§ 936e. Administrative prohibitions applicable to certain electric borrowers

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

   Pub. L. 103–129 § 2(c)(7) · 107 Stat. 1356

   Enacted · 7 U.S.C. § 936e

   May 20, 1936, ch. 432, title III, § 306E, as added Pub. L. 103–129, § 2(c)(7), Nov. 1, 1993, 107 Stat. 1365

   Source evidence

   Code source credit
   May 20, 1936, ch. 432, title III, § 306E, as added Pub. L. 103–129, § 2(c)(7), Nov. 1, 1993, 107 Stat. 1365

   Enacted provision · exact public law section
   (C) by inserting after subsection (b) (as so redesignated) the following new subsections:

2. 1993

   Pub. L. 103–201 § 1 · 107 Stat. 2342

   1. Inserted · 7 U.S.C. § 936e

      Pub. L. 103–201 inserted “certain” before “electric” in section catchline

   2. Amended · 7 U.S.C. § 936e

      Pub. L. 103–201 amended text generally. Prior to amendment, text read as follows: “The Administrator may not require prior approval of, impose any requirement, restriction, or prohibition with respect to the operations of, or deny or delay the granting of a lien accommodation to, any electric borrower under this chapter whose net worth exceeds 110 percent of the outstanding principal balance on all loans made or guaranteed to the borrower by the Administrator.”

   Source evidence

   Code amendment note
   Pub. L. 103–201 inserted “certain” before “electric” in section catchline and amended text generally. Prior to amendment, text read as follows: “The Administrator may not require prior approval of, impose any requirement, restriction, or prohibition with respect to the operations of, or deny or delay the granting of a lien accommodation to, any electric borrower under this chapter whose net worth exceeds 110 percent of the outstanding principal balance on all loans made or guaranteed to the borrower by the Administrator.”

   Enacted provision · exact public law section
   SECTION 1. ADMINISTRATIVE PROHIBITIONS APPLICABLE TO CERTAIN ELECTRIC BORROWERS. 7 USC 936e note. Section 306E of the Rural Electrification Act of 1936 is amended to read as follows: “SEC. 306E. ADMINISTRATIVE PROHIBITIONS APPLICABLE TO CERTAIN ELECTRIC BORROWERS. “(a) In General.— For the purpose of relieving borrowers of unnecessary and burdensome requirements, the Administrator, guided by the practices of private lenders with respect to similar credit risks, shall issue regulations, applicable to any electric borrower under this Act whose net worth exceeds 110 percent of the outstanding principal balance on all loans made or guaranteed to the borrower by the Administrator, to minimize those approval rights, requirements, restrictions, and prohibitions that the Administrator otherwise may establish with respect to the operations of such a borrower. “(b) Subordination or Sharing of Liens.— At the request of a private lender providing financing to such a borrower for a capital investment, the Administrator shall, expeditiously, either offer to share the government’s lien on the borrower’s system or offer to subordinate the government’s lien on that property financed by the private lender. “(c) Issuance of Regulations.— In issuing regulations implementing this section, the Administrator may establish requirements, guided by the practices of private lenders, to ensure that the security for any loan made or guaranteed under this Act is reasonably adequate. “(d) Authority of the Administrator.— Nothing in this section limits the authority of the Administrator to establish terms and conditions with respect to the use by borrowers of the proceeds of loans made or guaranteed under this Act or to take any other action specifically authorized by law.”.

3. 1994

   Department of Agriculture Reorganization Act of 1994

   Pub. L. 103–354 title II § 235(a)(8) · 108 Stat. 3178

   Substituted · 7 U.S.C. § 936e

   Pub. L. 103–354 substituted “Secretary” for “Administrator” in heading of subsec. (d) and wherever appearing in text

   Source evidence

   Code amendment note
   Pub. L. 103–354 substituted “Secretary” for “Administrator” in heading of subsec. (d) and wherever appearing in text.

   Enacted provision · exact public law section
   (8) in sections 305(c)(2)(C)(ii)(II) and 306E(d) (7 U.S.C. 935(c)(2)(C)(ii)(II) and 936e(d)), by striking “Administrator” and inserting “Secretary”;

4 of 4 references resolved to an enrolled provision