Page:United States Statutes at Large Volume 49 Part 1.djvu/1410

 74TH C ONGRESS. SESS. II. C H. 432. MAY 20, 1936. 13 65 Finance C orporatio n to the Administ rator sh all be pa id to the Reconstruction Finance Corporation in payment of such loans. SEC. 4. The Administrator is authorized and empowered, from the Loans for financing generating plants, dis- suins hereinbefore authorized, to make loans to persons, corporations, tribution lines, etc . Sta tes, Terri tories, an d subdivis ions and a gencies th ereof, mun icipali- ties, peoples utility districts and cooperative nonprofit, or limited- dividend associations organized under the laws of any State or Ter- ritory of the United States, for the purpose of financing the con- struction and operation of generating plants, electric transmission and distribution lines or systems for the furnishing of electric energy to persons in rural areas who arc not receiving central station serv- ice : Provided, however, That the Administrator, in making such Provisos. Preferential loans. loans, shall give preference to States, Territories, and subdivisions and agencies thereof, municipalities, peoples utility districts, and cooperative, nonprofit, or limited dividend associations, the projects of which comply with the requirements of this Act. Such loans shall be on such terms and conditions relating to the expenditure of the moneys loaned and the security therefor as the Administrator shall determine and may be made payable in whole or in part out of income : Provided, however, That all such loans shall be self- liq aaiing.o be self. liquidating wi thin a period of not to exceed twenty-five years, and sha ll bear in terest at a rate equ al to the average ra te of inte rest pay- Interest. able by the United States of America on its obligations, having a maturity of ten or more years after the dates thereof, issued during the last preceding fiscal year in which any such obligations were issued : Provided further, That no loan for the construction, operation, consent of state au° or enlargement of any generating plant shall be made unless the tho•tre_ consent of the State authority having jurisdiction in the premises is first obtained. Loans under this section and section 5 shall not be se cu rit re ; reparement. made unless th e Administrator finds and certifies that in his judg- ment the security therefor is reasonably adequate and such loan will be repaid within the time agreed. SEc. 5. The Administrator is authorized and empowered, from the Wring premises, in- sums hereinbefore authorized, to make loans for the purpose of finan- "telling appliances, etc . cing the wiring of the premises of persons in rural areas and the acquisition and installatio n of electrical and plumbing appliances and equipment. Such loans may be made to any of the borrowers Leans for ; terms, se- of funds loaned under the provisions of section 4, or to any person, curity, etc . firm, or corporation supplying or installing the said wiring, appli- ances, or equipment . Such loans shall be for such terms, subject to such conditions, and so secured as reasonably to assure repayment Interest . the reof, and shall be a t a rate o f interest equal to the averag e rate of interest payable by the United States of America on its obligations, having a. maturity of ten or more years after the dates thereof, issued during the last preceding f iscal year in which any such obligations were issued . SEC . 6 . For the purpose of administering this Act and for the Appropria tions au thor ized for adm inis. purpose of making the studies, investigations, publications, and trative, etc ., expenses. reports herein provided for, there is hereby authorized to be appro- Post, p.1604 , priated, out of any money in the Treasury not otherwise appro- priated, such sums as shall be necessary. SEC. 7 . The Administrator is authorized and empowered to bid for Acquisition of mort- gaged, etc ., propertre and purchase at any foreclosure or other sale, or otherwise to acquire, by Administrator, an- property pledged or mortgaged to secure any loan made pursuant to thorized. this Act ; to pay the purchase price and any costs and expenses incurred in connection therewith from the sums authorized in section 3 of this Act ; to a ccept titl e to any p roperty so purchased or acquir ed in the name of the United States of America ; to operate or lease operati on, etc ., of such property for such period as may be deemed necessary or acquired property.