PILOT RURAL DEVELOPMENT LOAN PROGRAM.

SEC. 307. PILOT RURAL DEVELOPMENT LOAN PROGRAM. Section 7(a)(19) of the Small Business Act (15 U.S.C. 636(a)(19)) is amended by adding the following new paragraph: “(C) In order to encourage lending institutions and other entities making loans authorized under this subsection to provide loans to small business loan applicants located in rural areas, such lenders shall be permitted to retain one-half of the fee collected pursuant to paragraph (18) on loans of less than $75,000. A participating lender may not retain any fee pursuant to this subparagraph if the amount committed and outstanding to the applicant would exceed $75,000 unless the amount in excess of $75,000 is an amount not approved under the provisions of this subparagraph. This subparagraph shall cease to be effective on October 1, 1995.”.