LOAN AND LOAN GUARANTEE ALLOCATION AND TRANSFER.

SEC. 2317. LOAN AND LOAN GUARANTEE ALLOCATION AND TRANSFER. The Consolidated Farm and Rural Development Act (7 U.S.C. 1921 et seq.) is amended by adding after the sections added by the preceding provisions of this subtitle the following: 104 STAT. 4009 “SEC. 367. LIMITED TRANSFER AUTHORITY OF LOAN AMOUNTS. “(a) Transfer of Funds.— If the sums appropriated for direct loans for the water and waste or community facility program authorized under section 306(a) and made available to any eligible State (within the meaning of section 365(b)(3)) under such program for the fiscal year are insufficient to enable the Secretary to provide the full amount of the assistance requested for a project specified in section 365(c)(4), the Secretary may transfer, subject to subsection (b) of this section, to one program from the other such program part or all of the sums appropriated for loans made available to the State for such other program. “(b) Limitation on Loan Amounts Transferred.— “(1) Amounts transferred within certain states.— With regard to each eligible State (within the meaning of section 365(b)(3)), the amount of direct loan funds transferred from a program under this section shall not exceed the amount for such program left unobligated after obligating to each project in an application ranked higher in priority on the list described in section 365(b)(6) the full amount of assistance requested for each such project. “(2) Amounts transferred on a national basis.— With regard to all such eligible States, the amount of direct loan funds transferred in a fiscal year from a program under this section (after accounting for any offsetting transfers into such program) shall not exceed $9,000,000. “SEC. 368. ALLOCATION AND TRANSFER OF LOAN GUARANTEE AUTHORITY. “(a) Allocation of Loan Guarantee Authority.— The Secretary shall allocate among all States the amounts appropriated for loan guarantees under the water and waste or community facility program authorized under section 306(a), and the business and industry loan program authorized under section 310B, in a manner similar to that used for the allocation of direct loan and grant funds appropriated for such programs, and that the Secretary determines to be fair, reasonable, and appropriate. “(b) Transfer of Loan Guarantee Authority.— “(1) In general.— If the sums appropriated for loan guarantees and made available to any eligible State (within the meaning of section 365(b)(3)) under a program specified in subsection (a) for the fiscal year are insufficient to enable the Secretary to provide the full amount of the assistance requested for a project specified in section 365(c)(4), the Secretary may transfer to the program from the other such programs part or all of the sums appropriated for loan guarantees made available to such eligible State for such other program for such fiscal year. “(2) Limitation on guarantee amounts transferred.— With regard to each such eligible State, the amount of loan guarantees transferred from a program under this section shall not exceed the amount for such program left unobligated after obligating to each project in an application ranked higher in priority on the list described in section 366(b)(6) the full amount of assistance requested for each such project.”.