[Code of Federal Regulations]

[Title 49, Volume 4]

[Revised as of October 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 49CFR260.13]



[Page 811]

 

                        TITLE 49--TRANSPORTATION

 

       CHAPTER II--FEDERAL RAILROAD ADMINISTRATION, DEPARTMENT OF 

                             TRANSPORTATION

 

PART 260_REGULATIONS GOVERNING LOANS AND LOAN GUARANTEES UNDER THE 

RAILROAD REHABILITATION AND IMPROVEMENT FINANCING PROGRAM--Table 

of Contents

 

                           Subpart A_Overview

 

Sec. 260.13  Credit reform.



    The Federal Credit Reform Act of 1990, 2 U.S.C. 661, requires 

Federal agencies to set aside the subsidy cost of new credit assistance 

provided in the form of direct loans or loan guarantees. The subsidy 

cost will be the estimated long term cost to the Government of the loan 

or loan guarantee. The subsidy cost associated with each direct loan or 

loan guarantee, which the Administrator must set aside, may be funded by 

Federal appropriations, direct payment of a Credit Risk Premium by the 

Applicant or a non-Federal infrastructure partner on behalf of the 

Applicant, or any combination thereof.