Page:United States Statutes at Large Volume 108 Part 3.djvu/423

 PUBLIC LAW 103-325—SEPT. 23, 1994 108 STAT. 2175 development financial institution has secured firm commitments for the matching funds required. (2) EXCEPTION. —In the case of an applicant with severe constraints on available sources of matching funds, the Fund may permit an applicant to comply with the matching requirements of paragraph (1) by— (A) reducing such matching requirement by 50 percent; or (B) permitting an applicant to provide matching funds in a form to be determined at the discretion of the Fund, if such applicant— (i) has total assets of less than $100,000; (ii) serves nonmetropolitan or rural areas; and (iii) is not requesting more than $25,000 in assistance. (3) LIMITATION. — Not more than 25 percent of the total ^ funds disbursed in any fiscal year by the Fund may be matched »^ as authorized under paragraph (2). (4) CONSTRUCTION OF "FEDERAL GOVERNMENT FUNDS".— For purposes of this subsection, notwithstanding section 105(a)(9) of the Housing and Community Development Act of 1974, funds provided pursuant to such Act shall be considered to be Federal Government funds. (f) TERMS AND CONDITIONS.— (1) SOUNDNESS OF UNREGULATED INSTITUTIONS. —The Fund shall— (A) ensure, to the maximum extent practicable, that each community development financial institution (other than an insured community development financial institution or depository institution holding company) assisted under this subtitle is financially and managerially sound and maintains appropriate internal controls; (B) require such institution to submit, not less than once during each 18-month period, a statement of financial condition audited by an independent certified public accountant as part of the report required by section 115(e)(1); and (C) require that all assistance granted under this section is used by the community development financial institution or community development partnership in a manner consistent with the purposes of this subtitle. (2) ASSISTANCE AGREEMENT. — (A) IN GENERAL. —Before providing any assistance under this subtitle, the Fund and each community development financial institution to be assisted shall enter into an agreement that requires the institution to comply with performance goals and abide by other terms and conditions pertinent to assistance received under this subtitle. (B) PERFORMANCE GOALS.— Performance goals shall be negotiated between the Fund and each community development financial institution receiving assistance based upon the strategic plan submitted pursuant to section 105(b)(2). Such goals may be modified with the consent of the parties, or as provided in subparagraph (C). Performance goals for insured community development financial institutions shall be determined in consultation with the appropriate Federal banking agency.

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