Page:United States Statutes at Large Volume 116 Part 2.djvu/793

 PUBLIC LAW 107-248—OCT. 23, 2002 116 STAT. 1575 (1) PROHIBITION ON SUBORDINATION.—^A loan guaranteed under this section may not be subordinated to another debt contracted by the United States commercial provider concerned, or to any other claims against such provider. (2) RESTRICTION ON INCOME. —^A loan guaranteed under this section may not— (A) provide income which is excluded from gross income for purposes of chapter 1 of the Internal Revenue Code of 1986;or (B) provide significant collateral or security, as determined by the Secretary, for other obligations the income from which is so excluded. (3) TREATMENT OF GUARANTEE.—The guarantee of a loan under this section shall be conclusive evidence of the following: (A) That the guarantee has been properly obtained. (B) That the loan qualifies for the guarantee. (C) That, but for fraud or material misrepresentation by the holder of the loan, the guarantee is valid, legal, and enforceable. (4) OTHER TERMS AND CONDITIONS.— The Secretary may establish any other terms and conditions for a guarantee of a loan under this section, as the Secretary considers appropriate to protect the financial interests of the United States. (f) ENFORCEMENT OF RIGHTS.— (1) IN GENERAL.— The Attorney General may take any action the Attorney General considers appropriate to enforce any right accruing to the United States under a loan guarantee under this section. (2) FORBEARANCE. —The Attorney General may, with the approval of the parties concerned, forebear from enforcing any right of the United States under a loan guaranteed under this section for the benefit of a United States commercial provider if such forbearance will not result in any cost, as defined in section 502(5) of the Federal Credit Reform Act of 1990, to the United States. (3) UTILIZATION OF PROPERTY.— Notwithstanding any other provision of law and subject to the terms of a loan guaranteed under this section, upon the default of a United States commercial provider under the loan, the Secretary may, at the election of the Secretary— (A) assume control of the physical asset financed by the loan; and (B) complete, recondition, reconstruct, renovate, repair, maintain, operate, or sell the physical asset. (g) CREDIT INSTRUMENTS.— (1) AUTHORITY TO ISSUE INSTRUMENTS.— Notwithstanding any other provision of law, the Secretary may, subject to such terms and conditions as the Secretary considers appropriate, issue credit instruments to United States commercial providers of in-space transportation services or system, with the aggregate cost (as determined under the provisions of the Federal Credit Reform Act of 1990 (2 U.S.C. 661 et seq.)) of such instruments not to exceed $1,500,000,000, but only to the extent that new budget authority to cover such costs is provided in subsequent appropriations Acts or authority is otherwise provided in subsequent appropriations Acts.

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