42 USC 16503 - Sugar ethanol loan guarantee program

U.S Code last checked for updates: May 05, 2024

§ 16503.

Sugar ethanol loan guarantee program

(a)

In general

(b)

Demonstration projects

(c)

Requirements

An applicant for a loan guarantee under this section may provide assurances, satisfactory to the Secretary, that—

(1)

the project design has been validated through the operation of a continuous process facility;

(2)

the project has been subject to a full technical review;

(3)

the project, with the loan guarantee, is economically viable; and

(4)

there is a reasonable assurance of repayment of the guaranteed loan.

(d)

Limitations

(1)

Maximum guarantee

Except as provided in paragraph (2), a loan guarantee under this section—

(A)

may be issued for up to 80 percent of the estimated cost of a project; but

(B)

shall not exceed $50,000,000 for any 1 project.

(2)

Additional guarantees

(A)

In general

The Secretary may issue additional loan guarantees for a project to cover—

(i)

up to 80 percent of the excess of actual project costs; but

(ii)

not to exceed 15 percent of the amount of the original loan guarantee.

(B)

Principal and interest

(Pub. L. 109–58, title XV, § 1516, Aug. 8, 2005, 119 Stat. 1091.)

cite as: 42 USC 16503