Page:United States Statutes at Large Volume 70.djvu/1136

 1080

PUBLIC LAW 1016-AUG. 7, 1956

[70 S T A T.

(c) Any Federal Reserve bank, when designated by the Administrator, is hereby authorized to act, on behalf of the Administrator, as fiscal agent of the United States in guaranteeing loans under this section and in otherwise taking action in connection with such guarantees. Such funds as may be necessary to enable such bank to carry out any such guarantee shall be supplied and disbursed by or under authority of the Administrator from the Disaster Loan Fund. Such bank shall not have any responsibility or accountability except as agent in taking any action in connection with such guarantees. Each such bank shall be reimbursed by the Administrator, from funds appropriated by the Federal Government, for all expenses incurred by the bank in acting as agent on behalf of the Administrator, including among such expenses, notwithstanding any other provision of law, attorneys' fees and expenses of litigation. (d) Actions and operations of such banks under authority of subsection (c) of this section shall be subject to the supervision of the Administrator and subject to such regulations as he may prescribe. The Administrator is authorized to prescribe the term and incidental charges for loans guaranteed under subsection (c) of this section. The Administrator is further authorized to prescribe regulations with respect to the forms and procedures (which shall be uniform to the maximum extent practicable) to be utilized in connection with such guarantees. (e) To the maximum extent practicable, loans under this section shall be on a long-term basis in accordance with regulations prescribed by the Administrator, if so requested by the person obtaining the loan. (f) Loans under this section shall be made only with respect to amounts exceeding the first $500 of the amount of the loss. (g) The face amount of all loan contracts outstanding under this section at any one time shall not exceed $2,000,000,000; but such amount may be increased, with the approval of the President, by not to exceed $500,000,000 in any one fiscal year. (h) The provisions of sections 8, 9, 10 (a), 10 (b), 12 (b), 12 (c), 13, 14, 15 (e), 15 (g), 17 (a), 18, 19, 20, 22, and 23 of this Act shall be applicable with respect to the loan contract program under this section. C O M B I N A T I O N OF INSURANCE AND LOANS

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SEC. 6. The Administrator is authorized to establish, under such regulations as he may prescribe, a program combining insurance and loans in order to provide the greatest variety and amount of protection against loss to the greatest number of alfected parties in accordance with individual needs. ESTIMATED RATES AND FEES

SEC. 7. (a) The Administrator shall from time to time establish a schedule of "estimated rates" for insurance offered under the provisions of this Act, which would be adequate, in his judgment, to produce sufficient proceeds to pay all claims for prcb.ible losses over a reasonable period of years. Such "estimated rates" shall be used as a basis for determining the fees to be paid by the persons insured. They shall be based on consideration of the risks involved and shall be uniform for similar risks within a given classification of property. They shall not include any loading for administrative expenses of the Federal Government under this Act. The iVdministrator shall establish a schedule of fees to provide insurance protection at reasonable costs designed to achieve marketability: Provided, That no insurance policy shall be issued for a fee less than CO per centum of such "estimated rate". The Administrator is authorized to establish

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