Page:United States Statutes at Large Volume 124.djvu/2541

 124 STAT. 2515 PUBLIC LAW 111–240—SEPT. 27, 2010 ‘‘(C) AMOUNT.—An open-end extension of credit guaran- teed under this paragraph shall be in an amount not less than $500,000 and not more than $5,000,000. ‘‘(D) TERM.—An open-end extension of credit guaran- teed under this paragraph shall have a term of not more than 5 years. ‘‘(E) GUARANTEE PERCENTAGE.—The Administrator may guarantee— ‘‘(i) not less than 60 percent of an open-end exten- sion of credit under this paragraph; and ‘‘(ii) not more than 75 percent of an open-end extension of credit under this paragraph. ‘‘(F) ADVANCE RATE.—The lender for an open-end exten- sion of credit guaranteed under this paragraph may allow the borrower to draw funds on the line of credit in an amount equal to not more than 100 percent of the value of the eligible retail goods to be purchased.’’. (b) SUNSET.—E ffective September 30, 2013, section 7(a) of the Small Business Act (15 U.S.C. 636(a)) is amended— (1) by striking paragraph (34); and (2) by redesignating paragraph (35), as added by section 1206 of this Act, as paragraph (34). SEC. 1134. GUARANTEES FOR BONDS AND NOTES ISSUED FOR COMMU - NITY OR ECONOMIC DEVELOPMENT PURPOSES. The Riegle Community Development and Regulatory Improve- ment Act of 1994 (12 U.S.C. 4701 et seq.) is amended by inserting after section 114 (12 U.S.C. 4713) the following: ‘‘SEC. 114A. GUARANTEES FOR BONDS AND NOTES ISSUED FOR COMMUNITY OR ECONOMIC DEVELOPMENT PURPOSES. ‘‘(a) DEFINITIONS.—In this section, the following definitions shall apply: ‘‘(1) ELIGIBLE COMMUNITY DEVELOPMENT FINANCIAL INSTITUTION.—The term ‘eligible community development finan- cial institution’ means a community development financial institution (as described in section 1805.201 of title 12, Code of Federal Regulations, or any successor thereto) certified by the Secretary that has applied to a qualified issuer for, or been granted by a qualified issuer, a loan under the Program. ‘‘(2) ELIGIBLE COMMUNITY OR ECONOMIC DEVELOPMENT PUR- POSE.—The term ‘eligible community or economic development purpose’— ‘‘(A) means any purpose described in section 108(b); and ‘‘(B) includes the provision of community or economic development in low-income or underserved rural areas. ‘‘(3) GUARANTEE.—The term ‘guarantee’ means a written agreement between the Secretary and a qualified issuer (or trustee), pursuant to which the Secretary ensures repayment of the verifiable losses of principal, interest, and call premium, if any, on notes or bonds issued by a qualified issuer to finance or refinance loans to eligible community development financial institutions. ‘‘(4) LOAN.—The term ‘loan’ means any credit instrument that is extended under the Program for any eligible community or economic development purpose. ‘‘(5) MASTER SERVICER.— 12 USC 4713a. Effective date. 15 USC 636 note.