§18715 — Title 42 The Public Health and Welfare | U.S. Code

Summary

Provides $2,000,000,000 for fiscal year 2022 for the Secretary to make direct loans to non‑Federal borrowers to build or upgrade electric transmission projects the Secretary says are necessary for the national interest. The money is available through September 30, 2030, and no loan may have payments after September 30, 2031. Loans follow the same limits as similar federal loan guarantees and the Secretary’s terms. Each loan can last no more than 90% of the project’s expected life or 30 years, whichever is less. A loan can cover at most 80% of project costs and, when first made, cannot be behind other financing. The Secretary sets the interest rate using market yields on comparable U.S. government securities on the loan date. Direct loan — a loan made directly by the federal government.

Title 42, §18715

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

(a)In addition to amounts otherwise available, there is appropriated to the Secretary for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, $2,000,000,000, to remain available through September 30, 2030, to carry out this section: Provided, That the Secretary shall not enter into any loan agreement pursuant to this section that could result in disbursements after September 30, 2031.

(b)The Secretary shall use the amounts made available by subsection (a) to carry out a program to pay the costs of direct loans to non-Federal borrowers, subject to the limitations that apply to loan guarantees under section 50141(d) and under such terms and conditions as the Secretary determines to be appropriate, for the construction or modification of electric transmission facilities designated by the Secretary to be necessary in the national interest under section 824p(a) of title 16.

(c)A direct loan provided under this section—

(1)shall have a term that does not exceed the lesser of—

(A)90 percent of the projected useful life, in years, of the eligible transmission facility; and

(B)30 years;

(2)shall not exceed 80 percent of the project costs; and

(3)shall, on first issuance, be subject to the condition that the direct loan is not subordinate to other financing.

(d)A direct loan provided under this section shall bear interest at a rate determined by the Secretary, taking into consideration market yields on outstanding marketable obligations of the United States of comparable maturities as of the date on which the direct loan is made.

(e)In this section, the term “direct loan” has the meaning given the term in section 661a of title 2.

Notes & Related Subsidiaries

Editorial Notes

References in Text

section 50141(d), referred to in subsec. (b), is section 50141(d) of Pub. L. 117–169, title V, Aug. 16, 2022, 136 Stat. 2043, which is not classified to the Code. Codification Section was enacted as part of Pub. L. 117–169, and not as part of div. D of Pub. L. 117–58, which enacted this chapter.

Statutory Notes and Related Subsidiaries

Definition of “Secretary” “Secretary” means the Secretary of Energy, see section 50111 of Pub. L. 117–169, set out as a note under section 17113b of this title.

§18715 Transmission Facility Financing