Page:United States Statutes at Large Volume 120.djvu/1638

 PUBLIC LAW 109–304—OCT. 6, 2006

120 STAT. 1607

‘‘(i) is a vessel or fishery facility for which an obligation was accelerated and paid; ‘‘(ii) was acquired by the Federal Ship Financing Fund or successor account under section 53717 of this title; or ‘‘(iii) was sold at foreclosure begun or intervened in by the Secretary. ‘‘(4) Financing any part of the repayment to the United States Government of any amount of a construction-differential subsidy paid for a vessel. ‘‘(5) Refinancing an existing obligation (regardless of whether guaranteed under this chapter) issued for a purpose described in paragraphs (1)–(4), including a short-term obligation incurred to obtain temporary funds with the intention of refinancing. ‘‘(6) Financing or refinancing (including reimbursement of an obligor for expenditures previously made for) the construction, reconstruction, reconditioning, or purchase of a fishery facility. ‘‘(7) Financing or refinancing (including reimbursement of an obligor for expenditures previously made for) the purchase of an individual fishing quota in accordance with section 303(d)(4) of the Magnuson-Stevens Fishery Conservation and Management Act (16 U.S.C. 1853(d)(4)). ‘‘(b) NON-VESSELS TREATED AS VESSELS.—An obligation guaranteed under subsection (a)(6) or (7) shall be treated, for purposes of this chapter, in the same manner and to the same extent as an obligation that aids in financing the construction, reconstruction, reconditioning, or purchase of a vessel, except with respect to provisions that by their nature can only be applied to vessels. ‘‘(c) PRIORITIES FOR CERTAIN VESSELS.—In guaranteeing or making a commitment to guarantee an obligation under this chapter, the Secretary shall give priority to— ‘‘(1) a vessel that is otherwise eligible for a guarantee and is constructed with assistance under subtitle D of the Maritime Security Act of 2003 (46 U.S.C. 53101 note); and ‘‘(2) after applying paragraph (1), a vessel that is otherwise eligible for a guarantee and that the Secretary of Defense determines— ‘‘(A) is suitable for service as a naval auxiliary in time of war or national emergency; and ‘‘(B) meets a shortfall in sealift capacity or capability. ‘‘§ 53707. Findings related to obligors and operators ‘‘(a) RESPONSIBLE OBLIGOR.—The Secretary may not guarantee or make a commitment to guarantee an obligation under this chapter unless the Secretary finds that the obligor is responsible and has the ability, experience, financial resources, and other qualifications necessary for the adequate operation and maintenance of each vessel that will serve as security for the guarantee. ‘‘(b) OPERATORS OF LINER VESSELS.—The Secretary of Transportation may not guarantee or make a commitment to guarantee a loan for the construction, reconstruction, or reconditioning of a liner vessel under this chapter unless the Chairman of the Federal Maritime Commission certifies that the operator of the vessel has not been found by the Commission to have committed, within the previous 5 years—

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