Amends the Rural Electrification Act of 1936 to direct the Secretary of Agriculture to establish an initiative to promote energy efficiency by providing interest-free loans for purposes of making energy efficiency improvements and achieving energy conservation.
Requires the Secretary to: (1) make interest-free loans to encourage eligible borrowers (entities that have received and cooperatives that are eligible to receive a loan or loan guarantee under such Act) to invest in and facilitate consumer energy efficiency improvements or to increase energy conservation; and (2) use fees collected from lenders who receive guarantees for bonds or notes issued for electrification or telephone purposes under such Act to provide such loans.
Directs the Secretary to: (1) use only those fees that are collected for loans guaranteed after this Act's enactment; and (2) require the amount of the annual fee paid for the guarantee of a bond or note to be equal to 50 basis points of the amount of the unpaid principal of the bond or note guaranteed, with an additional loan origination fee equal to 50 such basis points to be paid at the time the guarantee is approved. Terminates such requirements on or after September 30, 2011.
Directs the Secretary to approve $3 million in loan guarantees under this Act to qualified lenders for FY2010.
[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6341 Introduced in House (IH)]
111th CONGRESS
2d Session
H. R. 6341
To establish a loan program to promote energy conservation in rural
areas.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
September 29, 2010
Mr. Holden introduced the following bill; which was referred to the
Committee on Agriculture
_______________________________________________________________________
A BILL
To establish a loan program to promote energy conservation in rural
areas.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. GROWING RURAL ENERGY EFFICIENCY NETWORKS.
The Rural Electrification Act of 1936 (7 U.S.C. 901 et seq.) is
amended by inserting after section 313A the following:
``SEC. 313B. GROWING RURAL ENERGY EFFICIENCY NETWORKS.
``(a) Definition.--In this section the term `eligible borrower'
means--
``(1) an entity that has received a loan or loan guarantee
under this Act; or
``(2) a cooperative that is eligible to receive a loan or
loan guarantee under this Act.
``(b) Interest-Free Loans.--The Secretary shall establish an
initiative to promote energy efficiency by providing interest-free
loans for the purposes of--
``(1) making energy efficiency improvements; and
``(2) achieving energy conservation.
``(c) Loan Purposes.--To promote the purposes described in
subsection (b), the Secretary shall make interest-free loans to
eligible borrowers to encourage such borrowers to--
``(1) invest in and facilitate consumer energy efficiency
improvements; or
``(2) increase energy conservation.
``(d) Repayment Terms.--In carrying out this section, the Secretary
shall establish such reasonable terms and conditions as necessary to
ensure participation by eligible borrowers.
``(e) Funding.--The Secretary shall use the fees collected pursuant
to section 313A(c) to provide the interest-free loans authorized under
this section.
``(f) Limitations.--In carrying out this section, the Secretary
shall--
``(1) use only those fees required under section 313A(c)
that are collected for loans guaranteed under section 313A
after the date of the enactment of this section; and
``(2) require that the amount of the annual fee paid for
the guarantee of a bond or note under section 313A be equal to
50 basis points of the amount of the unpaid principal of the
bond or note guaranteed under such section, and an additional
loan origination fee equal to 50 such basis points shall be
paid at the time the guarantee is approved.
``(g) Program Level.--The Secretary shall approve $3,000,000 in
loan guarantees under this section to qualified lenders as described in
section 313A(b)(3) for the fiscal year ending September 30, 2010.
``(h) Sunset.--Subsection (f) shall not be effective on or after
September 30, 2011.''.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Agriculture.
Referred to the Subcommittee on Conservation, Credit, Energy, and Research.
Referred to the Subcommittee on Rural Development, Biotechnology, Specialty Crops, and Foreign Agriculture.
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