
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 23, 2000]
[Document not affected by Public Laws enacted between
  January 23, 2000 and December 4, 2001]
[CITE: 42USC1481]

 
                 TITLE 42--THE PUBLIC HEALTH AND WELFARE
 
       CHAPTER 8A--SLUM CLEARANCE, URBAN RENEWAL, AND FARM HOUSING
 
                      SUBCHAPTER III--FARM HOUSING
 
Sec. 1481. Issuance of notes and obligations for loan funds; 
        amount; limitation; security; form and denomination; interest; 
        purchase and sale by Treasury; public debt transaction
        
    The Secretary may issue notes and other obligations for purchase by 
the Secretary of the Treasury for the purpose of making direct loans 
under this subchapter. The notes and obligations issued by the Secretary 
shall be secured by the obligations of borrowers and the Secretary's 
commitments to make contributions under this subchapter and shall be 
repaid from the payment of principal and interest on the obligations of 
the borrowers and from funds appropriated hereunder. The notes and other 
obligations issued by the Secretary shall be in such forms and 
denominations, shall have such maturities, and shall be subject to such 
terms and conditions as may be prescribed by the Secretary with the 
approval of the Secretary of the Treasury. Each such note or other 
obligation shall bear interest at the average rate, as determined by the 
Secretary of the Treasury, payable by the Treasury upon its marketable 
public obligations outstanding at the beginning of the fiscal year in 
which such note or other obligation is issued, which are neither due nor 
callable for redemption for 15 years from their date of issue. The 
Secretary of the Treasury is authorized and directed to purchase any 
notes and other obligations of the Secretary issued hereunder and for 
such purpose is authorized to use as a public debt transaction the 
proceeds from the sale of any securities issued under chapter 31 of 
title 31, and the purposes for which securities may be issued under such 
chapter are extended to include any purchases of such obligations. The 
Secretary of the Treasury may at any time sell any of the notes or 
obligations acquired by him under this section. All redemptions, 
purchases, and sales by the Secretary of the Treasury of such notes or 
obligations shall be treated as public debt transactions of the United 
States.

(July 15, 1949, ch. 338, title V, Sec. 511, 63 Stat. 438; July 14, 1952, 
ch. 723, Sec. 11(a), 66 Stat. 604; June 29, 1954, ch. 410, Sec. 5(a), 68 
Stat. 320; Aug. 2, 1954, ch. 649, title VIII, Sec. 812(a), 68 Stat. 647; 
Aug. 11, 1955, ch. 783, title V, Sec. 501(1), 69 Stat. 654; Aug. 7, 
1956, ch. 1029, title VI, Sec. 606(a), 70 Stat. 1114; Pub. L. 87-70, 
title VIII, Secs. 801(c), 802, June 30, 1961, 75 Stat. 186; Pub. L. 87-
723, Sec. 4(c)(1), Sept. 28, 1962, 76 Stat. 672; Pub. L. 88-560, title 
V, Sec. 501(a), Sept. 2, 1964, 78 Stat. 796; Pub. L. 89-117, title X, 
Sec. 1003(b), Aug. 10, 1965, 79 Stat. 500; Pub. L. 98-181, title V, 
Sec. 508, Nov. 30, 1983, 97 Stat. 1243; Pub. L. 98-479, title II, 
Sec. 203(d)(4), Oct. 17, 1984, 98 Stat. 2229.)


                               Amendments

    1984--Pub. L. 98-479 substituted ``chapter 31 of title 31'' for 
``the Second Liberty Bond Act, as amended'' and ``such chapter'' for 
``such Act''.
    1983--Pub. L. 98-181 struck out second sentence providing that total 
principal amount of such notes and obligations issued pursuant to this 
section during the period beginning July 1, 1956, and ending October 1, 
1969, shall not exceed $850,000,000.
    1965--Pub. L. 89-117 changed the purpose for which the Secretary may 
issue notes and other obligations for purchase by the Secretary of the 
Treasury from that of making loans under this subchapter (other than 
loans under section 1474(b) or 1485 of this title) to that of making 
direct loans under the entire subchapter, substituted ``October 1969'' 
for ``September 30, 1965'', eliminated reservation that, of the 
allowable $850,000,000 principal amount of notes and obligations, 
$50,000,000 be available exclusively for assistance to elderly persons 
under clause (3) of section 1471(a) of this title, and changed the 
method for setting the interest on notes and obligations from that of 
having the Secretary set a rate taking into consideration the current 
average rate on outstanding marketable obligations of the United States 
as of the last day of the month preceding the issuance of the notes or 
obligations to that of the Secretary setting a rate equal to the average 
rate payable by the Treasury upon its marketable public obligations 
outstanding at the beginning of the fiscal year in which such note or 
other obligation is issued, which are neither due nor callable for 
redemption for 15 years from their date of issuance.
    1964--Pub. L. 88-560 substituted ``September 30, 1965'' for ``June 
30, 1965'', and ``$850,000,000'' for ``$700,000,000''.
    1962--Pub. L. 87-723 substituted ``1474(b) or 1485'' for ``1474(b)'' 
and ``$700,000,000, of which $50,000,000 shall be available exclusively 
for assistance to elderly persons as provided in clause (3) of section 
1471(a) of this title'' for ``$650,000,000''.
    1961--Pub. L. 87-70 substituted ``June 30, 1965'' for ``June 30, 
1961'', and ``$650,000,000'' for ``$450,000,000''.
    1956--Act Aug. 7, 1956, authorized $450,000,000 for loans for the 
period beginning July 1, 1956, and ending June 30, 1961.
    1955--Act Aug. 11, 1955, authorized an additional $100,000,000 on 
and after July 1, 1955.
    1954--Act Aug. 2, 1954, substituted ``$100,000,000'' for the 
authorization of $8,500,000 (on and after July 1, 1954) which had been 
inserted by Act June 29, 1954.
    Act June 29, 1954, authorized an additional $8,500,000 on and after 
July 1, 1954.
    1952--Act July 14, 1952, authorized an additional $100,000,000 for 
fiscal year 1954.


                    Effective Date of 1956 Amendment

    Section 606(d) of act Aug. 7, 1956, provided that: ``This section 
[amending this section and sections 1482 and 1483 of this title] shall 
take effect as of July 1, 1956.''

                  Section Referred to in Other Sections

    This section is referred to in sections 1483, 1484 of this title.
