Page:United States Statutes at Large Volume 89.djvu/936

 89 STAT. 876

PUBLIC LAW 94-163—DEC. 22, 1975 INCENTIVES TO DEVELOP UNDERGROUND COAL M I N E S

Loan guarantees. 42 USC 6211.

SEC. 102. (a) The Administrator may, in accordance with subsection (b) and rules prescribed under subsection (d), guarantee loans made to eligible persons described in subsection (c)(1) for the purpose of develojjing new underground coal mines. (b)(1) A person may receive for a loan guarantee under subsection (a) only if the Administrator determines that— (A) such person is capable of successfully developing and operating the mine with respect to which the loan guarantee is sought; (B) such person has provided adequate assurance that the mine will be constructed and operated in compliance with the provisions 30 USC 801 note. of the Federal Coal Mine Health and Safety Act and that no final judgment holding such person liable for any fine or penalty under such Act is unsatisfied; (C) there is a reasonable prospect of repayment of the guaranteed loan; (D) such person has obtained a contract, of at least the duration of the period during which the loan is required to be repaid, for the sale or resale of coal to be produced from such mine to a person who the Administrator of the Environmental Protection Agency certifies will be able to burn such coal in compliance with all 42 USC 1857 applicable requirements of the Clean A i r Act, and of any applinote. cable implementation plan (as defined in section 110 of such Act); 42 USC 1857C-5. (E) the loan will be adequately secured; (F) such person w'ould be unable to obtain adequate financing without such g u a r a n t e e; (G) the guaranteeing of a loan to such person will enhance competition or encourage new market entry; and (H) such person has adequate coal reserves to cover contractual commitments described in subparagraph (D). Limitation. (2) The total amount of guarantees issued to any person (including all persons affiliated with such person) may not exceed $30,000,000. The amount of a guarantee issued with respect to any loan may not exceed 80 percent of the lesser of (A) the principal balance of the loan or, (B) the cost of developing such new underground coal mine. (3) The aggregate outstanding principal amount of loans which are guaranteed under this section may not at any time exceed $750,000,000. Not more than 20 percent of the amount of guarantees issued under this section in any fiscal year may be issued with respect to loans for the purpose of opening new underground coal mines which produce coal which is not low sulfur coal. (c) For purposes of this section— (1) A person shall be considered eligible for a guarantee under this section if such person (together with all persons affiliated with such person) — (A) did not produce more than 1,000,000 tons of coal in the calendar year preceding the year in which he makes application for a loan guarantee under this section; (B) did not produce more than 300,000 barrels of crude oil or own an oil refinery in such preceding calendar year; and (C) did not have gross revenues in excess of $50,000,000 in such calendar year. (2) A person is affiliated with another person if he controls, is controlled by, or is under common control with such other person, as such term may be further defined by rule by the Administrator.

�