A bill to authorize emergency loan guarantees to units of government.

Authorizes the Secretary of the Treasury to guarantee any financing institution against loss of principal or interest on any loan to a unit of government for the purpose of assisting that unit of government to meet temporary and urgent financial needs which if not met (1) could seriously impair the ability of the unit of government to provide service for the public, and (2) could adversely and seriously affect the economy of the region surrounding the unit of government.

Specifies circumstances under which such guarantees may be made including, (1) the loan is not otherwise available, and (2) there is reasonable assurance of repayment.

Stipulates that the maximum obligation of the Secretary under any loan or loans made to any one borrower within any one year which is guaranteed under this Act shall not exceed $500,000,000, unless the Secretary submits a report to the Congress prior to the making of a larger guarantee.

Establishes in the Treasury of the United States a loan guarantee fund to be administered by the Secretary. Authorizes to be appropriated to the loan guarantee fund such amounts as may be necessary to provide requisite capital.

Creates a Loan Guarantee Policy Board to establish general policies which shall govern the making of guarantees under this Act.

Directs the Secretary to report to the Congress on the operation of this Act and the need for the establishment of an Emergency Loan Guarantee Corporation to provide for the continuation of the program established by this Act.