
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: 50USC1904]

 
                   TITLE 50--WAR AND NATIONAL DEFENSE
 
   CHAPTER 37--NATIONAL SECURITY SCHOLARSHIPS, FELLOWSHIPS, AND GRANTS
 
Sec. 1904. National Security Education Trust Fund


(a) Establishment of Fund

    There is established in the Treasury of the United States a trust 
fund to be known as the ``National Security Education Trust Fund''. The 
assets of the Fund consist of amounts appropriated to the Fund and 
amounts credited to the Fund under subsection (e) of this section.

(b) Availability of sums in Fund

    Sums in the Fund shall, to the extent provided in appropriations 
Acts, be available--
        (1) for awarding scholarships, fellowships, and grants in 
    accordance with the provisions of this chapter; and
        (2) for properly allocable costs of the Federal Government for 
    the administration of the program under this chapter.

(c) Investment of Fund assets

    The Secretary of the Treasury shall invest in full the amount in the 
Fund that is not immediately necessary for expenditure. Such investments 
may be made only in interest-bearing obligations of the United States or 
in obligations guaranteed as to both principal and interest by the 
United States. For such purpose, such obligations may be acquired on 
original issue at the issue price or by purchase of outstanding 
obligations at the market price. The purposes for which obligations of 
the United States may be issued under chapter 31 of title 31 are hereby 
extended to authorize the issuance at par of special obligations 
exclusively to the Fund. Such special obligations shall bear interest at 
a rate equal to the average rate of interest, computed as to the end of 
the calendar month next preceding the date of such issue, borne by all 
marketable interest-bearing obligations of the United States then 
forming a part of the public debt, except that where such average rate 
is not a multiple of \1/8\ of 1 percent, the rate of interest of such 
special obligations shall be the multiple of \1/8\ of 1 percent next 
lower than such average rate. Such special obligations shall be issued 
only if the Secretary of the Treasury determines that the purchases of 
other interest-bearing obligations of the United States, or of 
obligations guaranteed as to both principal and interest by the United 
States or original issue or at the market price, is not in the public 
interest.

(d) Authority to sell obligations

    Any obligation acquired by the Fund (except special obligations 
issued exclusively to the Fund) may be sold by the Secretary of the 
Treasury at the market price, and such special obligations may be 
redeemed at par plus accrued interest.

(e) Amounts credited to Fund

    (1) The interest on, and the proceeds from the sale or redemption 
of, any obligations held in the Fund shall be credited to and form a 
part of the Fund.
    (2) Any amount paid to the United States under section 1902(b)(3) of 
this title shall be credited to and form a part of the Fund.
    (3) Any gifts of money shall be credited to and form a part of the 
Fund.

(Pub. L. 102-183, title VIII, Sec. 804, Dec. 4, 1991, 105 Stat. 1274; 
Pub. L. 102-496, title IV, Sec. 404(e), Oct. 24, 1992, 106 Stat. 3186; 
Pub. L. 103-160, div. A, title III, Sec. 375, Nov. 30, 1993, 107 Stat. 
1637.)


                               Amendments

    1993--Subsec. (b). Pub. L. 103-160, Sec. 375(b), struck out ``(1)'' 
before ``Sums in the Fund'', redesignated former subpars. (A) and (B) as 
pars. (1) and (2), respectively, and struck out former par. (2) which 
read as follows: ``No amount may be appropriated to the Fund, or 
obligated from the Fund, unless authorized by law.''
    Subsec. (e)(3). Pub. L. 103-160, Sec. 375(a), added par. (3).
    1992--Subsec. (c). Pub. L. 102-496 substituted ``expenditure'' for 
``obligation'' in first sentence.

                  Section Referred to in Other Sections

    This section is referred to in sections 1902, 1905, 1908, 1910 of 
this title.
