Page:United States Statutes at Large Volume 124.djvu/2611

124 STAT. 2585 PUBLIC LAW 111–240—SEPT. 27, 2010 (ii) more than 50 percent of the net profit or loss of which accrues to 1 or more veterans; and (iii) a significant percentage of senior management positions of which are held by veterans. (B) For purposes of this paragraph, the term ‘‘veteran’’ has the meaning given such term in section 101(2) of title 38, United States Code. SEC. 4103. SMALL BUSINESS LENDING FUND. (a) FUND AND PROGRAM.— (1) FUND ESTABLISHED.—There is established in the Treasury of the United States a fund to be known as the ‘‘Small Business Lending Fund’’, which shall be administered by the Secretary. (2) PROGRAMS AUTHORIZED.—The Secretary is authorized to establish the Small Business Lending Fund Program for using the Fund consistent with this subtitle. (b) USE OF FUND.— (1) IN GENERAL.—Subject to paragraph (2), the Fund shall be available to the Secretary, without further appropriation or fiscal year limitation, for the costs of purchases (including commitments to purchase), and modifications of such purchases, of preferred stock and other financial instruments from eligible institutions on such terms and conditions as are determined by the Secretary in accordance with this subtitle. For purposes of this paragraph and with respect to an eligible institution, the term ‘‘other financial instruments’’ shall include only debt instruments for which such eligible institution is fully liable or equity equivalent capital of the eligible institution. Such debt instruments may be subordinated to the claims of other creditors of the eligible institution. (2) MAXIMUM PURCHASE LIMIT.—The aggregate amount of purchases (and commitments to purchase) made pursuant to paragraph (1) may not exceed $30,000,000,000. (3) PROCEEDS USED TO PAY DOWN PUBLIC DEBT.—All funds received by the Secretary in connection with purchases made pursuant to paragraph (1), including interest payments, divi- dend payments, and proceeds from the sale of any financial instrument, shall be paid into the general fund of the Treasury for reduction of the public debt. (4) LIMITATION ON PURCHASES FROM CDLFS.— (A) IN GENERAL.—Not more than 1 percent of the max- imum purchase limit of the Program, pursuant to para- graph (2), may be used to make purchases from community development loan funds. (B) ELIGIBILITY STANDARDS.—The Secretary, in con- sultation with the Community Development Financial Institutions Fund, shall develop eligibility criteria to deter- mine the financial ability of a CDLF to participate in the Program and repay the investment. Such criteria shall include the following: (i) Ratio of net assets to total assets is at least 20 percent. (ii) Ratio of loan loss reserves to loans and leases 90 days or more delinquent (including loans sold with full recourse) is at least 30 percent.