Page:United States Statutes at Large Volume 122.djvu/1932

 12 2 STA T . 1 90 9 PUBLIC LA W 110 – 2 46—J U NE 1 8, 2008 ‘ ‘ (I)describ edi n sec t i o n 501 (c)( 3 )o f t h e Intern alR e v en u e C odeof1 986; and ‘‘(II) e x e mp t from taxation under section 501(a) of such Code; or ‘‘(ii) a S tate , local, or tribal g overnment submitting an application j ointl yw ith an organi z ation described in clause (i) . ‘‘( B ) NOPR O HIB I T IO N ON C O L L A BORATION. —A n organization described in subparagraph (A)(i) may collabo - rate with a financial institution or for-profit community development corporation to carry out the purposes of this section. ‘‘(b) P ILOT PRO G RA M .— ‘‘(1) IN G E NERAL.— T he Secretary shall establish a pilot program to be k nown as the ‘New F armer Individual D evelop- ment Accounts Pilot Program ’ under which the Secretary shall work through q ualified entities to establish demonstration pro- grams— ‘‘(A) of at least 5 years in duration; and ‘‘(B) in at least 15 States. ‘‘( 2 ) COOR D INATION.—The Secretary shall operate the pilot program through, and in coordination with the farm loan pro- grams of, the Farm Service Agency. ‘‘(3) RE S ER V E FU NDS.— ‘‘(A) IN GENERAL.—A qualified entity carrying out a demonstration program under this section shall establish a reserve fund consisting of a non-Federal match of 50 percent of the total amount of the grant awarded to the demonstration program under this section. ‘‘(B) FEDERAL FUNDS.—After the qualified entity has deposited the non-Federal matching funds described in subparagraph (A) in the reserve fund, the Secretary shall provide the total amount of the grant awarded under this section to the demonstration program for deposit in the reserve fund. ‘‘(C) U SE OF FUNDS.— O f the funds deposited under subparagraph (B) in the reserve fund established for a demonstration program, the qualified entity carrying out the demonstration program— ‘‘(i) may use up to 10 percent for administrative expenses; and ‘‘(ii) shall use the remainder in making matching awards described in paragraph ( 4 )(B)(ii)(I). ‘‘(D) INTEREST.—Any interest earned on amounts in a reserve fund established under subparagraph (A) may be used by the qualified entity as additional matching funds for, or to administer, the demonstration program. ‘‘( E ) G UIDANCE.—The Secretary shall issue guidance regarding the investment requirements of reserve funds established under this paragraph. ‘‘(F) REVERSION.—On the date on which all funds remaining in any individual development account estab- lished by a qualified entity have reverted under paragraph (5)(B)(ii) to the reserve fund established by the qualified entity, there shall revert to the Treasury of the United States a percentage of the amount (if any) in the reserve fund equal to—

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