§ 926. Certain rural development investments by qualified telephone borrowers not treated as dividends or distributions

Legislative history

Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.

1. 1936

   Rural Telecommunications Improvements Act of 1990

   Pub. L. 101–624 title XXIII § 2356 · 104 Stat. 3359

   Enacted · 7 U.S.C. § 926

   May 20, 1936, ch. 432, title II, § 205, as added Pub. L. 101–624, title XXIII, § 2356, Nov. 28, 1990, 104 Stat. 4039

   Source evidence

   Code source credit
   May 20, 1936, ch. 432, title II, § 205, as added Pub. L. 101–624, title XXIII, § 2356, Nov. 28, 1990, 104 Stat. 4039

   Enacted provision · exact public law section
   SEC. 2356. ENCOURAGEMENT OF INVESTMENT BY TELEPHONE BORROWERS IN RURAL DEVELOPMENT PROJECTS. Title II (7 U.S.C. 922 et seq.) is amended by adding after the section added by section 2355 of this Act the following new section: “SEC. 205. CERTAIN RURAL DEVELOPMENT INVESTMENTS BY QUALIFIED TELEPHONE BORROWERS NOT TREATED AS DIVIDENDS OR DISTRIBUTIONS. “(a) In General.— The Administrator and the Governor of the telephone bank shall not— “(1) treat any amount invested by any qualified telephone borrower for any purpose described in section 607(c)(2) of the Rural Development Act of 1972 (including any investment in, or extension of credit, guarantee, or advance made to, an affiliated company of the borrower, that is used by such company for such a purpose) as a dividend or distribution of capital to the extent that, immediately after such investment, the aggregate of such investments does not exceed 1/3 of the net worth of the borrower; or “(2) require a qualified telephone borrower to obtain the approval of the Administrator or the Governor of the telephone bank in order to make an investment described in paragraph (1). “(b) Qualified Telephone Borrower Defined.— As used in subsection (a), the term ‘qualified telephone borrower’ means a person— “(1) to whom a telephone loan has been made or guaranteed under this Act; and “(2) whose net worth is at least 20 percent of the total assets of such person.”.

2. 1994

   Department of Agriculture Reorganization Act of 1994

   Pub. L. 103–354 title II § 235(a)(13) · 108 Stat. 3178

   Substituted · 7 U.S.C. § 926(a)

   Pub. L. 103–354 substituted “Secretary” for “Administrator” in two places

   Source evidence

   Code amendment note
   Subsec. (a). Pub. L. 103–354 substituted “Secretary” for “Administrator” in two places.

   Enacted provision · exact public law section
   (13) except as otherwise provided in this subsection, by striking “Administrator” each place it appears in such Act and inserting “Secretary”.

3. 2018

   Agriculture Improvement Act of 2018

   Pub. L. 115–334 § 6602(b)(3)(A) · 132 Stat. 4490

   Struck · 7 U.S.C. § 926(a)

   Pub. L. 115–334, § 6602(b)(3)(A), struck out “and the Governor of the telephone bank” after “The Secretary” in introductory provisions

   Source evidence

   Code amendment note
   Subsec. (a). Pub. L. 115–334, § 6602(b)(3)(A), struck out “and the Governor of the telephone bank” after “The Secretary” in introductory provisions.

   Enacted provision · exact public law section
   (A) in the matter preceding paragraph (1), by striking “and the Governor of the telephone bank”; and

4. 2018

   Agriculture Improvement Act of 2018

   Pub. L. 115–334 § 6602(b)(3)(B) · 132 Stat. 4490

   Struck · 7 U.S.C. § 926(a)(2)

   Pub. L. 115–334, § 6602(b)(3)(B), struck out “or the Governor of the telephone bank” after “the Secretary”

   Source evidence

   Code amendment note
   Subsec. (a)(2). Pub. L. 115–334, § 6602(b)(3)(B), struck out “or the Governor of the telephone bank” after “the Secretary”.

   Enacted provision · exact public law section
   (B) in paragraph (2), by striking “or the Governor of the telephone bank”.

4 of 4 references resolved to an enrolled provision