Page:United States Statutes at Large Volume 106 Part 3.djvu/390

 106 STAT. 2184 PUBLIC LAW 102-428—OCT. 21, 1992 under this Act in the same manner as other borrowers, except that— "(i) a borrower that has prepaid a loan, either before or after the date of enactment of this subsection, at a discount rate as provided by paragraph (3), shall not be eligible, except at the discretion of the Administrator, to apply for or receive direct or insured loans under this Act during the 120-month period beginning on the date of the prepayment; and "(ii) a borrower that prepaid a loan before the date of enactment of this subsection at a discount rate greater than that provided by paragraph (3), shall not be eligible— "(I) except at the discretion of the Administrator, to apply for or receive direct or insured loans described in clause (i) during the 180-month period beginning on the date of the prepayment; or "(11) to apply for or receive direct or insured loans described in clause (i) until the borrower has repaid to the Federal Government the sum of— "(aa) the amount (if any) by which the discount the borrower received by reason of the prepayment exceeds the discount the borrower would have received had the discount been based on the cost of funds to the Department of the Treasury at the time of the prepay- ment; and "(bb) interest on the amount described in item (aa), for the period beginning on the date of the prepayment and ending on the date of the repa3mient, at a rate equal to the average annual cost of borrowing by the Department of the Treasury. "(B) EFFECT ON EXISTING AGREEMENTS.— If a borrower and the Administrator have entered into an agreement with respect to a prepayment occurring before the date of enactment of this subsection, this paragraph shall supersede any provision in the agreement relating to the restoration of eligibility for loans under this Act. "(C) DISTRIBUTION BORROWERS.—A distribution borrower not in default on the repayment of loans made or insured under this Act shall be eligible for discounted prepayment as provided in this subsection. For the purpose of determining eligibility for discounted prepayment under this subsection or eligibility for assistance under this Act, a default by a borrower from which a distribution borrower purchases wholesale power shall not be considered a default by the distribution borrower. "(6) DEFINITIONS.—As used in this subsection: "(A) DIRECT LOAN.— The term 'direct loan' means a loan made under section 4. "(B) INSURED LOAN. — The term 'insured loan' means a loan made under section 305.".

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