PUBLIC LAW 102-366—SEPT. 4, 1992 106 STAT. 1017 (d) REGULATORY REVIEW.— Not later than 90 days after the effec- 15 USC 681 tive date of this Act, the Small Business Administration shall ^°^- complete a review of those regulations intended to provide for the safety and soundness of those small business investment companies which obtain financing from the Administration under the provisions of the Small Business Investment Act of 1958. The Administration is directed to exempt from such regulations, or to separately regulate, those companies which do not obtain financing from the Administration. (e) REPORT TO CONGRESS. — The Administration, within 180 days is use 681 after the effective date of this Act, shall report on actions taken ^°*** pursuant to section 8(d) of this Act to the Committees on Smedl Business of the Senate and the House of Representatives, including the rationale for its actions. SEC. 409. MIMMUM CAPITAL. Section 302 of the Smedl Business Investment Act of 1958 (15 U.S.C. 682) is amended by striking from subsection (a) "1979 pursuant to sections 301(c) and (d) of this Act shall be not less than $500,000" and inserting in lieu thereof the following: "1992 pursuant to section 301(c) of this title shall be not less than $2,500,000 and pursuant to section 301(d) of this title shall be not less than $1,500,000". SEC. 410. DEFINITIONS. Section 103 of the Small Business Investment Act of 1958 (15 U.S.C. 662) is amended as follows: (1) by striking "and" at the end of paragraph (7); (2) by striking the period at the end of p£u-agraph (8) and inserting in heu thereof a semicolon; and (3) by adding at the end the following new paragraphs: "(9) notwithstanding any other provision of law, the term 'private capital' means the private paid-in capital and paidin surplus of a corporate licensee, or the private partnership capital of an unincorporate licensee, inclusive of (A) any funds invested in the Ucensee by a public or private pension fund, (B) any funds invested in the licensee by State or local government entities, to the extent that such investment does not exceed 33 percent of a Ucensee's total private capital and otherwise meets criteria established by the Administration, and (C) unfunded commitments from institutional investors that meet criteria established by the Administration, but it excludes any funds which are borrowed by the licensee from any source or which are obtained or derived, directly or indirectly, from any Federed source, including the Administration: Provided, That no unfunded commitment from an institutional investor may be used for the purpose of meeting the minimum amount of private capital required by this Act or as the basis for the Administration to issue obligations to provide financing; and "(10) the term leverage' includes debentures purchased or guaranteed by the Administration, participating securities purchased or guaranteed by the Administration, or preferred securities issued by companies licensed under section 301(d) of this Act and which have been purchased by the Administration. ".
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