(2) the foreign noncompetitive financing has been withdrawn.

(c) Provision of financing by Bank pursuant to authorization

[See main edition for text of (c)]

(As amended Pub. L. 98-181, title VI, §§ 631, 633, Nov. 30, 1983, 97 Stat. 1262, 1263; Pub. L. 99-472, § 15, Oct. 15, 1986, 100 Stat. 1204.)

AMENDMENTS

1986-Subsec. (a)(1). Pub. L. 99-472, § 15(b), which directed the insertion of "irrespective of whether these credits are being offered by governments which are signatories to such standstills, minutes, or practices," after "major export countries have agreed," was executed by inserting that phrase after “major exporting countries have agreed," as the probable intent of Congress.

Subsec. (b). Pub. L. 99-472, § 15(a), amended subsec. (b) generally. Prior to amendment, subsec. (b) read as follows: "The Secretary of the Treasury shall only issue such authorization to the Bank to provide guarantees, insurance and credits to competing United States sellers, if the Secretary determines that:

"(1) the availability of foreign official noncompetitive financing is likely to be a significant factor in the sale, and

"(2) the foreign noncompetitive financing has not been withdrawn on the date the Bank is authorized to provide competitive financing."

1983-Subsec. (a)(1). Pub. L. 98-181, § 631(1), inserted provision that the inquiry, and where appropriate, the determination and authorization to the ExportImport Bank of the United States referred to in this section shall be completed and made within 60 days of the receipt of such information.

Subsec. (a)(2). Pub. L. 98-181, § 633(b), substituted "the Secretary shall request" for "he shall request". Subsec. (b). Pub. L. 98-181, § 633(a), subsituted "if the Secretary determines that" for "if he determines that" in provisions preceding par. (1).

Subsec. (b)(1). Pub. L. 98-181, § 631(2), substituted "significant factor" for "determining factor".

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in title 19 section 1671g.

§ 635a-4. Guarantees for export accounts receivable and inventory

The Export-Import Bank of the United States is authorized and directed to establish a program to provide guarantees for loans extended by financial institutions or other public or private creditors to export trading companies as defined in section 1843(c)(14)(F)(i) of this title, or to other exporters, when such loans are secured by export accounts receivable, inventories of exportable goods, accounts receivable from leases, performance contracts, grant commitments, participation fees, member dues, revenue from publications, or such other collateral as the Board of Directors may deem appropriate, and when in the judgment of the Board of Directors

[See main edition for text of (1) and (2)] The Board of Directors shall attempt to insure that a major share of any loan guarantees ultimately serves to promote exports from small, medium-size, and minority businesses or agricultural concerns. Guarantees provided under the authority of this section shall be subject to

limitations contained in annual appropriations Acts.

(As amended Pub. L. 98-181, title VI, § 616(b), Nov. 30, 1983, 97 Stat. 1257.)

AMENDMENTS

1983-Pub. L. 98-181 substituted "export accounts receivable, inventories of exportable goods, accounts receivable from leases, performance contracts, grant commitments, participation fees, member dues, revenue from publications, or such other collateral as the Board of Directors may deem appropriate," for "export accounts receivable or inventories of exportable goods".

§ 635b. Capitalization of Bank; method of capital stock payments; public-debt transactions; issuance of stock certificates

The Export-Import Bank of the United States shall have a capital stock of $1,000,000,000 subscribed by the United States. Payment for $1,000,000 of such capital stock shall be made by the surrender to the Bank for cancellation of the common stock issued prior to July 31, 1945, by the Bank and purchased by the United States. Payment for $174,000,000 of such capital stock shall be made by the surrender to the Bank for cancellation of the preferred stock heretofore issued by the Bank and purchased by the Reconstruction Finance Corporation. Payment for the $825,000,000 balance of such capital stock shall be subject to call at any time in whole or in part by the Board of Directors of the Bank. For the purpose of making payments of such balance, the Secretary of the Treasury is authorized to use as a public-debt transaction the proceeds of any securities issued after July 31, 1945, under chapter 31 of title 31, and the purposes for which securities may be issued under that chapter are extended to include such purpose. Payment under this section of the subscription of the United States to the Bank and repayments thereof shall be treated as public-debt transactions of the United States. Certificates evidencing stock ownership of the United States shall be issued by the Bank to the President of the United States, or to such other person or persons as the President may designate from time to time, to the extent of the common and preferred stock surrendered and other payments made for the capital stock of the Bank under this section.

(As amended Nov. 30, 1983, Pub. L. 98-181, title VI, § 620(c), 97 Stat. 1261.)

AMENDMENTS

1983-Pub. L. 98-181 substituted "the President" for "he" before "may designate".

§ 635e. Restrictions on amount outstanding; effectiveness of spending and credit authority; authorization of appropriations; limitations on amount and purposes of loans and financial guarantees for exports to Union of Soviet Socialist Republics; Presidential increase of limitations

(a)(1) The Export-Import Bank of the United States shall not have outstanding at any one time loans, guaranties, and insurance in an aggregate amount in excess of $40,000,000,000. 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.

(2)(A)(i) 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—

(I) increases in the level of exports unforeseen at the time of the original budget request for such fiscal year;

(II) any increased foreign export credit subsidies; or

(III) the lack of progress in negotiations to reduce or eliminate export credit subsidies.

(ii) Not later than April 15 of each year, the President of the United States shall transmit to the Congress a report on such determination.

(B)(i) 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.

(ii) 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.

(3) AUTHORIZATION OF APPROPRIATION.-There are authorized to be appropriated $145,259,000 for fiscal year 1987 to cover the subsidy cost of new direct loans obligated by the Bank in that fiscal year. Any amounts appropriated under this paragraph shall be permanent additions to the capital and reserves of the Bank.

(b) After January 4, 1975, the Bank shall not approve any loans or financial guarantees, or combination thereof, in connection with exports to the Union of Soviet Socialist Republics in an aggregate amount in excess of $300,000,000. No such loan or financial guarantee, or combination thereof, shall be for the purchase, lease, or procurement of any product or service for production (including processing and distribution) of fossil fuel energy resources. Not more than $40,000,000 of such aggregate amount shall be for the purchase, lease, or procurement of any product or service which involves research or exploration of fossil fuel energy resources. The President may establish a limitation in excess of $300,000,000 if the President determines that such higher limitation is in the national interest and if the President reports such determination to the Congress together with the reasons therefor, including the amount of such proposed increase which would be available for the export of products and services for research, exploration, and production (including processing and distribution) of fossil fuel energy resources in the Union of Soviet Socialist Republics, and if, after the receipt of such report together with

the reasons, the Congress adopts a concurrent resolution approving such determination.

(As amended Nov. 30, 1983, Pub. L. 98-181, title VI, §§ 615, 620(d), 97 Stat. 1256, 1261; Oct. 15, 1986, Pub. L. 99-472, §§ 13, 17, 100 Stat. 1204, 1205.)

AMENDMENTS

1986-Subsec. (a)(1). Pub. L. 99-472, § 17, substituted "All spending and credit authority" for "All spending authority".

Subsec. (a)(3). Pub. L. 99-472, § 13, added par. (3). 1983-Subsec. (a)(2). Pub. L. 98-181, § 615, amended par. (2) generally, substituting provisions requiring a Presidential determination, not later than March 31 of each fiscal year, as to whether the authority available to the Bank for such fiscal year will be sufficient to meet the Bank's needs, requiring the President to transmit to Congress a report on such determination no later than April 15 of each year, and establishing procedures if the direct loan or guarantee authority available exceeds the amount necessary, for provision limiting gross obligations for the principal amount of direct loans authorized by the Bank during fiscal years 1982 and 1983 to $10,478,000,000, and designating specified amounts thereof for each fiscal year.

Subsec. (b). Pub. L. 98-181, § 620(d), substituted "the President" for "he" before "determines that such higher limitation" and "reports such determination". § 635f. Termination date of Bank's functions; exceptions; liquidation

Export-Import Bank of the United States shall continue to exercise its functions in connection with and in furtherance of its objects and purposes until the close of business on September 30, 1992, but the provisions of this section shall not be construed as preventing the bank from acquiring obligations prior to such date which mature subsequent to such date or from assuming prior to such date liability as guarantor, endorser, or acceptor of obligations which mature subsequent to such date or from issuing, either prior or subsequent to such date, for purchase by the Secretary of the Treasury or any other purchasers, its notes, debentures, bonds, or other obligations which mature subsequent to such date or from continuing as a corporate agency of the United States and exercising any of its functions subsequent to such date for purposes of orderly liquidation, including the administration of its assets and the collection of any obligations held by the bank. (As amended Oct. 1, 1983, Pub. L. 98-109, § 6, 97 Stat. 746; Nov. 1, 1983, Pub. L. 98-143, 97 Stat. 916; Nov. 30, 1983, Pub. L. 98-181, title VI, § 611, 97 Stat. 1254; Oct. 15, 1986, Pub. L. 99-472, § 14, 100 Stat. 1204.)

AMENDMENTS

1986-Pub. L. 99-472 substituted "September 30, 1992" for "September 30, 1986".

1983-Pub. L. 98-181 substituted "September 30, 1986" for "November 18, 1983".

Pub. L. 98-143 substituted "November 18, 1983" for "October 31, 1983".

Pub. L. 98-109 substituted "October 31, 1983" for "September 30, 1983".

§ 635g. Report to Congress; time for submission; contents

[See main edition for text of (a)]

(b) Actions taken by Bank to aid small business

The report shall contain a description of actions taken by the Bank in pursuance of the policy of aiding, counseling, assisting, and protecting, insofar as is possible, the interests of small business concerns and of the activities of the member of the Board appointed to represent the interest of small business. In addition, the Bank shall include in the report a description of specific activities and programs undertaken by it to achieve the policy of section 3261 of title 22, and section 2151q of title 22, as required by section 635(b)(1)(C) of this title. (c) Report on allocation of sums set aside for small business exports

(1) The Bank shall include in its annual report to the Congress a report on the allocation of the sums set aside for small business exports pursuant to section 635(b)(1)(E) of this title.

(2) Such report shall specify

(A) the total number and dollar volume of loans made from the sums set aside;

(B) the number and dollar volume of loans made through the consortia program under section 635(b)(1)(E)(vii) of this title;

(C) the amount of guarantees and insurance provided for small business exports;

(D) the number of recipients of financing from the sums set aside who have not previously participated in the Bank's programs;

(E) the number of commitments entered into in amounts less than $500,000; and

(F) any recommendations for increasing the participation of banks and other institutions in the programs authorized under section 635(b)(1)(E) of this title.

(3) For the purpose of this subsection, the Bank's report shall be transmitted to the Committee on Small Business of the Senate and the Committee on Small Business of the House of Representatives.

(d) Actions taken by Bank to aid industries, preserve and create highly skilled jobs, and enhance opportunity for business growth and expansion; comments of Advisory Committee

(1) The report shall include a detailed description of all actions which have been taken by the Bank or which will be taken by the Bank

(A) to maintain the competitive position of key linkage industries in the United States; (B) to support industries which are engaged in the export of high value added products;

(C) to support industries which are engaged in the development of new capital goods technology;

(D) to preserve and create high skilled jobs in the United States economy; and

(E) to enhance the opportunity for growth and expansion of small businesses and entrepreneurial enterprises.

(2) Such report shall include the comments of the Advisory Committee regarding the objectives specified in paragraph (1).

(e) GAO report on interest subsidy payments

(1) REPORT REQUIRED.-Not later than March 1, 1988, the Comptroller General of the United

States shall transmit to both Houses of the Congress a report on the manner in which and the extent to which the Bank is exercising its authority to make interest subsidy payments under section 635(f) of this title.

(2) CONTENTS OF REPORT.-The report required under paragraph (1) with respect to interest subsidy payments shall—

(A) compare the efficiency and competitiveness of interest subsidy payments with the efficiency and competitiveness of direct Bank financing of an equivalent value of exports;

(B) compare the cost, to the United States Government, of making interest subsidy payments and the impact of such payments on the financial condition of the Bank with the cost and impact of direct Bank financing of an equivalent value of exports;

(C) compare the impact of interest subsidy payments on the Federal budget with the impact on such budget of direct Bank financing of an equivalent value of exports; and

(D) include all views and recommendations of the Advisory Committee of the Bank which are submitted to the Comptroller General of the United States before December 1, 1987.

(As amended Nov. 30, 1983, Pub. L. 98-181, title VI, §§ 618(b), 623, 97 Stat. 1259, 1262; Oct. 15, 1986, Pub. L. 99-472, § 20(b), (c), 100 Stat. 1209, 1210.)

§ 6351-1. Special facilities in support of United States exports

The Bank is authorized to establish general facilities consisting of guarantees and insurance in support of export transactions to Brazil in the aggregate amount of $1,500,000,000 and to Mexico in the aggregate amount of $500,000,000. No such guarantees may be made, or insurance issued, after March 31, 1985.

(July 31, 1945, ch. 341, § 13, as added Nov. 30, 1983, Pub. L. 98-181, title VI, § 619(a), 97 Stat. 1260.)

§ 6351-2. Capital level of Bank

After fiscal year 1983, if at the end of any fiscal quarter the value of the total capital stock and retained earnings of the Bank falls below 50 per centum of the value of the total capital stock and retained earnings of the Bank at the end of fiscal year 1983, the Board of Di

rectors shall notify the Congress of the decrease in the level of the capital stock of the Bank not later than thirty days after the end of the fiscal quarter involved and the Congress shall take appropriate action.

(July 31, 1945, ch. 341, § 14, as added Nov. 30, 1983, Pub. L. 98-181, title VI, § 621, 97 Stat. 1261.)

§ 6351-3. Tied Aid Credit Fund and program

(a) Findings

The Congress finds that

(1) tied aid and partially untied aid credits offered by other countries are a predacious method of financing exports because of their market-distorting effects;

(2) these distortions have caused the United States to lose export sales, with resulting losses in economic growth and employment;

(3) these practices undermine market mechanisms that would otherwise result in export purchase decisions made on the basis of price, quality, delivery, and other factors directly related to the export, where official financing is not subsidized and would be a neutral factor in the transaction;

(4) support of commercial exports by donor countries with tied aid and partially untied aid credits impedes the growth of developing countries because it diverts development assistance funds from essential developmental purposes; and

(5) there should be established in the Bank a temporary tied aid program to target the export markets of those countries which make extensive use of tied aid or partially untied aid credits for commercial advantage for the purpose of facilitating the negotiation of a comprehensive international arrangement restricting the use of tied aid and partially untied aid credits for commercial purposes, and such program should be aggressively used until such an arrangement is established.

(b) Establishment of tied aid credit program (1) In general

For the purpose of facilitating the negotiation of a comprehensive international arrangement restricting the use of tied aid and partially untied aid credits for commercial purposes, the Bank shall establish a tied aid credit program under which grants shall be made from funds available in the Tied Aid Credit Fund established under subsection (c) of this section

(A) to supplement the financing of a United States export when there is a reasonable expectation that predacious financing will be provided by another country for a sale by a competitor of the United States exporter with respect to such export;

(B) to supplement the financing of United States exports to foreign markets which are actual or potential export markets for any country which the Bank determines

(i) engages in predacious official export financing through the use of tied aid or partially untied aid credits; and

(ii) impedes negotiations to eliminate the use of such credits for commercial purposes; or

(C) to supplement the financing of United States exports under such other circumstances as the Bank may determine to be appropriate for carrying out the purposes of this section.

(2) Administration of program

The tied aid credit program shall be administered by the Bank

(A) in consultation with the Secretary of the Treasury and in accordance with the Secretary's recommendations on how such credits could be used most effectively and efficiently to promote the negotiation of a comprehensive international arrangement restricting the use of tied aid and partially untied aid credits for commercial purposes; (B) in cooperation with private financial institutions or entities, as appropriate; and

(C) in consultation with the National Advisory Council on International Monetary and Financial Policies.

(3) Coordination with other export financing

Under the tied aid credit program, the Bank may combine grants from the Tied Aid Credit Fund with

(A) any guarantee, insurance, or other extension of credit provided by the Bank under this subchapter;

(B) any export financing provided by any private financial institution or other entity; and

(C) any other type of export financing, in such manner and under such terms as the Bank determines to be appropriate, including combinations of export financing in the form of blended financing and parallel financing. (4) Information on countries which engage in official predacious export financing and impede negotiations

In order to assist the Bank to make the most efficient use of funds available for supplemental financing under paragraph (1)(B), the United States Trade Representative and the Secretary of Commerce may provide information on principal sectors and key markets of countries described in paragraph (1)(B) to the Bank, the Secretary, and the National Advisory Council on International Monetary and Financial Policies.

(c) Tied Aid Credit Fund

(1) In general

There is hereby established within the Bank a fund to be known as the "Tied Aid Credit Fund" (hereinafter in this section referred to as the "Fund"), consisting of such amounts as may be appropriated to the Fund pursuant to the authorization contained in subsection (e) of this section.

(2) Expenditures from Fund

Amounts in the Fund shall be available for grants made by the Bank under the tied aid credit program established pursuant to subsection (b) of this section and to reimburse

the Bank for the cost of any tied aid credits authorized by the Bank during fiscal years 1986, 1987, and 1988.

(d) Consistency with Arrangement

Any export financing involving the use of a grant under the tied aid credit program shall be consistent with the procedures established by the Arrangement, as in effect at the time such financing is approved.

(e) Authorization of appropriations

(1) In general

There is hereby authorized to be appropriated to the Fund for fiscal years 1987 and 1988, $300,000,000. Except as provided in paragraph (2), such sums shall remain available until expended.

(2) Rescission authority

(A) Determination by President

If the President determines that any amount appropriated to the Fund is not required to achieve the purpose of the Fund, the President shall transmit a special message of such determination to the Congress in the manner provided in section 1012(a) of the Impoundment Control Act of 1974 [2 U.S.C. 683(a)].

(B) Special message

Any message under this paragraph shall be treated as a special message under such section for purposes of such Act [2 U.S.C. 681 et seq.).

(f) Nonreviewability

No action taken under this section shall be reviewable by any court, except for abuse of discretion.

(g) Report to Congress

(1) Report required

Before the end of the 6-month period beginning on October 15, 1986, and every six months thereafter, the Bank, in consultation with the Secretary, shall prepare and transmit a report on tied aid credits to the President of the Senate and the Speaker of the House of Representatives.

(2) Contents of report

Each report required by paragraph (1) shall contain a description of

(A) the principal offers of predacious financing by foreign countries during the course of the previous 6 months;

(B) steps taken by the United States to combat specific predacious financing practices of foreign countries;

(C) any use by the Bank of the Tied Aid Credit Fund to match specific predacious financing practices of foreign countries and to initiate tied aid credit offers;

(D) any additional steps the United States may take in the future to discourage use of predacious financing practices; and

(E) any progress achieved in negotiations to establish a comprehensive international arrangement restricting the use of tied aid and partially untied credits for commercial purposes.

(3) Confidential information

To the extent the Bank determines any information required to be included in the report under this subsection should not be made public, such information may be submitted separately on a confidential basis or provided orally, rather than in written form, to the Chairmen and ranking minority Members of the Committees of the Senate and the House of Representatives with jurisdiction over the subject matter of the report. (h) Definitions

For the purpose of this section

(1) Tied aid and partially untied aid credit The terms "tied aid credit" and "partially untied aid credit" mean any credit which—

(A) has a grant element greater than zero percent, as determined by the Development Assistance Committee of the Organization for Economic Cooperation and Development;

(B) is, in fact or in effect, tied to

(i) the procurement of goods or services from the donor country, in the case of tied aid credit; or

(ii) the procurement of goods or services from a restricted number of countries, in the case of partially untied aid credit; and (C) is financed either exclusively from public funds or partly from public and partly from private funds.

(2) Secretary

The term "Secretary" means the Secretary of the Treasury. (3) Arrangement

The term "Arrangement" means the Arrangement on Guidelines for Officially Supported Export Credits established through the Organization for Economic Cooperation and Development.

(4) Blended financing

The term "blended financing” means financing provided through any combination of official development assistance, official export credits, and private commercial credit which is integrated into a single agreement with a single set of financial terms. (5) Parallel financing

The term "parallel financing" means financing provided by any combination of official development assistance, official export credits, and private commercial credit which is not integrated into a single agreement and does not have a single set of financial terms. (July 31, 1945, ch. 341, § 15, as added Oct. 15, 1986, Pub. L. 99-472, § 19, 100 Stat. 1205, and amended Dec. 29, 1987, Pub. L. 100-217, 101 Stat. 1454.)

REFERENCES IN TEXT

Such Act, referred to in subsec. (e)(2)(B), is the Impoundment Control Act of 1974, title X of Pub. L. 93-344, July 12, 1974, 88 Stat. 332, as amended, which is classified principally to chapter 17B (§ 681 et seq.) of Title 2, The Congress. For complete classification of