-CITE-

25 USC CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF

INDIANS AND INDIAN

ORGANIZATIONS 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

-HEAD-

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

-MISC1-

GENERAL PROVISIONS

Sec.

1451. Congressional declaration of policy.

1452. Definitions.

1453. Assistance or activities of other Federal agencies

unaffected.

SUBCHAPTER I - INDIAN REVOLVING LOAN FUND

1461. Administration as single Indian Revolving Loan Fund

sums from diverse sources; availability of fund for

loans to Indians and for administrative expenses.

1462. Economic development; educational loans; limitation of

loans to or investments in non-Indian organizations.

1463. Repayment of loan; financing from other sources.

1464. Maturity of loans; interest rate; interest deferral on

educational loans.

1465. Modification of amount of loan and document securing

loan in collection of loan or in best interests of

the United States.

1466. Land and personal property title.

1467. Security for loan; assignment of securities;

reasonable assurance of repayment.

1468. Authorization of appropriations.

1469. Rules and regulations.

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

1481. Statement of purpose.

1482. Premium charges; deposits in Indian Loan Guaranty and

Insurance Fund.

1483. Interest rate.

1484. Application for loan; approval by Secretary; issuance

of certificate; limitations on amount of loans to

individual Indians or economic enterprises; review by

Secretary.

1485. Sale or assignment of loans and underlying security.

(a) In general.

(b) Initial transfers.

(c) Secondary transfers.

(d) Full faith and credit.

(e) Damages.

(f) Fees.

(g) Central registration of loans.

(h) Pooling of loans.

(i) Regulations.

1486. Loans ineligible for guaranty or insurance.

1487. Loans eligible for insurance.

1488. Lenders authorized to make loans; decrease or increase

of liability under the guaranty.

1489. Loans made by certain financial institutions without

regard to limitations and restrictions of other

Federal statutes with respect to certain particulars.

1490. Maturity of loans.

1491. Defaults; written notification; pro rata payments;

subrogation and assignment rights of Secretary;

cancellation of uncollectable portion of obligations;

forbearance for benefit of borrower; interest or

charges cessation date.

1492. Claims for losses; submission to Secretary;

reimbursement: single and aggregate loss limitations,

conditions; assignment of note or judgment;

collection or cancellation by Secretary; interest or

charges cessation date.

1493. Loan refusal; conditions; prohibition against

acquisition of additional loans; payment of claims on

loans made in good faith.

1494. Evidence of eligibility of loan for and amount of

guaranty or insurance; defenses and partial defenses

against original lender.

1495. Land and personal property titles.

1496. Powers of Secretary; finality of financial

transactions and property acquisitions, management,

and dispositions.

1497. Indian Loan Guaranty and Insurance Fund.

(a) Establishment of revolving fund.

(b) Aggregate loans or surety bonds limitation.

(c) Assets, liabilities, and obligations of fund;

loan and surety bond servicing and purchasing

agreements: terms and conditions.

(d) Utilization of fund for diverse payments.

(e) Authorization of appropriations.

1497a. Supplemental surety bond guarantee.

(a) Amount; eligibility.

(b) Conditions.

(c) Fees and charges.

1498. Rules and regulations.

1499. Limitation on guarantee of debt issues; approval of

bond issue sale.

SUBCHAPTER III - INTEREST SUBSIDIES AND ADMINISTRATIVE EXPENSES

1511. Interest subsidies; rules and regulations.

1512. Authorization of appropriations for interest payments.

SUBCHAPTER IV - INDIAN BUSINESS GRANTS

1521. Indian Business Development Program; establishment;

statement of purpose.

1522. Conditions.

(a) Limitation of amount.

(b) Financing from other sources; inability to

obtain funds; applicant's financial resources.

(c) Percentage requirement.

1523. Authorization of appropriations.

1524. Rules and regulations.

SUBCHAPTER V - MISCELLANEOUS PROVISIONS

1541. Competent management and technical assistance for

economic enterprises.

1542. Agency cooperation; private contracts for management

services and technical assistance.

1543. Funds limitation for private contracts.

1544. Additional compensation to contractors of Federal

agency.

-End-

-CITE-

25 USC GENERAL PROVISIONS 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

GENERAL PROVISIONS

-HEAD-

GENERAL PROVISIONS

-End-

-CITE-

25 USC Sec. 1451 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

GENERAL PROVISIONS

-HEAD-

Sec. 1451. Congressional declaration of policy

-STATUTE-

It is hereby declared to be the policy of Congress to provide

capital on a reimbursable basis to help develop and utilize Indian

resources, both physical and human, to a point where the Indians

will fully exercise responsibility for the utilization and

management of their own resources and where they will enjoy a

standard of living from their own productive efforts comparable to

that enjoyed by non-Indians in neighboring communities.

-SOURCE-

(Pub. L. 93-262, Sec. 2, Apr. 12, 1974, 88 Stat. 77.)

-MISC1-

SHORT TITLE OF 2002 AMENDMENT

Pub. L. 107-331, title I, Sec. 101, Dec. 13, 2002, 116 Stat.

2835, provided that: "This Act [enacting subchapter XIII of chapter

19 of this title, amending sections 415, 1484, and 1485 of this

title, and enacting provisions set out as notes under sections 415

and 1485 of this title] may be cited as the 'Indian Financing

Amendments Act of 2002'."

SHORT TITLE OF 1984 AMENDMENT

Pub. L. 98-449, Sec. 1, Oct. 4, 1984, 98 Stat. 1725, provided:

"That this Act [enacting section 47a of this title and amending

sections 1461, 1465, 1481, 1484, 1491, 1497, 1512, 1522, 1523,

1541, and 1543 of this title] may be cited as the 'Indian Financing

Act Amendments of 1984'."

SHORT TITLE

Section 1 of Pub. L. 93-262 provided: "That this Act [enacting

this chapter] may be cited as the 'Indian Financing Act of 1974'."

-End-

-CITE-

25 USC Sec. 1452 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

GENERAL PROVISIONS

-HEAD-

Sec. 1452. Definitions

-STATUTE-

For the purpose of this chapter, the term -

(a) "Secretary" means the Secretary of the Interior.

(b) "Indian" means any person who is a member of any Indian

tribe, band, group, pueblo, or community which is recognized by the

Federal Government as eligible for services from the Bureau of

Indian Affairs and any "Native" as defined in the Alaska Native

Claims Settlement Act [43 U.S.C. 1601 et seq.].

(c) "Tribe" means any Indian tribe, band, group, pueblo, or

community, including Native villages and Native groups (including

corporations organized by Kenai, Juneau, Sitka, and Kodiak) as

defined in the Alaska Native Claims Settlement Act [43 U.S.C. 1601

et seq.], which is recognized by the Federal Government as eligible

for services from the Bureau of Indian Affairs.

(d) "Reservation" includes Indian reservations, public domain

Indian allotments, former Indian reservations in Oklahoma, and land

held by incorporated Native groups, regional corporations, and

village corporations under the provisions of the Alaska Native

Claims Settlement Act [43 U.S.C. 1601 et seq.].

(e) "Economic enterprise" means any Indian-owned (as defined by

the Secretary of the Interior) commercial, industrial, or business

activity established or organized for the purpose of profit:

Provided, That such Indian ownership shall constitute not less than

51 per centum of the enterprise.

(f) "Organization", unless otherwise specified, shall be the

governing body of any Indian tribe, as defined in subsection (c) of

this section, or entity established or recognized by such governing

body for the purpose of this chapter.

(g) "Other organizations" means any non-Indian individual, firm,

corporation, partnership, or association.

(h) "Surety" has the same meaning as in section 694a of title 15.

(i) "Surety Bond" means a bid bond, payment bond, or performance

bond as those terms are defined in section 694a of title 15.

-SOURCE-

(Pub. L. 93-262, Sec. 3, Apr. 12, 1974, 88 Stat. 77; Pub. L.

100-442, Sec. 5(b), Sept. 22, 1988, 102 Stat. 1764.)

-REFTEXT-

REFERENCES IN TEXT

The Alaska Native Claims Settlement Act, referred to in pars. (b)

to (d), is Pub. L. 92-203, Dec. 18, 1971, 85 Stat. 688, as amended,

which is classified generally to chapter 33 (Sec. 1601 et seq.) of

Title 43, Public Lands. For complete classification of this Act to

the Code, see Short Title note set out under section 1601 of Title

43 and Tables.

-MISC1-

AMENDMENTS

1988 - Pars. (h), (i). Pub. L. 100-442 added pars. (h) and (i).

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 450e, 450f, 1484, 2902,

3653, 4302 of this title; title 7 section 1471; title 10 section

2411; title 12 sections 1787, 1821; title 22 section 2124c; title

26 section 168; title 31 section 7102; title 40 section 525; title

42 section 11332; title 43 section 1626.

-End-

-CITE-

25 USC Sec. 1453 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

GENERAL PROVISIONS

-HEAD-

Sec. 1453. Assistance or activities of other Federal agencies

unaffected

-STATUTE-

No provision of this chapter or any other Act shall be construed

to terminate or otherwise curtail the assistance or activities of

the Small Business Administration or any other Federal agency with

respect to any Indian tribe, organization, or individual because of

their eligibility for assistance under this chapter.

-SOURCE-

(Pub. L. 93-262, Sec. 4, Apr. 12, 1974, 88 Stat. 77.)

-End-

-CITE-

25 USC SUBCHAPTER I - INDIAN REVOLVING LOAN FUND 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER I - INDIAN REVOLVING LOAN FUND

-HEAD-

SUBCHAPTER I - INDIAN REVOLVING LOAN FUND

-SECREF-

SUBCHAPTER REFERRED TO IN OTHER SECTIONS

This subchapter is referred to in section 1541 of this title.

-End-

-CITE-

25 USC Sec. 1461 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER I - INDIAN REVOLVING LOAN FUND

-HEAD-

Sec. 1461. Administration as single Indian Revolving Loan Fund sums

from diverse sources; availability of fund for loans to Indians

and for administrative expenses

-STATUTE-

In order to provide credit that is not available from private

money markets, or to supplement funds from private lenders,

including loans guaranteed by the Secretary pursuant to section

1481 of this title, all funds that are now or hereafter a part of

the revolving fund authorized by the Act of June 18, 1934 (48 Stat.

986) [25 U.S.C. 461 et seq.], the Act of June 26, 1936 (49 Stat.

1967) [25 U.S.C. 501 et seq.], and the Act of April 19, 1950 (64

Stat. 44) [25 U.S.C. 631 et seq.], as amended and supplemented,

including sums received in settlement of debts of livestock

pursuant to sections 442 and 443 of this title, and sums collected

in repayment of loans heretofore or hereafter made, and as interest

or other charges on loans, shall hereafter be administered as a

single Indian Revolving Loan Fund. The fund shall be available for

loans to Indians having a form of organization that is satisfactory

to the Secretary and for loans to individual Indians: Provided,

That, where the Secretary determines a rejection of a loan

application from a member of an organization making loans to its

membership from moneys borrowed from the fund is unwarranted, he

may, in his discretion, make a direct loan to such individual from

the fund. The fund shall also be available for administrative

expenses incurred in connection therewith, or, in the discretion of

the Secretary of the Interior, as a contribution to the Indian Loan

Guaranty and Insurance Fund authorized by section 1497 of this

title, or for the payment of interest subsidies authorized by

section 1511 of this title.

-SOURCE-

(Pub. L. 93-262, title I, Sec. 101, Apr. 12, 1974, 88 Stat. 78;

Pub. L. 98-449, Sec. 2, Oct. 4, 1984, 98 Stat. 1725; Pub. L.

101-644, title III, Sec. 303(a), Nov. 29, 1990, 104 Stat. 4667.)

-REFTEXT-

REFERENCES IN TEXT

Act of June 18, 1934, referred to in text, popularly known as the

Indian Reorganization Act, is classified generally to subchapter V

(Sec. 461 et seq.) of chapter 14 of this title. Provisions of the

act establishing the revolving fund are set out in section 470 of

this title. For complete classification of this Act to the Code,

see Short Title note set out under section 461 of this title and

Tables.

Act of June 26, 1936, referred to in text, popularly known as the

Oklahoma Welfare Act, is classified generally to subchapter VIII

(Sec. 501 et seq.) of chapter 14 of this title. Provisions of the

act relating to the revolving fund appear in section 506 of this

title. For complete classification of this Act to the Code, see

Short Title note set out under section 501 of this title and

Tables.

Act of April 19, 1950, referred to in text, is classified

generally to subchapter XXI (Sec. 631 et seq.) of chapter 14 of

this title. Provisions of the act relating to the revolving fund

appear in section 634 of this title. For complete classification of

this Act to the Code, see Tables.

-MISC1-

AMENDMENTS

1990 - Pub. L. 101-644 substituted "money markets, or to

supplement funds from private lenders, including loans guaranteed

by the Secretary pursuant to section 1481 of this title," for

"money markets," in first sentence and inserted before period at

end of third sentence ", or, in the discretion of the Secretary of

the Interior, as a contribution to the Indian Loan Guaranty and

Insurance Fund authorized by section 1497 of this title, or for the

payment of interest subsidies authorized by section 1511 of this

title".

1984 - Pub. L. 98-449 which directed that "which are not members

of or eligible for membership in an organization which is making

loans to its members" be struck out was executed by striking out

"who are not members of or eligible for membership in an

organization which is making loans to its members" before proviso.

-End-

-CITE-

25 USC Sec. 1462 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER I - INDIAN REVOLVING LOAN FUND

-HEAD-

Sec. 1462. Economic development; educational loans; limitation of

loans to or investments in non-Indian organizations

-STATUTE-

Loans may be made for any purpose which will promote the economic

development of (a) the individual Indian borrower, including loans

for educational purposes, and (b) the Indian organization and its

members including loans by such organizations to other

organizations and investments in other organizations regardless of

whether they are organizations of Indians: Provided, That not more

than 50 per centum of loan made to an organization shall be used by

such organization for the purpose of making loans to or investments

in non-Indian organizations.

-SOURCE-

(Pub. L. 93-262, title I, Sec. 102, Apr. 12, 1974, 88 Stat. 78.)

-End-

-CITE-

25 USC Sec. 1463 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER I - INDIAN REVOLVING LOAN FUND

-HEAD-

Sec. 1463. Repayment of loan; financing from other sources

-STATUTE-

Loans may be made only when, in the judgment of the Secretary,

there is a reasonable prospect of repayment, and only to applicants

who in the opinion of the Secretary are unable to obtain financing

from other sources on reasonable terms and conditions.

-SOURCE-

(Pub. L. 93-262, title I, Sec. 103, Apr. 12, 1974, 88 Stat. 78.)

-End-

-CITE-

25 USC Sec. 1464 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER I - INDIAN REVOLVING LOAN FUND

-HEAD-

Sec. 1464. Maturity of loans; interest rate; interest deferral on

educational loans

-STATUTE-

Loans shall be for terms that do not exceed thirty years and

shall bear interest at (a) a rate determined by the Secretary of

the Treasury taking into consideration the market yield on

municipal bonds: Provided, That in no event shall the rate be

greater than the rate determined by the Secretary of the Treasury

taking into consideration the current average yield on outstanding

marketable obligations of the United States of comparable maturity,

plus (b) such additional charge, if any, toward covering other

costs of the program as the Secretary may determine to be

consistent with its purpose: Provided, That educational loans may

provide for interest to be deferred while the borrower is in school

or in the military service.

-SOURCE-

(Pub. L. 93-262, title I, Sec. 104, Apr. 12, 1974, 88 Stat. 78.)

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1511 of this title.

-End-

-CITE-

25 USC Sec. 1465 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER I - INDIAN REVOLVING LOAN FUND

-HEAD-

Sec. 1465. Modification of amount of loan and document securing

loan in collection of loan or in best interests of the United

States

-STATUTE-

The Secretary may cancel, adjust, compromise, or reduce the

amount of any loan or any portion thereof heretofore or hereafter

made from the revolving loan fund established by this subchapter

and its predecessor constituent funds which he determines to be

uncollectable in whole or in part, or which is collectable only at

an unreasonable cost, or when such action would, in his judgment,

be in the best interests of the United States. He may also adjust,

compromise, subordinate, or modify the terms of any mortgage,

lease, assignment, contract, agreement, or other document taken to

secure such loans.

-SOURCE-

(Pub. L. 93-262, title I, Sec. 105, Apr. 12, 1974, 88 Stat. 78;

Pub. L. 98-449, Sec. 3, Oct. 4, 1984, 98 Stat. 1725.)

-MISC1-

AMENDMENTS

1984 - Pub. L. 98-449 struck out proviso at end of first sentence

which provided that proceedings pursuant to this section would be

effective only after following the procedure set out in section

386a of this title.

-End-

-CITE-

25 USC Sec. 1466 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER I - INDIAN REVOLVING LOAN FUND

-HEAD-

Sec. 1466. Land and personal property title

-STATUTE-

Title to any land purchased by a tribe or by an individual Indian

with loans made from the revolving loan fund may be taken in trust

unless the land is located outside the boundaries of a reservation

or a tribal consolidation area approved by the Secretary. Title to

any land purchased by a tribe or an individual Indian which is

outside the boundaries of the reservation or approved consolidation

area may be taken in trust if the purchaser was the owner of trust

or restricted interests in the land before the purchase, otherwise

title shall be taken in the name of the purchasers without any

restriction on alienation, control, or use. Title to any personal

property purchased with a loan from the revolving loan fund shall

be taken in the name of the purchaser.

-SOURCE-

(Pub. L. 93-262, title I, Sec. 106, Apr. 12, 1974, 88 Stat. 78.)

-End-

-CITE-

25 USC Sec. 1467 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER I - INDIAN REVOLVING LOAN FUND

-HEAD-

Sec. 1467. Security for loan; assignment of securities; reasonable

assurance of repayment

-STATUTE-

Any organization receiving a loan from the revolving loan fund

shall be required to assign to the United States as security for

the loan all securities acquired in connection with the loans made

to its members from such funds unless the Secretary determines that

the repayment of the loan to the United States is otherwise

reasonably assured.

-SOURCE-

(Pub. L. 93-262, title I, Sec. 107, Apr. 12, 1974, 88 Stat. 79.)

-End-

-CITE-

25 USC Sec. 1468 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER I - INDIAN REVOLVING LOAN FUND

-HEAD-

Sec. 1468. Authorization of appropriations

-STATUTE-

There is authorized to be appropriated, to provide capital and to

restore any impairment of capital for the revolving loan fund

$50,000,000 exclusive of prior authorizations and appropriations.

-SOURCE-

(Pub. L. 93-262, title I, Sec. 108, Apr. 12, 1974, 88 Stat. 79.)

-End-

-CITE-

25 USC Sec. 1469 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER I - INDIAN REVOLVING LOAN FUND

-HEAD-

Sec. 1469. Rules and regulations

-STATUTE-

The Secretary shall promulgate rules and regulations to carry out

the provisions of this subchapter.

-SOURCE-

(Pub. L. 93-262, title I, Sec. 109, Apr. 12, 1974, 88 Stat. 79.)

-End-

-CITE-

25 USC SUBCHAPTER II - LOAN GUARANTY AND INSURANCE 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-SECREF-

SUBCHAPTER REFERRED TO IN OTHER SECTIONS

This subchapter is referred to in sections 1511, 1541 of this

title.

-End-

-CITE-

25 USC Sec. 1481 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1481. Statement of purpose

-STATUTE-

In order to provide access to private money sources which

otherwise would not be available, the Secretary is authorized (a)

to guarantee not to exceed 90 per centum of the unpaid principal

and interest due on any loan made to any organization of Indians

having a form or organization satisfactory to the Secretary, and to

individual Indians; and (b) in lieu of such guaranty, to insure

loans under an agreement approved by the Secretary whereby the

lender will be reimbursed for losses in an amount not to exceed 15

per centum of the aggregate of such loans made by it, but not to

exceed 90 per centum of the loss on any one loan.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 201, Apr. 12, 1974, 88 Stat. 79;

Pub. L. 98-449, Sec. 4, Oct. 4, 1984, 98 Stat. 1725.)

-MISC1-

AMENDMENTS

1984 - Pub. L. 98-449 struck out "who are not members of or

eligible for membership in an organization which is making loans to

its members" before "; and (b)".

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1461 of this title.

-End-

-CITE-

25 USC Sec. 1482 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1482. Premium charges; deposits in Indian Loan Guaranty and

Insurance Fund

-STATUTE-

The Secretary shall fix such premium charges for the insurance

and guarantee of loans as are in his judgment adequate to cover

expenses and probable losses, and deposit receipts from such

charges in the Indian Loan Guaranty and Insurance Fund established

pursuant to section 1497(a) of this title.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 202, Apr. 12, 1974, 88 Stat. 79.)

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1499 of this title.

-End-

-CITE-

25 USC Sec. 1483 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1483. Interest rate

-STATUTE-

Loans guaranteed or insured pursuant to this subchapter shall

bear interest (exclusive of premium charges for insurance, and

service charge, if any) at rates not to exceed such per centum per

annum on the principal obligation outstanding as the Secretary

determines to be reasonable taking into consideration the range of

interest rates prevailing in the private market for similar loans

and the risks assumed by the United States.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 203, Apr. 12, 1974, 88 Stat. 79.)

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1499 of this title.

-End-

-CITE-

25 USC Sec. 1484 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1484. Application for loan; approval by Secretary; issuance of

certificate; limitations on amount of loans to individual Indians

or economic enterprises; review by Secretary

-STATUTE-

The application for a loan to be guaranteed hereunder shall be

submitted to the Secretary for approval. The Secretary may review

each loan application individually and independently from the

lender. Upon approval, the Secretary shall issue a certificate as

evidence of the guaranty. Such certificate shall be issued only

when, in the judgment of the Secretary, there is a reasonable

prospect of repayment. No loan to an individual Indian may be

guaranteed or insured which would cause the total unpaid principal

indebtedness to exceed $500,000. No loan to an economic enterprise

(as defined in section 1452 of this title) in excess of $250,000,

or such lower amount as the Secretary may determine to be

appropriate, shall be insured unless prior approval of the loan is

obtained from the Secretary.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 204, Apr. 12, 1974, 88 Stat. 79;

Pub. L. 98-449, Sec. 5, Oct. 4, 1984, 98 Stat. 1725; Pub. L.

100-442, Sec. 1, Sept. 22, 1988, 102 Stat. 1763; Pub. L. 101-644,

title III, Sec. 303(b), Nov. 29, 1990, 104 Stat. 4668; Pub. L.

107-331, title I, Sec. 103(a), Dec. 13, 2002, 116 Stat. 2836.)

-MISC1-

AMENDMENTS

2002 - Pub. L. 107-331 substituted "$250,000" for "$100,000".

1990 - Pub. L. 101-644 struck out "prior" before "approval" in

first sentence and substituted "may review" for "shall review" in

second sentence.

1988 - Pub. L. 100-442 substituted "$500,000" for "$350,000".

1984 - Pub. L. 98-449 substituted "$350,000" for "$100,000", and

inserted after first sentence "The Secretary shall review each loan

application individually and independently from the lender."

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1499 of this title.

-End-

-CITE-

25 USC Sec. 1485 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1485. Sale or assignment of loans and underlying security

-STATUTE-

(a) In general

Any loan guaranteed or insured under this subchapter, including

the security given for such loan, may be sold or assigned by the

lender to any person.

(b) Initial transfers

(1) In general

The lender of a loan guaranteed or insured under this

subchapter may transfer to any individual or legal entity -

(A) all rights and obligations of the lender in the loan or

in the unguaranteed or uninsured portion of the loan; and

(B) any security given for the loan.

(2) Additional requirements

With respect to a transfer described in paragraph (1) -

(A) the transfer shall be consistent with such regulations as

the Secretary shall promulgate under subsection (i) of this

section; and

(B) the lender shall give notice of the transfer to the

Secretary.

(3) Responsibilities of transferee

On any transfer under paragraph (1), the transferee shall -

(A) be deemed to be the lender for the purpose of this

subchapter;

(B) become the secured party of record; and

(C) be responsible for -

(i) performing the duties of the lender; and

(ii) servicing the loan in accordance with the terms of the

guarantee by the Secretary of the loan.

(c) Secondary transfers

(1) In general

Any transferee under subsection (b) of this section of a loan

guaranteed or insured under this subchapter may transfer to any

individual or legal entity -

(A) all rights and obligations of the transferee in the loan

or in the unguaranteed or uninsured portion of the loan; and

(B) any security given for the loan.

(2) Additional requirements

With respect to a transfer described in paragraph (1) -

(A) the transfer shall be consistent with such regulations as

the Secretary shall promulgate under subsection (i) of this

section; and

(B) the transferor shall give notice of the transfer to the

Secretary.

(3) Acknowledgment by Secretary

On receipt of a notice of a transfer under paragraph (2)(B),

the Secretary shall issue to the transferee an acknowledgment by

the Secretary of -

(A) the transfer; and

(B) the interest of the transferee in the guaranteed or

insured portion of the loan.

(4) Responsibilities of lender

Notwithstanding any transfer permitted by this subsection, the

lender shall -

(A) remain obligated on the guarantee agreement or insurance

agreement between the lender and the Secretary;

(B) continue to be responsible for servicing the loan in a

manner consistent with that guarantee agreement or insurance

agreement; and

(C) remain the secured creditor of record.

(d) Full faith and credit

(1) In general

The full faith and credit of the United States is pledged to

the payment of all loan guarantees and loan insurance made under

this subchapter after December 13, 2002.

(2) Validity

(A) In general

Except as provided in subparagraph (B), the validity of a

guarantee or insurance of a loan under this subchapter shall be

incontestable if the obligations of the guarantee or insurance

held by a transferee have been acknowledged under subsection

(c)(3) of this section.

(B) Exception for fraud or misrepresentation

Subparagraph (A) shall not apply in a case in which a

transferee has actual knowledge of fraud or misrepresentation,

or participates in or condones fraud or misrepresentation, in

connection with a loan.

(e) Damages

Notwithstanding section 3302 of title 31, the Secretary may

recover from a lender of a loan under this subchapter any damages

suffered by the Secretary as a result of a material breach of the

obligations of the lender with respect to a guarantee or insurance

by the Secretary of the loan.

(f) Fees

The Secretary may collect a fee for any loan or guaranteed or

insured portion of a loan that is transferred in accordance with

this section.

(g) Central registration of loans

On promulgation of final regulations under subsection (i) of this

section, the Secretary shall -

(1) provide for a central registration of all guaranteed or

insured loans transferred under this section; and

(2) enter into 1 or more contracts with a fiscal transfer agent

-

(A) to act as the designee of the Secretary under this

section; and

(B) to carry out on behalf of the Secretary the central

registration and fiscal transfer agent functions, and issuance

of acknowledgments, under this section.

(h) Pooling of loans

(1) In general

Nothing in this subchapter prohibits the pooling of whole loans

or interests in loans transferred under this section.

(2) Regulations

In promulgating regulations under subsection (i) of this

section, the Secretary may include such regulations to effect

orderly and efficient pooling procedures as the Secretary

determines to be necessary.

(i) Regulations

Not later than 180 days after December 13, 2002, the Secretary

shall develop such procedures and promulgate such regulations as

are necessary to facilitate, administer, and promote transfers of

loans and guaranteed and insured portions of loans under this

section.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 205, Apr. 12, 1974, 88 Stat. 80;

Pub. L. 100-442, Sec. 2, Sept. 22, 1988, 102 Stat. 1763; Pub. L.

107-331, title I, Sec. 103(b), Dec. 13, 2002, 116 Stat. 2836.)

-MISC1-

AMENDMENTS

2002 - Pub. L. 107-331 designated existing provisions as subsec.

(a), inserted heading and substituted "Any loan guaranteed or

insured" for "Any loan guaranteed", and added subsecs. (b) to (i).

1988 - Pub. L. 100-442 amended section generally. Prior to

amendment, section read as follows: "Any loan guaranteed hereunder,

including the security given therefor, may be sold or assigned by

the lender to any financial institution subject to examination and

supervision by an agency of the United States or of any State or

the District of Columbia."

FINDINGS AND PURPOSE

Pub. L. 107-331, title I, Sec. 102, Dec. 13, 2002, 116 Stat.

2835, provided that:

"(a) Findings. - Congress finds that -

"(1) the Indian Financing Act of 1974 (25 U.S.C. 1451 et seq.)

was intended to provide Native American borrowers with access to

commercial sources of capital that otherwise would not be

available through the guarantee or insurance of loans by the

Secretary of the Interior;

"(2) although the Secretary of the Interior has made loan

guarantees and insurance available, use of those guarantees and

that insurance by lenders to benefit Native American business

borrowers has been limited;

"(3) twenty-seven years after the date of enactment of the

Indian Financing Act of 1974 (25 U.S.C. 1451 et seq.) [Pub. L.

93-262, which was approved Apr. 12, 1974], the promotion and

development of Native American-owned business remains an

essential foundation for growth of economic and social stability

of Native Americans;

"(4) use by commercial lenders of the available loan insurance

and guarantees may be limited by liquidity and other capital

market-driven concerns; and

"(5) it is in the best interest of the insured and guaranteed

loan program of the Department of the Interior -

"(A) to encourage the orderly development and expansion of a

secondary market for loans guaranteed or insured by the

Secretary of the Interior; and

"(B) to expand the number of lenders originating loans under

the Indian Financing Act of 1974 (25 U.S.C. 1451 et seq.).

"(b) Purpose. - The purpose of this Act [see Short Title of 2002

Amendment note set out under section 1451 of this title] is to

reform and clarify the Indian Financing Act of 1974 (25 U.S.C. 1451

et seq.) in order to -

"(1) stimulate the use by lenders of secondary market investors

for loans guaranteed or insured under a program administered by

the Secretary of the Interior;

"(2) preserve the authority of the Secretary to administer the

program and regulate lenders;

"(3) clarify that a good faith investor in loans insured or

guaranteed by the Secretary will receive appropriate payments;

"(4) provide for the appointment by the Secretary of a

qualified fiscal transfer agent to establish and administer a

system for the orderly transfer of those loans; and

"(5)(A) authorize the Secretary to promulgate regulations to

encourage and expand a secondary market program for loans

guaranteed or insured by the Secretary; and

"(B) allow the pooling of those loans as the secondary market

develops."

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1499 of this title.

-End-

-CITE-

25 USC Sec. 1486 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1486. Loans ineligible for guaranty or insurance

-STATUTE-

Loans made by any agency or instrumentality of the Federal

Government, or by an organization of Indians from funds borrowed

from the United States, and loans the interest on which is not

included in gross income for the purposes of chapter 1 of title 26

shall not be eligible for guaranty or insurance hereunder.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 206, Apr. 12, 1974, 88 Stat. 80;

Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095.)

-MISC1-

AMENDMENTS

1986 - Pub. L. 99-514 substituted "Internal Revenue Code of 1986"

for "Internal Revenue Code of 1954", which for purposes of

codification was translated as "title 26" thus requiring no change

in text.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 1488, 1499 of this title.

-End-

-CITE-

25 USC Sec. 1487 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1487. Loans eligible for insurance

-STATUTE-

Any loans insured hereunder shall be restricted to those made by

a financial institution subject to examination and supervision by

an agency of the United States, a State, or the District of

Columbia, and to loans made by Indian organizations from their own

funds to other tribes or organizations of Indians.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 207, Apr. 12, 1974, 88 Stat. 80.)

-End-

-CITE-

25 USC Sec. 1488 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1488. Lenders authorized to make loans; decrease or increase

of liability under the guaranty

-STATUTE-

Loans guaranteed hereunder may be made by any lender satisfactory

to the Secretary, except as provided in section 1486 of this title.

The liability under the guaranty shall decrease or increase pro

rata with any decrease or increase in the unpaid portion of the

obligation.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 208, Apr. 12, 1974, 88 Stat. 80.)

-End-

-CITE-

25 USC Sec. 1489 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1489. Loans made by certain financial institutions without

regard to limitations and restrictions of other Federal statutes

with respect to certain particulars

-STATUTE-

Any loan made by any national bank or Federal savings and loan

association, or by any bank, trust company, building and loan

association, or insurance company authorized to do business in the

District of Columbia, at least 20 per centum of which is guaranteed

hereunder, may be made without regard to the limitations and

restrictions of any other Federal statute with respect to (a) ratio

of amount of loan to the value of the property; (b) maturity of

loans; (c) requirement of mortgage or other security; (d) priority

of lien; or (e) percentage of assets which may be invested in real

estate loans.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 209, Apr. 12, 1974, 88 Stat. 80.)

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1499 of this title.

-End-

-CITE-

25 USC Sec. 1490 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1490. Maturity of loans

-STATUTE-

The maturity of any loan guaranteed or insured hereunder shall

not exceed thirty years.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 210, Apr. 12, 1974, 88 Stat. 80.)

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1499 of this title.

-End-

-CITE-

25 USC Sec. 1491 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1491. Defaults; written notification; pro rata payments;

subrogation and assignment rights of Secretary; cancellation of

uncollectable portion of obligations; forbearance for benefit of

borrower; interest or charges cessation date

-STATUTE-

In the event of a default of a loan guaranteed hereunder, the

holder of the guaranty certificate may immediately notify the

Secretary in writing of such default and the Secretary shall

thereupon pay to such holder the pro rata portion of the amount

guaranteed and shall be subrogated to the rights of the holder of

the guaranty and receive an assignment of the obligation and

security. The Secretary may cancel the uncollectable portion of any

obligation, to which he has an assignment or a subrogated right

under this section. Nothing in this section shall be construed to

preclude any forbearance for the benefit of the borrower as may be

agreed upon by the parties to the loan and approved by the

Secretary. The Secretary may establish the date, not later than the

date of judgment and decree of foreclosure or sale, upon which

accrual of interest or charges shall cease.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 211, Apr. 12, 1974, 88 Stat. 80;

Pub. L. 98-449, Sec. 6, Oct. 4, 1984, 98 Stat. 1725.)

-MISC1-

AMENDMENTS

1984 - Pub. L. 98-449 struck out proviso at end of second

sentence which provided that proceedings pursuant to this section

shall be effective only after following the procedure set out in

section 386a of this title.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1499 of this title.

-End-

-CITE-

25 USC Sec. 1492 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1492. Claims for losses; submission to Secretary;

reimbursement: single and aggregate loss limitations, conditions;

assignment of note or judgment; collection or cancellation by

Secretary; interest or charges cessation date

-STATUTE-

When a lender suffers a loss on a loan insured hereunder,

including accrued interest, a claim therefor shall be submitted to

the Secretary. If the Secretary finds that the loss has been

suffered, he shall reimburse the lender therefor: Provided, That

the amount payable to the lender for a loss on any one loan shall

not exceed 90 per centum of such loss: Provided further, That no

reimbursement may be made for losses in excess of 15 per centum of

the aggregate of insured loans made by the lender: Provided

further, That before any reimbursement is made, all reasonable

collection efforts shall have been exhausted by the lender, and the

security for the loan shall have been liquidated to the extent

feasible, and the proceeds applied on the debt. Upon reimbursement,

in whole or in part, to the lender, the note or judgment evidencing

the debt shall be assigned to the United States, and the lender

shall have no further claim against the borrower or the United

States. The Secretary shall then take such further collection

action as may be warranted, or may cancel the uncollectable portion

of any debt assigned pursuant hereto. The Secretary may establish a

date upon which accrual of interest or charges shall cease.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 212, Apr. 12, 1974, 88 Stat. 80.)

-End-

-CITE-

25 USC Sec. 1493 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1493. Loan refusal; conditions; prohibition against

acquisition of additional loans; payment of claims on loans made

in good faith

-STATUTE-

Whenever the Secretary finds that any lender or holder of a

guaranty certificate fails to maintain adequate accounting records,

or to demonstrate proper ability to service adequately loans

guaranteed or insured, or to exercise proper credit judgment, or

has willfully or negligently engaged in practices otherwise

detrimental to the interests of a borrower or of the United States,

he may refuse, either temporarily or permanently, to guarantee or

insure any further loans made by such lender or holder, and may bar

such lender or holder from acquiring additional loans guaranteed or

insured hereunder: Provided, That the Secretary shall not refuse to

pay a valid guaranty or insurance claim on loans previously made in

good faith.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 213, Apr. 12, 1974, 88 Stat. 81.)

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1499 of this title.

-End-

-CITE-

25 USC Sec. 1494 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1494. Evidence of eligibility of loan for and amount of

guaranty or insurance; defenses and partial defenses against

original lender

-STATUTE-

Any evidence of guaranty or insurance issued by the Secretary

shall be conclusive evidence of the eligibility of the loan for

guaranty or insurance under the provisions of this chapter and the

amount of such guaranty or insurance: Provided, That nothing in

this section shall preclude the Secretary from establishing, as

against the original lender, defenses based on fraud or material

misrepresentation or bar him from establishing, by regulations in

force at the date of such issuance or disbursement, whichever is

the earlier, partial defenses to the amount payable on the guaranty

or insurance.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 214, Apr. 12, 1974, 88 Stat. 81.)

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1499 of this title.

-End-

-CITE-

25 USC Sec. 1495 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1495. Land and personal property titles

-STATUTE-

Title to any land purchased by a tribe or by an individual Indian

with loans guaranteed or insured pursuant to this subchapter may be

taken in trust, unless the land is located outside the boundaries

of a reservation or a tribal consolidation area approved by the

Secretary. Title to any land purchased by a tribe or an individual

Indian which is outside the boundaries of the reservation or

approved consolidation area may be taken in trust if the purchaser

was the owner of trust or restricted interests in the land before

the purchase, otherwise title shall be taken in the name of the

purchaser without any restriction on alienation, control, or use.

Title to any personal property purchased with loans guaranteed or

insured hereunder shall be taken in the name of the purchaser.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 215, Apr. 12, 1974, 88 Stat. 81.)

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1499 of this title.

-End-

-CITE-

25 USC Sec. 1496 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1496. Powers of Secretary; finality of financial transactions

and property acquisitions, management, and dispositions

-STATUTE-

The financial transactions of the Secretary incident to or

arising out of the guarantee or insurance of loans and surety

bonds, and the acquisition, management, and disposition of

property, real, personal, or mixed, incident to such activities,

shall be final and conclusive upon all officers of the Government.

With respect to matters arising out of the guaranty or insurance

program authorized by this subchapter, and notwithstanding the

provisions of any other laws, the Secretary may -

(a) sue and be sued in his official capacity in any court of

competent jurisdiction;

(b) subject to the specific limitations in this subchapter,

consent to the modification, with respect to the rate of

interest, time of payment on principal or interest or any portion

thereof, security, or any other provisions of any note, contract,

mortgage, or other instrument securing a loan or surety bond

which has been guaranteed or insured hereunder;

(c) subject to the specific limitations in this subchapter,

pay, or compromise, any claim on, or arising because of any loan

or surety bond guaranty or insurance;

(d) subject to the specific limitations in this subchapter,

pay, compromise, waive, or release any right, title, claim, lien,

or demand, however acquired, including, but not limited to, any

equity or right of redemption;

(e) purchase at any sale, public or private, upon such terms

and for such prices as he determines to be reasonable, and take

title to property, real, personal, or mixed; and similarly sell,

at public or private sale, exchange, assign, convey, or otherwise

dispose of such property; and

(f) complete, administer, operate, obtain, and pay for

insurance on, and maintain, renovate, repair, modernize, lease,

or otherwise deal with any property acquired or held pursuant to

the guaranty or insurance program authorized by this subchapter.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 216, Apr. 12, 1974, 88 Stat. 81;

Pub. L. 100-442, Sec. 5(c), Sept. 22, 1988, 102 Stat. 1764.)

-MISC1-

AMENDMENTS

1988 - Pub. L. 100-442 inserted "and surety bonds" after "of

loans" in introductory text, "or surety" after "a loan" in par.

(b), and "or surety" after "any loan" in par. (c).

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1499 of this title.

-End-

-CITE-

25 USC Sec. 1497 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1497. Indian Loan Guaranty and Insurance Fund

-STATUTE-

(a) Establishment of revolving fund

There is hereby created an Indian Loan Guaranty and Insurance

Fund (hereinafter referred to as the "fund") which shall be

available to the Secretary as a revolving fund without fiscal year

limitation for carrying out the provisions of this subchapter.

(b) Aggregate loans or surety bonds limitation

The Secretary may use the fund for the purpose of fulfilling the

obligations with respect to loans or surety bonds guaranteed or

insured under this subchapter, but the aggregate of such loans or

surety bonds which are insured or guaranteed by the Secretary shall

be limited to $500,000,000.

(c) Assets, liabilities, and obligations of fund; loan and surety

bond servicing and purchasing agreements: terms and conditions

All funds, claims, notes, mortgages, contracts, and property

acquired by the Secretary under this section, and all collections

and proceeds therefrom, shall constitute assets of the fund; and

all liabilities and obligations of such assets shall be liabilities

and obligations of the fund. The Secretary is authorized to make

agreements with respect to servicing loans or surety bonds held,

guaranteed, or insured by him under this subchapter and purchasing

such guaranteed or insured loans or surety bonds on such terms and

conditions as he may prescribe.

(d) Utilization of fund for diverse payments

The Secretary may also utilize the fund to pay taxes, insurance,

prior liens, expenses necessary to make fiscal adjustments in

connection with the application and transmittal of collections, and

other expenses and advances to protect the Secretary for loans or

surety bonds which are guaranteed or insured under this subchapter

or held by the Secretary, to acquire such security property at

foreclosure sale or otherwise, and to pay administrative expenses.

(e) Authorization of appropriations

There are authorized to be appropriated for each fiscal year

beginning in fiscal year 1985 such sums as may be necessary to

fulfill obligations with respect to losses on loans or surety bonds

guaranteed or insured under this subchapter. All collections and

all moneys appropriated pursuant to the authority of this

subsection shall remain available until expended.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 217, Apr. 12, 1974, 88 Stat. 82;

Pub. L. 98-449, Sec. 7, Oct. 4, 1984, 98 Stat. 1725; Pub. L.

100-442, Secs. 3, 4(a), (b), 5(d), Sept. 22, 1988, 102 Stat. 1763,

1764; Pub. L. 105-362, title VIII, Sec. 801(b), Nov. 10, 1998, 112

Stat. 3287.)

-MISC1-

AMENDMENTS

1998 - Subsec. (f). Pub. L. 105-362 struck out subsec. (f) which

read as follows: "If the Secretary determines that the amount in

the fund is not sufficient to maintain an adequate level of

reserves necessary to meet the responsibilities of the fund in

connection with losses on loans or surety bonds guaranteed or

insured under this subchapter, the Secretary shall promptly submit

a report notifying Congress of the deficiencies in the fund."

1988 - Subsec. (b). Pub. L. 100-442, Secs. 3, 5(d), inserted "or

surety bonds" after "loans" in two places and substituted

"$500,000,000" for "$200,000,000".

Subsecs. (c), (d). Pub. L. 100-442, Sec. 5(d), inserted "or

surety bonds" after "loans" wherever appearing.

Subsec. (e). Pub. L. 100-442, Secs. 4(a), 5(d), inserted "or

surety bonds" after "loans" and substituted "All collections and

all moneys appropriated pursuant to the authority of this

subsection shall remain available" for "All collections shall

remain".

Subsec. (f). Pub. L. 100-442, Sec. 4(b), added subsec. (f).

1984 - Subsec. (e). Pub. L. 98-449 added subsec. (e).

LIMITATION ON NEW CREDIT AUTHORITY

Section 4(c) of Pub. L. 100-442 provided that: "Any new credit

authority (as defined in section 3 of the Congressional Budget and

Impoundment Control Act of 1974 [2 U.S.C. 622]) which is provided

by amendments made by this Act [enacting sections 1497a, 1499, and

1544 of this title and amending this section and sections 1452,

1484, 1485, 1496, and 1498 of this title] shall be effective only

to such extent and in such amounts as may be approved in advance in

appropriation Acts."

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 1461, 1482, 1497a, 1499

of this title.

-End-

-CITE-

25 USC Sec. 1497a 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1497a. Supplemental surety bond guarantee

-STATUTE-

(a) Amount; eligibility

The Secretary is authorized to provide a supplemental surety bond

guarantee, not to exceed 20 percent of any loss, for any Indian

individual or economic enterprise eligible for a surety guarantee

under section 694b of title 15, so that the aggregate of the two

guarantees is 100 percent.

(b) Conditions

The Secretary may provide a supplemental guarantee under this

section only if the Secretary determines that -

(1) the Indian individual or economic enterprise has secured or

will likely secure a surety bond guarantee under section 694b of

title 15;

(2) the supplemental guarantee is necessary for the Indian

individual or economic enterprise to secure a surety bond;

(3) no more than 25 percent of the surety's business is

comprised of bonds guaranteed pursuant to this section; and

(4) the surety will provide appropriate technical assistance

and advice to, and monitor the performance of, the Indian

individual or economic enterprise for the prevention or

mitigation of a loss.

(c) Fees and charges

The rules and regulations promulgated by the Secretary to carry

out this section shall include the setting of reasonable fees to be

paid by the Indian individual or economic enterprise and reasonable

premium charges to be paid by sureties. In setting fees and

charges, the Secretary may take into consideration the cost to the

surety of providing the services required by paragraph (4) of

subsection (b) of this section. The receipts from the fees and

charges shall be deposited in the Fund established by section

1497(a) of this title.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 218, as added Pub. L. 100-442, Sec.

5(a), Sept. 22, 1988, 102 Stat. 1764.)

-MISC1-

PRIOR PROVISIONS

A prior section 218 of Pub. L. 93-262 was renumbered section 219

by Pub. L. 100-442 and is classified to section 1498 of this title.

-End-

-CITE-

25 USC Sec. 1498 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1498. Rules and regulations

-STATUTE-

The Secretary shall promulgate rules and regulations to carry out

the provisions of this subchapter.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 219, formerly Sec. 218, Apr. 12,

1974, 88 Stat. 82; renumbered Sec. 219, Pub. L. 100-442, Sec. 5(a),

Sept. 22, 1988, 102 Stat. 1764.)

-End-

-CITE-

25 USC Sec. 1499 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER II - LOAN GUARANTY AND INSURANCE

-HEAD-

Sec. 1499. Limitation on guarantee of debt issues; approval of bond

issue sale

-STATUTE-

(a) The Secretary may guarantee not to exceed 90 percent of the

unpaid principal and interest due on an issue of bonds, debentures,

or similar obligations issued by an organization satisfactory to

the Secretary. Such an issue shall be deemed a loan for purposes of

sections 1482, 1483, 1484, 1485, 1486, 1489, 1490, 1491, 1493,

1494, 1495, 1496, and 1497 of this title.

(b) The method by which an issue of bonds guaranteed under this

section may be sold shall be subject to approval by the Secretary.

-SOURCE-

(Pub. L. 93-262, title II, Sec. 220, as added Pub. L. 100-442, Sec.

6, Sept. 22, 1988, 102 Stat. 1764.)

-End-

-CITE-

25 USC SUBCHAPTER III - INTEREST SUBSIDIES AND

ADMINISTRATIVE EXPENSES 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER III - INTEREST SUBSIDIES AND ADMINISTRATIVE EXPENSES

-HEAD-

SUBCHAPTER III - INTEREST SUBSIDIES AND ADMINISTRATIVE EXPENSES

-End-

-CITE-

25 USC Sec. 1511 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER III - INTEREST SUBSIDIES AND ADMINISTRATIVE EXPENSES

-HEAD-

Sec. 1511. Interest subsidies; rules and regulations

-STATUTE-

The Secretary is authorized under such rules and regulations as

he may prescribe to pay as an interest subsidy on loans which are

guaranteed or insured under the provisions of subchapter II of this

chapter amounts which are necessary to reduce the rate payable by

the borrower to the rate determined under section 1464 of this

title.

-SOURCE-

(Pub. L. 93-262, title III, Sec. 301, Apr. 12, 1974, 88 Stat. 82.)

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1461 of this title.

-End-

-CITE-

25 USC Sec. 1512 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER III - INTEREST SUBSIDIES AND ADMINISTRATIVE EXPENSES

-HEAD-

Sec. 1512. Authorization of appropriations for interest payments

-STATUTE-

There are authorized to be appropriated for fiscal year 1985, and

for each fiscal year thereafter, an amount which does not exceed

$5,500,000 for purposes of making interest payments authorized

under this subchapter. Sums appropriated under this section, shall

remain available until expended.

-SOURCE-

(Pub. L. 93-262, title III, Sec. 302, Apr. 12, 1974, 88 Stat. 82;

Pub. L. 98-449, Sec. 8, Oct. 4, 1984, 98 Stat. 1725.)

-MISC1-

AMENDMENTS

1984 - Pub. L. 98-449 amended section generally, substituting

provisions authorizing appropriations for payment of interest under

this subchapter for provisions authorizing appropriations for the

Indian Loan Guarantee and Insurance Fund, interest subsidies and

administrative expenses.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1543 of this title.

-End-

-CITE-

25 USC SUBCHAPTER IV - INDIAN BUSINESS GRANTS 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER IV - INDIAN BUSINESS GRANTS

-HEAD-

SUBCHAPTER IV - INDIAN BUSINESS GRANTS

-SECREF-

SUBCHAPTER REFERRED TO IN OTHER SECTIONS

This subchapter is referred to in section 1541 of this title.

-End-

-CITE-

25 USC Sec. 1521 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER IV - INDIAN BUSINESS GRANTS

-HEAD-

Sec. 1521. Indian Business Development Program; establishment;

statement of purpose

-STATUTE-

There is established within the Department of the Interior the

Indian Business Development Program whose purpose is to stimulate

and increase Indian entrepreneurship and employment by providing

equity capital through nonreimbursable grants made by the Secretary

of the Interior to Indians and Indian tribes to establish and

expand profit-making Indian-owned economic enterprises on or near

reservations.

-SOURCE-

(Pub. L. 93-262, title IV, Sec. 401, Apr. 12, 1974, 88 Stat. 82.)

-End-

-CITE-

25 USC Sec. 1522 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER IV - INDIAN BUSINESS GRANTS

-HEAD-

Sec. 1522. Conditions

-STATUTE-

(a) Limitation of amount

No grant in excess of $100,000 in the case of an Indian and

$250,000 in the case of an Indian tribe, or such lower amount as

the Secretary may determine to be appropriate, may be made under

this subchapter.

(b) Financing from other sources; inability to obtain funds;

applicant's financial resources

A grant may be made only to an applicant who, in the opinion of

the Secretary, is unable to obtain adequate financing for its

economic enterprise from other sources: Provided, That prior to

making any grant under this subchapter, the Secretary shall assure

that, where practical, the applicant has reasonably made available

for the economic enterprise funds from the applicant's own

financial resources.

(c) Percentage requirement

No grant may be made to an applicant who is unable to obtain at

least 60 per centum of the necessary funds for the economic

enterprise from other sources.

-SOURCE-

(Pub. L. 93-262, title IV, Sec. 402, Apr. 12, 1974, 88 Stat. 83;

Pub. L. 98-449, Sec. 9, Oct. 4, 1984, 98 Stat. 1725.)

-MISC1-

AMENDMENTS

1984 - Subsec. (a). Pub. L. 98-449 amended subsec. (a) generally,

substituting provisions setting forth different levels of maximum

grant amounts in cases of Indians and Indian tribes for provisions

providing a maximum of $50,000 in cases of both Indians and Indian

tribes.

-End-

-CITE-

25 USC Sec. 1523 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER IV - INDIAN BUSINESS GRANTS

-HEAD-

Sec. 1523. Authorization of appropriations

-STATUTE-

There are authorized to be appropriated not to exceed the sum of

$10,000,000 per year for fiscal year 1986 and each fiscal year

thereafter for the purposes of this subchapter.

-SOURCE-

(Pub. L. 93-262, title IV, Sec. 403, Apr. 12, 1974, 88 Stat. 83;

Pub. L. 95-68, July 20, 1977, 91 Stat. 272; Pub. L. 98-449, Sec.

10, Oct. 4, 1984, 98 Stat. 1726.)

-MISC1-

AMENDMENTS

1984 - Pub. L. 98-449 amended section generally, substituting

"$10,000,000" for "$14,000,000" and "1986 and each fiscal year

thereafter" for "1978 and 1979".

1977 - Pub. L. 95-68 substituted "$14,000,000 for each of the

fiscal years 1978 and 1979" for "$10,000,000 for each of the fiscal

years 1975, 1976, and 1977".

-End-

-CITE-

25 USC Sec. 1524 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER IV - INDIAN BUSINESS GRANTS

-HEAD-

Sec. 1524. Rules and regulations

-STATUTE-

The Secretary of the Interior is authorized to prescribe such

rules and regulations as may be necessary to carry out the purposes

of this chapter.

-SOURCE-

(Pub. L. 93-262, title IV, Sec. 404, Apr. 12, 1974, 88 Stat. 83.)

-End-

-CITE-

25 USC SUBCHAPTER V - MISCELLANEOUS PROVISIONS 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER V - MISCELLANEOUS PROVISIONS

-HEAD-

SUBCHAPTER V - MISCELLANEOUS PROVISIONS

-End-

-CITE-

25 USC Sec. 1541 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER V - MISCELLANEOUS PROVISIONS

-HEAD-

Sec. 1541. Competent management and technical assistance for

economic enterprises

-STATUTE-

Prior to and concurrent with the making or guaranteeing of any

loan under subchapters I and II of this chapter and with the making

of a grant under subchapter IV of this chapter, the purpose of

which is to fund the development of an economic enterprise, the

Secretary shall insure that the loan or grant applicant shall be

provided competent management and technical assistance for

preparation of the application and/or administration of funds

granted consistent with the nature of the enterprise proposed to be

or in fact funded.

-SOURCE-

(Pub. L. 93-262, title V, Sec. 501, Apr. 12, 1974, 88 Stat. 83;

Pub. L. 98-449, Sec. 12, Oct. 4, 1984, 98 Stat. 1726.)

-MISC1-

AMENDMENTS

1984 - Pub. L. 98-449 amended section generally, inserting "Prior

to and" and "for preparation of the application and/or

administration of funds granted".

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1542 of this title.

-End-

-CITE-

25 USC Sec. 1542 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER V - MISCELLANEOUS PROVISIONS

-HEAD-

Sec. 1542. Agency cooperation; private contracts for management

services and technical assistance

-STATUTE-

For the purpose of providing the assistance required under

section 1541 of this title, the Secretary is authorized to

cooperate with the Small Business Administration and the

Corporation for National and Community Service and other Federal

agencies in the use of existing programs of this character in those

agencies. In addition, the Secretary is authorized to enter into

contracts with private organizations for providing such services

and assistance.

-SOURCE-

(Pub. L. 93-262, title V, Sec. 502, Apr. 12, 1974, 88 Stat. 83;

Pub. L. 93-113, title VI, Sec. 601(d), Oct. 1, 1973, 87 Stat. 416;

Pub. L. 103-82, title IV, Sec. 405(f), Sept. 21, 1993, 107 Stat.

921.)

-MISC1-

AMENDMENTS

1993 - Pub. L. 103-82 substituted "the Corporation for National

and Community Service" for "ACTION Agency".

1973 - Pub. L. 93-113 substituted "ACTION Agency" for "ACTION".

EFFECTIVE DATE OF 1993 AMENDMENT

Amendment by Pub. L. 103-82 effective Apr. 4, 1994, see section

406(b) of Pub. L. 103-82, set out as a note under section 8332 of

Title 5, Government Organization and Employees.

-SECREF-

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 1543 of this title.

-End-

-CITE-

25 USC Sec. 1543 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER V - MISCELLANEOUS PROVISIONS

-HEAD-

Sec. 1543. Funds limitation for private contracts

-STATUTE-

For the purpose of entering into contracts pursuant to section

1542 of this title in fiscal year 1985, the Secretary is authorized

to use not to exceed 6 percent of any funds appropriated for any

fiscal year pursuant to section 1512 of this title. For fiscal year

1986 and for each fiscal year thereafter, there are authorized to

be appropriated such sums as may be necessary to carry out the

provisions of this subchapter.

-SOURCE-

(Pub. L. 93-262, title V, Sec. 503, Apr. 12, 1974, 88 Stat. 83;

Pub. L. 98-449, Sec. 13, Oct. 4, 1984, 98 Stat. 1726.)

-MISC1-

AMENDMENTS

1984 - Pub. L. 98-449 amended section generally, substituting

provisions limiting funds expended for private contracts to 6

percent of appropriated funds in 1985 and authorizing the

appropriation of such sums as may be necessary to carry out this

subchapter in fiscal years after 1985 for provisions putting a 5

percent limitation on use of appropriated funds.

-End-

-CITE-

25 USC Sec. 1544 01/06/03

-EXPCITE-

TITLE 25 - INDIANS

CHAPTER 17 - FINANCING ECONOMIC DEVELOPMENT OF INDIANS AND INDIAN

ORGANIZATIONS

SUBCHAPTER V - MISCELLANEOUS PROVISIONS

-HEAD-

Sec. 1544. Additional compensation to contractors of Federal agency

-STATUTE-

Notwithstanding any other provision of law, a contractor of a

Federal agency under any Act of Congress may be allowed an

additional amount of compensation equal to 5 percent of the amount

paid, or to be paid, to a subcontractor or supplier, in carrying

out the contract if such subcontractor or supplier is an Indian

organization or Indian-owned economic enterprise as defined in this

chapter.

-SOURCE-

(Pub. L. 93-262, title V, Sec. 504, added Pub. L. 100-442, Sec. 7,

Sept. 22, 1988, 102 Stat. 1765.)

-End-

-HEAD-

-HEAD-