Page:United States Statutes at Large Volume 116 Part 1.djvu/387

 PUBLIC LAW 107-171—MAY 13, 2002 116 STAT. 361 "(ii) the applicant demonstrates to the Secretary that the primary benefit of the loan guarantee will be to provide employment for residents of a rural area; and "(iii) the total amount of business and industry loans guaranteed for a fiscal year under this paragraph does not exceed 10 percent of the business and industry loans guaranteed for the fiscal year under subsection (a)(1). "(B) PRINCIPAL AMOUNTS. — The principal amount of a business and industry loan guaranteed under this paragraph may not exceed $25,000,000. "(7) INTANGIBLE ASSETS. —In determining whether a cooperative organization is eligible for a guaranteed business and industry loan, the Secretary may consider the market value of a properly appraised brand name, patent, or trademark of the cooperative. " (8) LIMITATIONS ON LOAN GUARANTEES FOR COOPERATIVE ORGANIZATIONS. — "(A) PRINCIPAL AMOUNT.— "(i) IN GENERAL.— Subject to clause (ii), the principal amount of a business and industry loan made to a cooperative organization and guaranteed under this subsection shall not exceed $40,000,000. "(ii) USE. —To be eligible for a guarantee under this subsection for a business and industry loan made to a cooperative organization, the jprincipal amount of the any such loan in excess of $25,000,000 shall be used to carry out a project— "(I) in a rural area; and "(II) that provides for the value-added processing of agricultural commodities. "(B) APPLICATIONS.— If a cooperative organization submits an application for a guarantee under this subsection of a business and industry loan with a principal amount that is in excess of $25,000,000, the Secretary— "(i) shall review and, if appropriate, approve the application; and "(ii) may not delegate the approval authority. "(C) MAXIMUM AMOUNT.— The total amount of business and industry loans made to cooperative organizations and guaranteed for a fiscal year under this subsection with principal amounts that are in excess of $25,000,000 may not exceed 10 percent of the business and industry loans guaranteed for the fiscal year under subsection (a)(1).". SEC. 6018. USE OF RURAL DEVELOPMENT LOANS AND GRANTS FOR OTHER PURPOSES. Subtitle A of the Consolidated Farm and Rural Development Act (7 U.S.C. 1921 et seq.) (as amended by section 5006) is amended by adding at the end the following: "SEC. 310G. USE OF RURAL DEVELOPMENT LOANS AND GRANTS FOR 7 USC 1936a. OTHER PURPOSES. "If, after making a loan or a grant described in section 381E(d), the Secretary determines that the circumstances under which the loan or grant was made have sufficiently changed to make the project or activity for which the loan or grant was made available

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