§1497 — Title 25 Indians | U.S. Code

Summary

Creates an Indian Loan Guaranty and Insurance Fund that the Secretary can use as a revolving fund with no yearly time limit to carry out this part of the law. The fund can be used to pay obligations on loans or surety bonds the Secretary guarantees or insures, but the total amount guaranteed or insured at any time cannot exceed $1,500,000,000. All money, claims, notes, mortgages, contracts, property, and income the Secretary gets related to those loans become part of the fund, and any debts tied to them are the fund’s debts. The Secretary may hire servicers or buy guaranteed or insured loans or bonds. The fund may also pay taxes, insurance, prior liens, necessary collection or handling costs, costs to protect the Secretary, acquire secured property (including at foreclosure), and administrative expenses. Each fiscal year starting in fiscal year 1985, Congress may provide whatever money is needed to cover losses on these guaranteed or insured loans or bonds, and those collections and appropriations remain available until spent.

Title 25, §1497

Indians — Source: USLM XML via OLRC

(a)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)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 $1,500,000,000.

(c)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)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)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.

Notes & Related Subsidiaries

Editorial Notes

Amendments

2006—Subsec. (b). Pub. L. 109–221 substituted “$1,500,000,000” for “$500,000,000”. 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, §§ 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, § 5(d), inserted “or surety bonds” after “loans” wherever appearing. Subsec. (e). Pub. L. 100–442, §§ 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, § 4(b), added subsec. (f). 1984—Subsec. (e). Pub. L. 98–449 added subsec. (e).

Statutory Notes and Related Subsidiaries

Limitation on New Credit Authority Pub. L. 100–442, § 4(c), Sept. 22, 1988, 102 Stat. 1763, 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 section 1497a, 1499, and 1544 of this title and amending this section and section 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.”

§1497 Indian Loan Guaranty and Insurance Fund

Summary

Title 25, §1497

Notes & Related Subsidiaries

Editorial Notes

Amendments

Statutory Notes and Related Subsidiaries

Amendments

Citations & Metadata