42 U.S.C. § 16421a — Western Area Power Administration borrowing authority

(a) Definitions: "Administrator" means the Administrator of the Western Area Power Administration. In this section, "Secretary" means the Secretary of the Treasury. (b) Authority: Despite any other law, and subject to paragraphs (2) through (5), the Western Area Power Administration may borrow funds from the Treasury, and the Treasury Secretary must lend it — without further appropriation and with no fiscal-year limit — whatever sums the Administrator determines are needed from time to time, on terms the Administrator and Treasury Secretary set, with total outstanding balances (including deferred interest) capped at $3,250,000,000 at any one time. The money may pay for constructing, financing, facilitating, planning, operating, maintaining, or studying new or upgraded electric transmission lines and related facilities with at least one end within WAPA's service area, and for delivering or facilitating delivery of power from renewable energy resources built, or reasonably expected to be built, after February 17, 2009. Interest: The Treasury Secretary sets each loan's interest rate, based on market yields on comparable-maturity outstanding U.S. government debt as of the loan date. Refinancing: WAPA may refinance loans made under this section within the Treasury. Participation: The Administrator may let other entities participate in financing, constructing, and owning projects funded this way. Congressional review of disbursement: Starting February 17, 2009, the Administrator may use up to $1,750,000,000 outstanding at any one time. To borrow more than that, the additional funds are disbursed automatically unless, within 90 calendar days of the request, Congress enacts a joint resolution rescinding the rest of the borrowing authority. (c) Transmission line and related facility projects: For repayment purposes, each project funded under this section is treated as separate and distinct from every other such project and from WAPA's other power and transmission facilities. WAPA must apply each project's own revenue to repaying that project's loan principal and interest, after reserving funds it determines are needed to pay for ancillary services and to operate and maintain the new project. That revenue is the only source used to repay the project's loan and to pay ancillary-service, operation, and maintenance expenses. Nothing in this section gives the Administrator any additional authority or duty to provide ancillary services to users of these transmission facilities. Revenue from ancillary services that an existing federal power system provides to users of a funded project is treated as revenue to that existing power system, not the new project. (d) Certification: Before committing funds to a project, the Administrator must certify that it is in the public interest; won't adversely impact system reliability, operations, or other statutory obligations; and can reasonably be expected to generate proceeds adequate to repay the loan. Forgiveness of balances: If a balance is still owed to the Treasury at the end of a project's useful life, that balance is forgiven. Funds spent studying projects considered under this section but never built are also forgiven. The Administrator must notify the Treasury Secretary of amounts being forgiven. (e) Public processes: Before requesting any loans under this section, the Administrator must use a public process to develop the practices and policies for implementing this authority. In selecting potential projects, the Administrator must seek Requests for Interest from entities interested in identifying potential projects, through notices published in the Federal Register.