Page:United States Statutes at Large Volume 88 Part 1.djvu/691

 88

STAT.]

PUBLIC LAW 93-383-AUG. 22, 1974

of the basic grant entitlement, and for the application of such provisions in the further distribution of funds under this title. I n making this report, the Secretary shall conduct a study to determine how funds authorized under this title can be distributed in accordance with community development needs, objectives, and capacities, measured to the maximum extent feasible by objective standards. DISCRETIONARY

647 study.

FUND

SEC. 107. (a) Of the total amount of authority to enter into con- ^2 USC 5307. tracts approved in appropriation Acts under section 103(a)(1) for each of the fiscal years 1975, 1976, and 1977, an amount equal to 2 per centum thereof shall be reserved and set aside in a special discretionary fund for use by the Secretary in making grants (in addition to any other grants which may be made under this title to the same entities or for the same purposes) — (1) in behalf of new communities assisted under title VII of the Housing and Urban Development Act of 1970 or title IV of " ^ use 4501 ^ the Housing and Urban Development Act of 1968; "°42 USC 3901 (2) to States and units of general local government which join note. in carrying out housing and community development programs that are area wide in scope; (3) in Guam, the Virgin Islands, American Samoa, and the Trust Territory of the Pacific Islands; (4) to States and units of general local government for the purpose of demonstrating innovative community development projects; (5) to States and units of general local government for the purpose of meeting emergency community development needs caused by federally recognized disasters; and (6) to States and units of general local government where the Secretary deems it necessary to correct inequities resulting from the allocation provisions of section 106. (b) Not more than one-fourth of the total amount reserved and set aside in the special discretionary fund under subsection (a) for each year may be used for grants to meet emergency disaster needs under subsection (a)(5). (c) Amounts reserved and set aside in the special discretionary fund under subsection (a) in any fiscal year but not used in such year shall remain available for use in accordance with subsections (a) and (b) in subsequent fiscal years. GUARANTEE OF LOANS FOR ACQUISITION OF PROPERTY

SEC. 108. (a) The Secretary is authorized, upon such terms and conditions as he may prescribe, to guarantee and make commitments to guarantee the notes or other obligations issued by units of general local government, or by public agencies designated by such units of general local government, for the purpose of financing the acquisition or assembly of real property (including such expenses related thereto as the Secretary may permit by regulation) to serve or be used in carrying out activities which are eligible for assistance under section 105 and are identified in the application under section 104, and with respect to which grants have been or are to be made under section 103, but no such guarantee shall be issued in behalf of any agency designed to benefit, in or by the flotation of any issue, a private individual or corporation. (b) No guarantee or commitment to guarantee shall be made with

42 USC 5308.

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