1. U.S. Code
  2. title 15
  3. chapter 14B
  4. subchapter III
  5. part C
  6. § 690m

Collapse to view only § 690m. Miscellaneous

§ 690. DefinitionsIn this part:
(1) Operational assistance
(2) Participation agreementThe term “participation agreement” means an agreement, between the Administrator and a company granted final approval under section 690c(e) of this title, that—
(A) details the operating plan and investment criteria of the company; and
(B) requires the company to make investments in smaller enterprises primarily engaged in researching, manufacturing, developing, producing, or bringing to market goods, products, or services that generate or support the production of renewable energy.
(3) Renewable energy
(4) Renewable Fuel Capital Investment companyThe term “Renewable Fuel Capital Investment company” means a company—
(A) that—
(i) has been granted final approval by the Administrator under section 690c(e) of this title; and
(ii) has entered into a participation agreement with the Administrator; or
(B) that has received conditional approval under section 690c(c) of this title.
(5) State
(6) Venture capital
(Pub. L. 85–699, title III, § 381, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1774.)

CITE AS: 15 USC 690

§ 690a. PurposesThe purposes of the Renewable Fuel Capital Investment Program established under this part are—
(1) to promote the research, development, manufacture, production, and bringing to market of goods, products, or services that generate or support the production of renewable energy by encouraging venture capital investments in smaller enterprises primarily engaged 1
1 So in original. Probably should be followed by “in”.
such activities; and
(2) to establish a venture capital program, with the mission of addressing the unmet equity investment needs of smaller enterprises engaged in researching, developing, manufacturing, producing, and bringing to market goods, products, or services that generate or support the production of renewable energy, to be administered by the Administrator—
(A) to enter into participation agreements with Renewable Fuel Capital Investment companies;
(B) to guarantee debentures of Renewable Fuel Capital Investment companies to enable each such company to make venture capital investments in smaller enterprises engaged in the research, development, manufacture, production, and bringing to market of goods, products, or services that generate or support the production of renewable energy; and
(C) to make grants to Renewable Fuel Investment Capital companies, and to other entities, for the purpose of providing operational assistance to smaller enterprises financed, or expected to be financed, by such companies.
(Pub. L. 85–699, title III, § 382, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1775.)

CITE AS: 15 USC 690a

§ 690b. Establishment
The Administrator shall establish a Renewable Fuel Capital Investment Program, under which the Administrator may—
(1) enter into participation agreements for the purposes described in section 690a of this title; and
(2) guarantee the debentures issued by Renewable Fuel Capital Investment companies as provided in section 690d of this title.
(Pub. L. 85–699, title III, § 383, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1776.)

CITE AS: 15 USC 690b

§ 690c. Selection of Renewable Fuel Capital Investment companies
(a) EligibilityA company is eligible to apply to be designated as a Renewable Fuel Capital Investment company if the company—
(1) is a newly formed for-profit entity or a newly formed for-profit subsidiary of an existing entity;
(2) has a management team with experience in alternative energy financing or relevant venture capital financing; and
(3) has a primary objective of investment in smaller enterprises that research, manufacture, develop, produce, or bring to market goods, products, or services that generate or support the production of renewable energy.
(b) ApplicationA company desiring to be designated as a Renewable Fuel Capital Investment company shall submit an application to the Administrator that includes—
(1) a business plan describing how the company intends to make successful venture capital investments in smaller enterprises primarily engaged in the research, manufacture, development, production, or bringing to market of goods, products, or services that generate or support the production of renewable energy;
(2) information regarding the relevant venture capital qualifications and general reputation of the management of the company;
(3) a description of how the company intends to seek to address the unmet capital needs of the smaller enterprises served;
(4) a proposal describing how the company intends to use the grant funds provided under this part to provide operational assistance to smaller enterprises financed by the company, including information regarding whether the company has employees with appropriate professional licenses or will contract with another entity when the services of such an individual are necessary;
(5) with respect to binding commitments to be made to the company under this part, an estimate of the ratio of cash to in-kind contributions;
(6) a description of whether and to what extent the company meets the criteria under subsection (c)(2) and the objectives of the program established under this part;
(7) information regarding the management and financial strength of any parent firm, affiliated firm, or any other firm essential to the success of the business plan of the company; and
(8) such other information as the Administrator may require.
(c) Conditional approval
(1) In general
(2) Selection criteriaIn conditionally approving companies under paragraph (1), the Administrator shall consider—
(A) the likelihood that the company will meet the goal of its business plan;
(B) the experience and background of the management team of the company;
(C) the need for venture capital investments in the geographic areas in which the company intends to invest;
(D) the extent to which the company will concentrate its activities on serving the geographic areas in which it intends to invest;
(E) the likelihood that the company will be able to satisfy the conditions under subsection (d);
(F) the extent to which the activities proposed by the company will expand economic opportunities in the geographic areas in which the company intends to invest;
(G) the strength of the proposal by the company to provide operational assistance under this part as the proposal relates to the ability of the company to meet applicable cash requirements and properly use in-kind contributions, including the use of resources for the services of licensed professionals, when necessary, whether provided by employees or contractors; and
(H) any other factor determined appropriate by the Administrator.
(3) Nationwide distribution
(d) Requirements to be met for final approval
(1) In general
(2) Capital requirement
(3) Nonadministration resources for operational assistance
(A) In generalIn order to provide operational assistance to smaller enterprises expected to be financed by the company, each conditionally approved company shall have binding commitments (for contribution in cash or in-kind)—
(i) from sources other than the Administration that meet criteria established by the Administrator; and
(ii) payable or available over a multiyear period determined appropriate by the Administrator (not to exceed 10 years).
(B) ExceptionThe Administrator may, in the discretion of the Administrator and based upon a showing of special circumstances and good cause, consider an applicant to have satisfied the requirements of subparagraph (A) if the applicant has—
(i) a viable plan that reasonably projects the capacity of the applicant to raise the amount (in cash or in-kind) required under subparagraph (A); and
(ii) binding commitments in an amount equal to not less than 20 percent of the total amount required under paragraph 1
1 So in original. Probably should be “subparagraph”.
(A).
(C) Limitation
(e) Final approval; designationThe Administrator shall, with respect to each applicant conditionally approved under subsection (c)—
(1) grant final approval to the applicant to operate as a Renewable Fuel Capital Investment company under this part and designate the applicant as such a company, if the applicant—
(A) satisfies the requirements of subsection (d) on or before the expiration of the time period described in that subsection; and
(B) enters into a participation agreement with the Administrator; or
(2) if the applicant fails to satisfy the requirements of subsection (d) on or before the expiration of the time period described in paragraph (1) of that subsection, revoke the conditional approval granted under that subsection.
(Pub. L. 85–699, title III, § 384, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1776.)

CITE AS: 15 USC 690c

§ 690d. Debentures
(a) In general
(b) Terms and conditionsThe Administrator may make guarantees under this section on such terms and conditions as it determines appropriate, except that—
(1) the term of any debenture guaranteed under this section shall not exceed 15 years; and
(2) a debenture guaranteed under this section—
(A) shall carry no front-end or annual fees;
(B) shall be issued at a discount;
(C) shall require no interest payments during the 5-year period beginning on the date the debenture is issued;
(D) shall be prepayable without penalty after the end of the 1-year period beginning on the date the debenture is issued; and
(E) shall require semiannual interest payments after the period described in subparagraph (C).
(c) Full faith and credit of the United States
(d) Maximum guarantee
(1) In general
(2) Treatment of certain Federal funds
(Pub. L. 85–699, title III, § 385, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1778.)

CITE AS: 15 USC 690d

§ 690e. Issuance and guarantee of trust certificates
(a) Issuance
(b) Guarantee
(1) In general
(2) Limitation
(3) Prepayment or default
(c) Full faith and credit of the United States
(d) Fees
(e) Subrogation and ownership rights
(1) Subrogation
(2) Ownership rights
(f) Management and administration
(1) Registration
(2) Contracting of functions
(A) In general
The Administrator may contract with an agent or agents to carry out on behalf of the Administrator the pooling and the central registration functions provided for in this section, including, not withstanding any other provision of law—
(i) maintenance, on behalf of and under the direction of the Administrator, of such commercial bank accounts or investments in obligations of the United States as may be necessary to facilitate the creation of trusts or pools backed by debentures guaranteed under this part; and
(ii) the issuance of trust certificates to facilitate the creation of such trusts or pools.
(B) Fidelity bond or insurance requirement
(3) Regulation of brokers and dealers
(4) Electronic registration
(Pub. L. 85–699, title III, § 386, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1779.)

CITE AS: 15 USC 690e

§ 690f. Fees
(a) In general
(b) Offset
(Pub. L. 85–699, title III, § 387, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1780.)

CITE AS: 15 USC 690f

§ 690g. Fee contribution
(a) In general
(b) Annual adjustment
(Pub. L. 85–699, title III, § 388, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1780.)

CITE AS: 15 USC 690g

§ 690h. Operational assistance grants
(a) In general
(1) Authority
(2) Terms
(3) Grant amount
The amount of a grant made under this subsection to a Renewable Fuel Capital Investment company shall be equal to the lesser of—
(A) 10 percent of the resources (in cash or in-kind) raised by the company under section 690c(d)(2) of this title; or
(B) $1,000,000.
(4) Pro rata reductions
(5) Grants to conditionally approved companies
(A) In general
(B) Repayment by companies not approved
(C) Deduction of grant to approved company
(D) Amount of grant
(b) Supplemental grants
(1) In general
(2) Matching requirement
(c) Limitation
(Pub. L. 85–699, title III, § 389, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1781.)

CITE AS: 15 USC 690h

§ 690i. Bank participation
(a) In general
(b) Limitation
(Pub. L. 85–699, title III, § 390, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1782.)

CITE AS: 15 USC 690i

§ 690j. Federal Financing Bank

Notwithstanding section 687k of this title, the Federal Financing Bank may acquire a debenture issued by a Renewable Fuel Capital Investment company under this part.

(Pub. L. 85–699, title III, § 391, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1782.)

CITE AS: 15 USC 690j

§ 690k. Reporting requirement
Each Renewable Fuel Capital Investment company that participates in the program established under this part shall provide to the Administrator such information as the Administrator may require, including—
(1) information related to the measurement criteria that the company proposed in its program application; and
(2) in each case in which the company makes, under this part, an investment in, or a loan or a grant to, a business that is not primarily engaged in the research, development, manufacture, or bringing to market or 1
1 So in original. Probably should be “of”.
renewable energy sources, a report on the nature, origin, and revenues of the business in which investments are made.
(Pub. L. 85–699, title III, § 392, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1782.)

CITE AS: 15 USC 690k

§ 690l. Examinations
(a) In general
(b) Assistance of private sector entities
(c) Costs
(1) Assessment
(A) In general
(B) Payment
(2) Deposit of funds
(Pub. L. 85–699, title III, § 393, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1782.)

CITE AS: 15 USC 690l

§ 690m. Miscellaneous

To the extent such procedures are not inconsistent with the requirements of this part, the Administrator may take such action as set forth in sections 687a, 687c, 687d, and 687f of this title and an officer, director, employee, agent, or other participant in the management or conduct of the affairs of a Renewable Fuel Capital Investment company shall be subject to the requirements of such sections.

(Pub. L. 85–699, title III, § 394, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1783.)

CITE AS: 15 USC 690m

§ 690n. Removal or suspension of directors or officers

Using the procedures for removing or suspending a director or an officer of a licensee set forth in section 687e of this title (to the extent such procedures are not inconsistent with the requirements of this part), the Administrator may remove or suspend any director or officer of any Renewable Fuel Capital Investment company.

(Pub. L. 85–699, title III, § 395, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1783.)

CITE AS: 15 USC 690n

§ 690o. Regulations

The Administrator may issue such regulations as the Administrator determines necessary to carry out the provisions of this part in accordance with its purposes.

(Pub. L. 85–699, title III, § 396, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1783.)

CITE AS: 15 USC 690o

§ 690p. Authorizations of appropriations
(a) In general
(b) Funds collected for examinations
(Pub. L. 85–699, title III, § 397, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1783.)

CITE AS: 15 USC 690p

§ 690q. Termination

The program under this part shall terminate at the end of the second full fiscal year after the date that the Administrator establishes the program under this part.

(Pub. L. 85–699, title III, § 398, as added Pub. L. 110–140, title XII, § 1207, Dec. 19, 2007, 121 Stat. 1783.)

CITE AS: 15 USC 690q