UNITED STATES MICROFINANCE LOAN FACILITY.

SEC. 107. UNITED STATES MICROFINANCE LOAN FACILITY. (a) In General.—Chapter 1 of part I of the Foreign Assistance Act of 1961 (22 U.S.C. 2151 et seq.), as amended by section 105 of this Act, is further amended by adding at the end the following new section: “SEC. 132. UNITED STATES MICROFINANCE LOAN FACILITY. “(a) Establishment.—The Administrator is authorized to establish a United States Microfinance Loan Facility (in this section referred to as the ‘Facility’) to pool and manage the risk from natural disasters, war or civil conflict, national financial crisis, or short-term financial movements that threaten the long-term development of United States-supported microfinance institutions. “(b) Disbursements.— “(1) In general.—The Administrator shall make disbursements from the Facility to United States-supported microfinance institutions to prevent the bankruptcy of such institutions caused by— “(A) natural disasters; “(B) national wars or civil conflict; or “(C) national financial crisis or other short-term financial movements that threaten the long-term development of United States-supported microfinance institutions. “(2) Form of assistance.—Assistance under this section shall be in the form of loans or loan guarantees for microfinance institutions that demonstrate the capacity to resume self-sustained operations within a reasonable time period. “(3) Congressional notification procedures.—During each of the fiscal years 2001 and 2002, funds may not be made available from the Facility until 15 days after notification of the proposed availability of the funds has been provided to the congressional committees specified in section 634A in accordance with the procedures applicable to reprogramming notifications under that section. “(c) General Provisions.— “(1) Policy provisions.—In providing the credit assistance authorized by this section, the Administrator should apply, as appropriate, the policy provisions in this part that are applicable to development assistance activities. “(2) Default and procurement provisions.— “(A) Default provision.—The provisions of section 620(q), or any comparable provision of law, shall not be construed to prohibit assistance to a country in the event that a private sector recipient of assistance furnished under this section is in default in its payment to the United States for the period specified in such section. “(B) Procurement provision.—Assistance may be provided under this section without regard to section 604(a). “(3) Terms and conditions of credit assistance.— “(A) In general.—Credit assistance provided under this section shall be offered on such terms and conditions, including fees charged, as the Administrator may determine. “(B) Limitation on principal amount of financing.—The principal amount of loans made or 114 STAT. 1087guaranteed under this section in any fiscal year, with respect to any single event, may not exceed $30,000,000. “(C) Exception.—No payment may be made under any guarantee issued under this section for any loss arising out of fraud or misrepresentation for which the party seeking payment is responsible. “(4) Full faith and credit.—All guarantees issued under this section shall constitute obligations, in accordance with the terms of such guarantees, of the United States of America, and the full faith and credit of the United States of America is hereby pledged for the full payment and performance of such obligations to the extent of the guarantee. “(d) Funding.— “(1) Allocation of funds.—Of the amounts made available to carry out this part for the fiscal year 2001, up to $5,000,000 may be made available for— “(A) the subsidy cost, as defined in section 502(5) of the Federal Credit Reform Act of 1990, to carry out this section; and “(B) the administrative costs to carry out this section. “(2) Relation to other funding.—Amounts made available under paragraph (1) are in addition to amounts available under any other provision of law to carry out this section. “(e) Definitions.—In this section: “(1) Administrator.—The term ‘Administrator’ means the Administrator of the agency primarily responsible for administering this part. “(2) Appropriate congressional committees.—The term ‘appropriate congressional committees’ means the Committee on Foreign Relations of the Senate and the Committee on International Relations of the House of Representatives. “(3) United states-supported microfinance institution.—The term ʻUnited States-supported microfinance institution’ means a financial intermediary that has received funds made available under part I of this Act for fiscal year 1980 or any subsequent fiscal year.”. (b) Report.—Not later than 120 days after the date of the enactment of this Act, the Administrator of the United States Agency for International Development shall submit to the Committee on Foreign Relations of the Senate and the Committee on International Relations of the House of Representatives a report on the policies, rules, and regulations of the United States Microfinance Loan Facility established under section 132 of the Foreign Assistance Act of 1961, as added by subsection (a).