§53735 Fisheries financing and capacity reduction

Summary

The Secretary may guarantee repayment of debt issued by approved entities that run a fishing capacity reduction program. Program: a fishing capacity reduction program set up under section 312 of the Magnuson‑Stevens Act (16 U.S.C. 1861a). Guaranteed debt must follow the same rules as other guaranteed obligations unless a rule cannot apply. Fishing fees from each program must go into a separate subaccount of a Fishing Capacity Reduction Fund. No program may have more than $100,000,000 of unpaid principal outstanding at one time. Debt can mature up to 20 years, and the only required source of repayment is the program’s fishing fees (though other program funds may also be used). The Secretary can issue the debt publicly or sell it to the Federal Financing Bank. The Fund’s money is available to pay program costs without yearly appropriation and unused amounts may be invested in U.S. government obligations. The Secretary must write regulations to carry out these rules.