§ 4192. — Security and repayment.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 25USC4192]
TITLE 25--INDIANS
CHAPTER 43--NATIVE AMERICAN HOUSING ASSISTANCE AND SELF-DETERMINATION
SUBCHAPTER VI--FEDERAL GUARANTEES FOR FINANCING FOR TRIBAL HOUSING
ACTIVITIES
Sec. 4192. Security and repayment
(a) Requirements on issuer
To assure the repayment of notes or other obligations and charges
incurred under this subchapter and as a condition for receiving such
guarantees, the Secretary shall require the Indian tribe or housing
entity issuing such notes or obligations to--
(1) enter into a contract, in a form acceptable to the
Secretary, for repayment of notes or other obligations guaranteed
under this subchapter;
(2) pledge any grant for which the issuer may become eligible
under this chapter;
(3) demonstrate that the extent of such issuance and guarantee
under this subchapter is within the financial capacity of the tribe
and is not likely to impair the ability to use grant amounts under
subchapter I of this chapter, taking into consideration the
requirements under section 4133(b) of this title; and
(4) furnish, at the discretion of the Secretary, such other
security as may be deemed appropriate by the Secretary in making
such guarantees, including increments in local tax receipts
generated by the activities assisted under this chapter or
disposition proceeds from the sale of land or rehabilitated
property.
(b) Repayment from grant amounts
Notwithstanding any other provision of this chapter--
(1) the Secretary may apply grants pledged pursuant to
subsection (a)(2) of this section to any repayments due the United
States as a result of such guarantees; and
(2) grants allocated under this chapter for an Indian tribe or
housing entity (including program income derived therefrom) may be
used to pay principal and interest due (including such servicing,
underwriting, and other costs as may be specified in regulations
issued by the Secretary) on notes or other obligations guaranteed
pursuant to this subchapter.
(c) Full faith and credit
The full faith and credit of the United States is pledged to the
payment of all guarantees made under this subchapter. Any such guarantee
made by the Secretary shall be conclusive evidence of the eligibility of
the obligations for such guarantee with respect to principal and
interest, and the validity of any such guarantee so made shall be
incontestable in the hands of a holder of the guaranteed obligations.
(Pub. L. 104-330, title VI, Sec. 602, Oct. 26, 1996, 110 Stat. 4046.)
References in Text
This chapter, referred to in subsecs. (a) and (b), was in the
original ``this Act'', meaning Pub. L. 104-330, Oct. 26, 1996, 110 Stat.
4016, as amended, known as the Native American Housing Assistance and
Self-Determination Act of 1996. For complete classification of this Act
to the Code, see Short Title note set out under section 4101 of this
title and Tables.
Effective Date
Section effective Oct. 26, 1996, see section 606 of Pub. L. 104-330,
set out as a note under section 4191 of this title.
Section Referred to in Other Sections
This section is referred to in section 4191 of this title.
