHER PROGRAMS. — The Secretary shall ensure that the program established under this section is coordinated with the programs authorized and established under section 306 of the Consolidated Farm and Rural Development Act, and will attempt to coordinate the lending activities under this section with similar activities conducted by other entities. (B) REQUIREMENTS.— Loans made under this section shall be subject, in the same manner as loans made under section 306 of the Consolidated Farm and Rural Development Act, to the provisions of section 306(a)(9) and 306(a)(10) of such Act (which require approvals by State water pollution control agencies), sections 306(a)(19)(A) and (B) of such Act (which include certain requirements in connection with the technical design and choice of materials for water and waste systems), and section 306(b) of such Act (which concerns the curtailment or limitation of service). (2) ASSIGNMENT OF DUTIES. — The Secretary shall determine whether the Rural Electrification Administration possesses greater expertise, as compared with the Farmers Home Administration, in the areas of utility accounting, utility management and financial analysis, advice and assistance, and other aspects of utility operations and engineering. If the Secretary determines that the Rural Electrification Administration possesses greater expertise in such areas, the Secretary shall require the Rural Electrification Administration to provide technical assistance, and assist in the processing of applications under this section. (3) PROHIBITION ON LIMITING ACCESS.— The Secretary shall Regulations, establish rules and procedures that prohibit borrowers from conditioning or limiting access to, or the use of, any water and waste facility services that are financed under this section. Such rules and procedures shall be based on whether individugds or entities in the area for which such facility is proposed receive, or will accept, electric service from such borrower. (e) TERMS.— (1) IN GENERAL.—Loans made under this section shall be for the same repayment period as insured loans made by the Administrator of the Rural Electrification Administration to such borrowers under title III of the Rural Electrification Act of 1936 (7 U.S.C. 930 et seq.) and interest rates on loans made under this section shall not exceed 5 percent. (2) INTEREST RATE. — The Secretary shall determine the interest rate to be charged on loans made under this section on the basis of— (A) ensuring that the cost to consumers for water and waste disposal services financed with loans provided under this section does not, to the extent possible, exceed rates charged in areas that are near the area served by the borrower; (B) the income and other characteristics of the individuals to be served through the provision of such loans; and

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