Title 42 — The Public Health and WelfareRelease 119-73

§13239 Low interest loan program

Title 42 › Chapter CHAPTER 134— - ENERGY POLICY › Subchapter SUBCHAPTER II— - ALTERNATIVE FUELS—NON-FEDERAL PROGRAMS › § 13239

Last updated Apr 6, 2026|Official source

Summary

Within one year after October 24, 1992, the Secretary must start a low-interest loan program that gives preference to small businesses with vehicle fleets. Loans can pay for three things: converting vehicles to alternative fuels, the extra cost to buy alternative-fuel vehicles, and the extra cost for certain non-road vehicles and engines. Loans should, when practical, be repaid from fuel-cost savings. Applicants are chosen by financial need, the ability to repay (including fuel savings), and trying to help as many applicants as possible. The law authorized $25,000,000 for each of fiscal years 1993, 1994, and 1995.

Full Legal Text

Title 42, §13239

The Public Health and Welfare — Source: USLM XML via OLRC

(a)Within 1 year after October 24, 1992, the Secretary shall establish a program for making low interest loans, giving preference to small businesses that own or operate fleets, for—

(1)the conversion of motor vehicles to operation on alternative fuels;

(2)covering the incremental costs of the purchase of motor vehicles which operate on alternative fuels, when compared with purchase costs of comparable conventionally fueled motor vehicles; or

(3)covering the incremental costs of purchase of non-road vehicles and engines designated by the Secretary pursuant to section 13238(c) of this title.

(b)The Secretary, to the extent practicable, shall establish reasonable terms for loans made under this subsection, with preference given to repayment schedules that enable such loans to be repaid by the borrower from the cost differential between gasoline and the alternative fuel on which the motor vehicle operates.

(c)In deciding to whom loans shall be made under this subsection, the Secretary shall consider—

(1)the financial need of the applicant;

(2)the goal of assisting the greatest number of applicants; and

(3)the ability of an applicant to repay the loan, taking into account the fuel cost savings likely to accrue to the applicant.

(d)Priority shall be given under this section to fleets where the use of alternative fuels would have a significant beneficial effect on energy security and the environment.

(e)There are authorized to be appropriated to the Secretary for carrying out this section, $25,000,000 for each of the fiscal years 1993, 1994, and 1995.

Reference

Citations & Metadata

Citation

42 U.S.C. § 13239

Title 42 — The Public Health and Welfare

Last Updated

Apr 6, 2026

Release point: 119-73