
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 7USC1949]

 
                          TITLE 7--AGRICULTURE
 
                     CHAPTER 50--AGRICULTURAL CREDIT
 
                     SUBCHAPTER II--OPERATING LOANS
 
Sec. 1949. Graduation of borrowers with operating loans or 
        guarantees to private commercial credit
        

(a) Graduation plan

    The Secretary shall establish a plan, in coordination with 
activities under sections 2006a, 2006b, 2006c, and 2006d of this title, 
to encourage each borrower with an outstanding loan under this 
subchapter or with respect to whom there is an outstanding guarantee 
under this subchapter to graduate to private commercial or other sources 
of credit.

(b) Limitation on period borrowers are eligible for guaranteed 
        assistance

                          (1) General rule

        Subject to paragraph (2), the Secretary shall not guarantee a 
    loan under this subchapter for a borrower for any year after the 
    15th year that a loan is made to, or a guarantee is provided with 
    respect to, the borrower under this subchapter.

                         (2) Transition rule

        If, as of October 28, 1992, a farmer or rancher has received a 
    direct or guaranteed operating loan under this subchapter during 
    each of 10 or more previous years, the borrower shall be eligible to 
    receive a guaranteed operating loan under this subchapter during 5 
    additional years after October 28, 1992.

(Pub. L. 87-128, title III, Sec. 319, as added Pub. L. 102-554, Sec. 9, 
Oct. 28, 1992, 106 Stat. 4150; amended Pub. L. 104-127, title VI, 
Sec. 617, Apr. 4, 1996, 110 Stat. 1090.)


                               Amendments

    1996--Subsec. (b). Pub. L. 104-127 added subsec. (b) and struck out 
former subsec. (b) which provided for limitation on period for which 
borrowers were eligible for assistance under this subchapter and 
contained transition rule.
