Page:United States Statutes at Large Volume 124.djvu/2544

 124 STAT. 2518 PUBLIC LAW 111–240—SEPT. 27, 2010 ‘‘(A) prohibit, as appropriate, certain uses of amounts from the guarantee of a bond or note under the Program, including the use of such funds for political activities, lob- bying, outreach, counseling services, or travel expenses; and ‘‘(B) provide that the guarantee of a bond or note under the Program may not be used for salaries or other administrative costs of— ‘‘(i) the qualified issuer; or ‘‘(ii) any recipient of amounts from the guarantee of a bond or note. ‘‘(d) RISK-SHARE POOL.—Each qualified issuer shall, during the term of a guarantee provided under the Program, establish a risk- share pool, capitalized by contributions from eligible community development financial institution participants an amount equal to 3 percent of the guaranteed amount outstanding on the subject notes and bonds. ‘‘(e) GUARANTEES.— ‘‘(1) IN GENERAL.—A guarantee issued under the Program shall— ‘‘(A) be for the full amount of a bond or note, including the amount of principal, interest, and call premiums; ‘‘(B) be fully assignable and transferable to the capital market, on terms and conditions that are consistent with comparable Government-guaranteed bonds, and satisfac- tory to the Secretary; ‘‘(C) represent the full faith and credit of the United States; and ‘‘(D) not exceed 30 years. ‘‘(2) LIMITATIONS.— ‘‘(A) ANNUAL NUMBER OF GUARANTEES.—The Secretary shall issue not more than 10 guarantees in any calendar year under the Program. ‘‘(B) GUARANTEE AMOUNT.—The Secretary may not guarantee any amount under the Program equal to less than $100,000,000, but the total of all such guarantees in any fiscal year may not exceed $1,000,000,000. ‘‘(f) SERVICING OF TRANSACTIONS.— ‘‘(1) IN GENERAL.—To maximize efficiencies and minimize cost and interest rates, loans made under this section may be serviced by qualified Program administrators, bond servicers, and a master servicer. ‘‘(2) DUTIES OF PROGRAM ADMINISTRATOR.—The duties of a Program administrator shall include— ‘‘(A) approving and qualifying eligible community development financial institution applications for participa- tion in the Program; ‘‘(B) compliance monitoring; ‘‘(C) bond packaging in connection with the Program; and ‘‘(D) all other duties and related services that are cus- tomarily expected of a Program administrator. ‘‘(3) DUTIES OF SERVICER.—The duties of a servicer shall include— ‘‘(A) billing and collecting loan payments; ‘‘(B) initiating collection activities on past-due loans;