Page:United States Statutes at Large Volume 120.djvu/1652

 PUBLIC LAW 109–304—OCT. 6, 2006

120 STAT. 1621

obligor is obligated to secure financing under the agreement between the obligor and the Department of Energy or other Federal agency. ‘‘(f) OTEC DEMONSTRATION FUND.— ‘‘(1) IN GENERAL.—There is a special subaccount, known as the OTEC Demonstration Fund, in the account established under section 53717(b)(1) of this title. ‘‘(2) USE AND OPERATION.—The OTEC Demonstration Fund shall be used for obligation guarantees authorized under this section that do not qualify under subchapter I of this chapter. Except as otherwise provided in this section, the OTEC Demonstration Fund shall be operated in the same manner as the parent account. However— ‘‘(A) amounts received by the Secretary under subchapter I of this chapter related to guarantees or commitments to guarantee made under this section shall be deposited only in the OTEC Demonstration Fund; and ‘‘(B) when obligations issued by the Secretary under section 53723 of this title related to the OTEC Demonstration Fund are outstanding, any amount received by the Secretary under subchapter I of this chapter related to ocean thermal energy conversion facilities or plantships shall be deposited in the OTEC Demonstration Fund. ‘‘(3) TRANSFERS.—Assets in the OTEC Demonstration Fund may be transferred to the parent account when and to the extent the balance in the OTEC Demonstration Fund exceeds the total guarantees or commitments to guarantee made under this section then outstanding, plus obligations issued by the Secretary under section 53723 of this title related to the OTEC Demonstration Fund. ‘‘(4) LIABILITY.—The parent account is not liable for a guarantee or commitment to guarantee made under this section. ‘‘(5) MAXIMUM UNPAID PRINCIPAL AMOUNT.—The total unpaid principal amount of the obligations guaranteed with the backing of the OTEC Demonstration Fund and outstanding at any one time may not exceed $1,650,000,000. ‘‘(g) ISSUANCE AND PAYMENT OF OBLIGATIONS.—Section 53723 of this title applies to the OTEC Demonstration Fund. However, obligations issued by the Secretary under that section related to the OTEC Demonstration Fund shall be payable only from proceeds realized by the OTEC Demonstration Fund. ‘‘(h) TAXATION OF INTEREST.—Interest on an obligation guaranteed under this section shall be included in gross income under chapter 1 of the Internal Revenue Code of 1986 (26 U.S.C. ch. 1). ‘‘§ 53732. Eligible export vessels ‘‘(a) APPLICABLE TERMS.—The Secretary may guarantee an obligation for an eligible export vessel in accordance with— ‘‘(1) the terms applicable under this chapter for vessels documented under the laws of the United States; or ‘‘(2) other terms the Secretary determines are more favorable than those terms and compatible with export credit terms offered by foreign governments for the sale of vessels built in foreign shipyards. ‘‘(b) INTERAGENCY COUNCIL.—

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