12 U.S.C. § 635e — Aggregate loan, guarantee, and insurance authority
submitted 81 years ago by ch. 341 to r/title-12-BANKS-AND-BANKING · 419 words · no verdicts yet
The Bank may not have more than the stated total amount of loans, guarantees, and insurance outstanding, and must maintain a reserve equal to at least 5 percent of its disbursed and outstanding amounts. The section also freezes the cap when the reported quarterly default rate reaches 2 percent and requires a yearly presidential review of the Bank's authority.
(a) Limits on outstanding amounts. (1) The Bank may not have loans, guarantees, and insurance outstanding in total amounts greater than the applicable amount. (2) For each fiscal year from 2020 through 2027, “applicable amount” means $135,000,000,000.
(3) If the rate calculated under section 635g(g)(1) of this title is at least 2 percent for a quarter, the Bank may not increase the amount of loans, guarantees, and insurance outstanding beyond the amount outstanding on the last day of that quarter. This freeze continues until the calculated rate is below 2 percent.
(4) All spending and credit* authority under this subchapter is effective in a fiscal year only to the extent and in the amounts provided in appropriations Acts.
(b) Reserve. The Bank must build and keep a reserve to protect against future losses. The reserve must be at least 5 percent of the total amount of the Bank's disbursed and outstanding loans, guarantees, and insurance.
(c) Presidential determination. (1) By March 31 of each fiscal year, the President of the United States must decide whether the Bank's authority for that year will be enough for its needs, especially needs caused by (A) unforeseen increases in exports compared with the original budget request; (B) increased foreign export-credit subsidies; or (C) insufficient progress in reducing or eliminating export-credit subsidies.
(2)(A) If the President finds that the Bank's available direct-loan or guarantee authority exceeds what will be needed to perform its functions, considering qualified applications and legal limits during that year, the President must promptly send Congress a request for legislation removing the excess direct-loan, loan-guarantee, or insurance authority. (B) Unless a law directs otherwise, the Bank must continue making the remaining authority available during that year according to its practices and this subchapter's requirements.
The Export-Import Bank of the United States shall not have outstanding at any one time loans, guarantees, and insurance in an aggregate amount in excess of the applicable amount.
In this subsection, the term “applicable amount”, for each of fiscal years 2020 through 2027, means $135,000,000,000.
If the rate calculated under section 635g(g)(1) of this title is 2 percent or more for a quarter, the Bank may not exceed the amount of loans, guarantees, and insurance outstanding on the last day of that quarter until the rate calculated under section 635g(g)(1) of this title is less than 2 percent.
All spending and credit* authority provided under this subchapter shall be effective for any fiscal year only to such extent or in such amounts as are provided in appropriation Acts.
The Bank shall build to and hold in reserve, to protect against future losses, an amount that is not less than 5 percent of the aggregate amount of disbursed and outstanding loans, guarantees, and insurance of the Bank.
Not later than March 31 of each fiscal year, the President of the United States shall determine whether the authority available to the Bank for such fiscal year will be sufficient to meet the Bank’s needs, particularly those needs arising from—
increases in the level of exports unforeseen at the time of the original budget request for such fiscal year;
any increased foreign export credit subsidies; or
the lack of progress in negotiations to reduce or eliminate export credit subsidies.
If the President of the United States finds that the amount of direct loan authority or guarantee authority available to the Bank for the fiscal year involved exceeds the amount which will be necessary to carry out the Bank’s functions consistent with the availability of qualified applications and limitations imposed by law during such year, the President of the United States shall promptly transmit to the Congress a request for legislation to eliminate the amount of such excess direct loan, loan guarantee, or insurance authority.
The Bank shall continue to make remaining amounts of its authority available for the fiscal year involved, in accordance with its practices and the requirements of this subchapter, unless otherwise directed pursuant to law.
Source credit: (July 31, 1945, ch. 341, § 6, formerly § 7, 59 Stat. 529; Oct. 3, 1951, ch. 445, § 1(b), 65 Stat. 367; May 21, 1953, ch. 64, § 2, 67 Stat. 28; Aug. 9, 1954, ch. 660, § 3(b), 68 Stat. 678; Pub. L. 85–424, § 1(2), May 22, 1958, 72 Stat. 133; Pub. L. 88–101, § 1(b), Aug. 20, 1963, 77 Stat. 128; Pub. L. 90–267, § 1(a), (e), Mar. 13, 1968, 82 Stat. 47, 49; Pub. L. 92–126, § 1(b)(3), Aug. 17, 1971, 85 Stat. 345; Pub. L. 93–646, § 8, Jan. 4, 1975, 88 Stat. 2336; Pub. L. 95–630, title XIX, §§ 1905, 1914, Nov. 10, 1978, 92 Stat. 3725, 3727; Pub. L. 97–35, title III, § 381(a), Aug. 13, 1981, 95 Stat. 431; Pub. L. 98–181, title I [title VI, §§ 615, 620(d)], Nov. 30, 1983, 97 Stat. 1256, 1261; Pub. L. 99–472, §§ 13, 17, Oct. 15, 1986, 100 Stat. 1204, 1205; Pub. L. 102–145, § 121(1), Oct. 28, 1991, as added Pub. L. 102–266, § 102, Apr. 1, 1992, 106 Stat. 95; renumbered § 6 and amended Pub. L. 102–429, title I, §§ 109(b), 121(c)(2), Oct. 21, 1992, 106 Stat. 2193, 2199; Pub. L. 106–569, title XI, § 1104(a)(3), Dec. 27, 2000, 114 Stat. 3031; Pub. L. 107–189, § 5, June 14, 2002, 116 Stat. 699; Pub. L. 109–438, § 9, Dec. 20, 2006, 120 Stat. 3275; Pub. L. 112–122, § 3, May 30, 2012, 126 Stat. 350; Pub. L. 114–94, div. E, title LI, §§ 51001, 51002(a), Dec. 4, 2015, 129 Stat. 1763; Pub. L. 116–94, div. I, title IV, § 401(b), Dec. 20, 2019, 133 Stat. 3021.)
- 1945Enacted · Act of July 31, 1945, ch. 341 · 59 Stat. 529
- 1951Amended · Act of Oct. 3, 1951, ch. 445 · 65 Stat. 367
- 1953Amended · Act of May 21, 1953, ch. 64 · 67 Stat. 28
- 1954Amended · Act of Aug. 9, 1954, ch. 660 · 68 Stat. 678
- 1958Amended · Pub. L. 85-424 · 72 Stat. 133
- 1963Amended · Pub. L. 88-101 · 77 Stat. 128
- 1968Amended · Pub. L. 90-267 · 82 Stat. 47, 49
- 1971Amended · Pub. L. 92-126 · 85 Stat. 345
- 1975Amended · Pub. L. 93-646 · 88 Stat. 2336
- 1978Amended · Pub. L. 95-630 · 92 Stat. 3725, 3727
- 1981Amended · Pub. L. 97-35 · 95 Stat. 431
- 1983Amended · Pub. L. 98-181 · 97 Stat. 1256, 1261
- 1986Amended · Pub. L. 99-472 · 100 Stat. 1204, 1205
- 1991Amended · Pub. L. 102-145 · 106 Stat. 95
- 1992Amended · Pub. L. 102-429 · 106 Stat. 2193, 2199
- 2000Amended · Pub. L. 106-569 · 114 Stat. 3031
- 2002Amended · Pub. L. 107-189 · 116 Stat. 699
- 2006Amended · Pub. L. 109-438 · 120 Stat. 3275
- 2012Amended · Pub. L. 112-122 · 126 Stat. 350
- 2015Amended · Pub. L. 114-94 · 129 Stat. 1763
- 2019Amended · Pub. L. 116-94 · 133 Stat. 3021
A history note hasn’t been published yet. The record shows enactment by ch. 341 on 1945-07-31.
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