H.R. 6296 (112th): Disaster Loan Fairness Act of 2012

112th Congress, 2011–2013. Text as of Sep 20, 2012 (Received by the Senate).

Status & Summary | PDF | Source: GPO

II

112th CONGRESS

2d Session

H. R. 6296

IN THE SENATE OF THE UNITED STATES

September 20, 2012

Received

AN ACT

To amend the Small Business Act to provide the interest rate for certain disaster related loans, and for other purposes.

1.

Short title

This Act may be cited as the Disaster Loan Fairness Act of 2012.

2.

Interest rate for certain disaster related loans

Section 7(d) of the Small Business Act is amended by adding at the end the following:

(8)
(A)

Upon application, the Administration shall grant an interest rate determined under this paragraph with respect to any qualifying disaster loan.

(B)

For the purposes of this paragraph a qualifying disaster loan is the Administration’s share of a loan—

(i)

for which the interest rate would be set pursuant to paragraph (5) but for the operation of this paragraph;

(ii)

which is or was made with respect to activity in an area when the President has declared a major disaster in that area under section 401 of the Stafford Act; and

(iii)

which is or was made during the period beginning January 1, 2011, and ending on the date that is 4 years after the date of the enactment of the Disaster Loan Fairness Act of 2012.

(C)

The Administrator shall determine the interest rate for each calendar year to be the lesser of—

(i)

4 percent; and

(ii)

a rate equivalent to ½ the rate prevailing in the private market for similar loans for those unable to attain credit elsewhere and 3/4 of that prevailing rate for those able to attain credit elsewhere.

(D)

The Administrator shall refund excess interest payments to borrowers whose interest rate on already made loans is lowered by reason of the operation of the paragraph.

(E)

Not later than one year after the date of the enactment of the Disaster Loan Fairness Act of 2012, the Administrator shall report to Congress as part of the annual report under Section 10(a) on whether the interest rate provided by this paragraph has resulted in any or all of the following:

(i)

A greater number of applications for disaster related loans.

(ii)

A greater number of approvals of disaster related loans.

(iii)

A decreased default rate on disaster related loans.

.

3.

Termination of use of public funds for political party nominating conventions

Section 9008 of the Internal Revenue Code of 1986 is amended by adding at the end the following new subsection:

(i)

Termination of use of funds for conventions

Notwithstanding any other provision of this section, in the case of any presidential election held after 2012—

(1)

the Secretary shall not make any payments under subsection (b)(3) to any national committee of a major party or minor party;

(2)

on November 1 of the year prior to the year in which the election is held, the Secretary shall determine—

(A)

in the case of the first such election, the amount which is equal to the aggregate amount of the payments which were made under subsection (b)(3) to the national committees of a major party or minor party for the presidential election held in 2012, adjusted in the manner described in subsection (b)(5), or

(B)

in the case of any subsequent election, the amount which is equal to the amount determined under subparagraph (A), adjusted in the manner described in subsection (b)(5); and

(3)

at the time the Secretary makes the determination under paragraph (2), an amount equal to the amount determined under paragraph (2) shall be permanently rescinded from the fund and returned to the general fund.

.

Passed the House of Representatives September 19, 2012.

Karen L. Haas,

Clerk