USE OF FUNDS.

SEC. 1402. USE OF FUNDS. The Rural Electrification Act of 1936 is amended by inserting after section 311 (7 U.S.C. 940a) the following new section: “SEC. 312. USE OF FUNDS. “A borrower of an insured or guaranteed electric loan under this Act may, without restriction or prior approval of the Administrator, invest its own funds or make loans or guarantees, not in excess of 15 percent of its total utility plant.”.