§ 4510. — James Madison Memorial Fellowship Trust Fund.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 20USC4510]
TITLE 20--EDUCATION
CHAPTER 57--JAMES MADISON MEMORIAL FELLOWSHIP PROGRAM
Sec. 4510. James Madison Memorial Fellowship Trust Fund
(a) Establishment
There shall be established in the Treasury of the United States a
trust fund consisting of appropriations and amounts contributed by the
Foundation for the Commemoration of the Constitution and other private
sources to be available, in accordance with the provisions of this
chapter, to carry out the provisions of this chapter.
(b) Investment of amounts appropriated
It shall be the duty of the Secretary of the Treasury to invest in
full the amounts appropriated and contributed to the fund. Such
investments may be made only in interest-bearing obligations of the
United States or in obligations guaranteed as to both principal and
interest by the United States. For such purpose, such obligations may be
acquired (1) on original issue at the issue price, or (2) by purchase of
outstanding obligations at the market price. The purposes for which
obligations of the United States may be issued under chapter 31 of title
31 are hereby extended to authorize the issuance at par of special
obligations exclusively to the fund. Such special obligations shall bear
interest at a rate equal to the average rate of interest, computed as to
the end of the calendar month next preceding the date of such issue,
borne by all marketable interest-bearing obligations of the United
States then forming a part of the public debt; except that where such
average rate is not a multiple of one-eighth of 1 per centum, the rate
of interest of such special obligations shall be the multiple of one-
eighth of 1 per centum next lower than such average rate. Such special
obligations shall be issued only if the Secretary determines that the
purchase of other obligations of the United States, or of obligations
guaranteed as to both principal and interest by the United States or
original issue at the market price, is not in the public interest.
(c) Sale of obligations acquired by fund
Any obligations acquired by the fund (except special obligations
issued exclusively to the fund) may be sold by the Secretary at the
market price, and such special obligations may be redeemed at par plus
accrued interest.
(d) Interest and proceeds from sale or redemption of obligations
credited to fund
The interest on, and the proceeds from, the sale or redemption of
any obligations held in the fund shall be credited to and form a part of
the fund.
(Pub. L. 99-500, Sec. 101(b) [title VIII, Sec. 811], Oct. 18, 1986, 100
Stat. 1783-39, 1783-79, and Pub. L. 99-591, Sec. 101(b) [title VIII,
Sec. 811], Oct. 30, 1986, 100 Stat. 3341-39, 3341-79; Pub. L. 102-221,
Sec. 1(2), Dec. 11, 1991, 105 Stat. 1676.)
Codification
In subsec. (b), ``chapter 31 of title 31'' substituted for ``the
Second Liberty Bond Act, as amended,'' on authority of Pub. L. 97-258,
Sec. 4(b), Sept. 13, 1982, 96 Stat. 1067, the first section of which
enacted Title 31, Money and Finance.
Pub. L. 99-591 is a corrected version of Pub. L. 99-500.
Amendments
1991--Subsec. (a). Pub. L. 102-221 struck out ``(1)'' before ``There
shall be'', substituted ``and other'' for ``an other'' after
``Constitution'', and struck out par. (2) which read as follows: ``No
funds in the Trust Fund may be available for fellowships until the
contributions from private sources are equal to $10,000,000.''
