S 439 ISCommentsClose CommentsPermalink

To provide for and promote the economic development of Indian tribes by furnishing the necessary capital, financial services, and technical assistance to Indian-owned business enterprises, to stimulate the development of the private sector of Indian tribal economies, and for other purposes.CommentsClose CommentsPermalink

February 13, 2009CommentsClose CommentsPermalink

Mr. INOUYE introduced the following bill; which was read twice and referred to the Committee on Indian AffairsCommentsClose CommentsPermalink

To provide for and promote the economic development of Indian tribes by furnishing the necessary capital, financial services, and technical assistance to Indian-owned business enterprises, to stimulate the development of the private sector of Indian tribal economies, and for other purposes.CommentsClose CommentsPermalink

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,CommentsClose CommentsPermalink

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

(a) Short Title- This Act may be cited as the ‘Indian Development Finance Corporation Act’.CommentsClose CommentsPermalink





(b) Table of Contents- The table of contents of this Act is as follows:CommentsClose CommentsPermalink





Sec. 1. Short title; table of contents.CommentsClose CommentsPermalink





Sec. 2. Findings and policy.CommentsClose CommentsPermalink





Sec. 3. Definitions.CommentsClose CommentsPermalink

TITLE I--INDIAN DEVELOPMENT FINANCE CORPORATION

Sec. 101. Establishment of Corporation.CommentsClose CommentsPermalink





Sec. 102. Duties and powers.CommentsClose CommentsPermalink





Sec. 103. Loans and obligations.CommentsClose CommentsPermalink





Sec. 104. Board of Directors.CommentsClose CommentsPermalink





Sec. 105. President of Corporation.CommentsClose CommentsPermalink





Sec. 106. Annual shareholder meetings.CommentsClose CommentsPermalink





Sec. 107. Annual reports; development plan.CommentsClose CommentsPermalink

TITLE II--CAPITALIZATION

Sec. 201. Issuance of stock.CommentsClose CommentsPermalink





Sec. 202. Borrowing authority.CommentsClose CommentsPermalink

TITLE III--AUTHORIZATION OF APPROPRIATIONS

Sec. 301. Authorization of appropriations.CommentsClose CommentsPermalink

SEC. 2. FINDINGS AND POLICY.

(a) Findings- Congress finds that--CommentsClose CommentsPermalink





(1) a special relationship has existed between the United States and Indian tribes, which is recognized in clause 3 of section 8 of article I of the Constitution of the United States;CommentsClose CommentsPermalink





(2) pursuant to laws, treaties, and administrative authority, Congress has implemented activities to fulfill the responsibility of the United States for the protection and preservation of Indian tribes and tribal resources;CommentsClose CommentsPermalink





(3) despite the availability of abundant natural resources on Indian land and a rich cultural legacy that places great value on self-determination, self-reliance, and independence, Indians and Alaska Natives experience poverty and unemployment, together with associated incidences of social pathology, to an extent unequaled by any other group in the United States;CommentsClose CommentsPermalink





(4)(A) the reasons for that poverty and unemployment have been widely studied and documented by Congress, the Government Accountability Office, the Department of the Interior, private academic institutions, and Indian tribes; andCommentsClose CommentsPermalink





(B) the studies described in subparagraph (A) have consistently identified as fundamental obstacles to balanced economic growth and progress by Indians and Alaska Natives--CommentsClose CommentsPermalink





(i) the very limited availability of long-term development capital and sources of financial credit necessary to support in Indian country the development of a private sector economy comprised of Indian-owned business enterprises;CommentsClose CommentsPermalink





(ii) the lack of effective control by Indians over their own land and resources; andCommentsClose CommentsPermalink





(iii) the scarcity of experienced Indian managers and technicians;CommentsClose CommentsPermalink





(5) previous efforts by the Federal Government directed at stimulating Indian economic development through the provision of grants, direct loans, loan guarantees, and interest subsidies have fallen far short of objectives due to--CommentsClose CommentsPermalink





(A) inadequate funds;CommentsClose CommentsPermalink





(B) lack of coordination;CommentsClose CommentsPermalink





(C) arbitrary project selection criteria;CommentsClose CommentsPermalink





(D) politicization of the delivery system; andCommentsClose CommentsPermalink





(E) other inefficiencies characteristic of a system of publicly administered financial intermediation; andCommentsClose CommentsPermalink





(6) the experience acquired by multilateral lending institutions among ‘lesser-developed countries’ has demonstrated the value and necessity of development financial institutions in achieving economic growth in underdeveloped economies and societies that are strikingly similar to Indian and Alaska Native communities in relation to matters such as--CommentsClose CommentsPermalink





(A) control over natural resource management;CommentsClose CommentsPermalink





(B) the absence of experienced, indigenous managers and technicians; andCommentsClose CommentsPermalink





(C) the availability of long-term development capital and private sources of financial credit.CommentsClose CommentsPermalink





(b) Policy- It is the policy of the United States that, in fulfillment of the special and long-standing responsibility of the United States to Indian tribes, the United States should provide assistance to Indians in efforts to break free from the devastating effects of extreme poverty and unemployment and achieve lasting economic self-sufficiency through the development of the private sector of tribal economies by establishing a federally chartered, mixed-ownership development financing institution to provide a broad range of financial intermediary services (including working capital, direct loans, loan guarantees, and project development assistance) using the proven efficiencies of the private market mode of operation.CommentsClose CommentsPermalink

SEC. 3. DEFINITIONS.

In this Act:CommentsClose CommentsPermalink





(1) BOARD- The term ‘Board’ means the Board of Directors of the Corporation.CommentsClose CommentsPermalink





(2) CORPORATION- The term ‘Corporation’ means the Indian Development Finance Corporation established by section 101(a).CommentsClose CommentsPermalink





(3) INDIAN- The term ‘Indian’ means an individual who is a member of an Indian tribe.CommentsClose CommentsPermalink





(4) INDIAN BUSINESS ENTERPRISE-CommentsClose CommentsPermalink





(A) IN GENERAL- The term ‘Indian business enterprise’ means any commercial, industrial, or business entity--CommentsClose CommentsPermalink





(i) at least 51 percent of which is owned by 1 or more Indian tribes;CommentsClose CommentsPermalink





(ii) that produces or provides goods, services, or facilities on a for-profit basis;CommentsClose CommentsPermalink





(iii) that is chartered or controlled by an Indian tribe or tribal organization that is a shareholder/member of the Corporation;CommentsClose CommentsPermalink





(iv) the principal place of business of which is located within or adjacent to the boundaries of a reservation; andCommentsClose CommentsPermalink





(v) the principal business activities of which, in addition to the production of a stream of income, as determined by the Corporation--CommentsClose CommentsPermalink





(I) are directly beneficial to an Indian tribe; andCommentsClose CommentsPermalink





(II) contribute to the economy of that Indian tribe.CommentsClose CommentsPermalink





(B) INCLUSION- The term ‘Indian business enterprise’ includes any subsidiary entity owned and controlled by an entity described in subparagraph (A).CommentsClose CommentsPermalink





(5) INDIAN TRIBE- The term ‘Indian tribe’ has the meaning given the term in section 4 of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 450b).CommentsClose CommentsPermalink





(6) RESERVATION- The term ‘reservation’ has the meaning given the term in section 3 of the Indian Financing Act of 1974 (25 U.S.C. 1452).CommentsClose CommentsPermalink





(7) SECRETARY- The term ‘Secretary’ means the Secretary of the Interior.CommentsClose CommentsPermalink





(8) TRIBAL ORGANIZATION- The term ‘tribal organization’ means--CommentsClose CommentsPermalink





(A) the governing body of an Indian tribe; andCommentsClose CommentsPermalink





(B) any entity established, controlled, or owned by such a governing body.CommentsClose CommentsPermalink

TITLE I--INDIAN DEVELOPMENT FINANCE CORPORATIONCommentsClose CommentsPermalink

SEC. 101. ESTABLISHMENT OF CORPORATION.

(a) In General- There is established a corporation, to be known as the ‘Indian Development Finance Corporation’.CommentsClose CommentsPermalink





(b) Powers of Congress- Congress shall have the sole authority--CommentsClose CommentsPermalink





(1) to amend the charter of the Corporation; andCommentsClose CommentsPermalink





(2) to terminate the Corporation.CommentsClose CommentsPermalink

SEC. 102. DUTIES AND POWERS.

(a) Duties- The Corporation shall--CommentsClose CommentsPermalink





(1) provide development capital through financial services under section 103;CommentsClose CommentsPermalink





(2) encourage the development of new and existing Indian business enterprises eligible to receive assistance from the Corporation by providing, and coordinating the availability of--CommentsClose CommentsPermalink





(A) long-term capital and working capital;CommentsClose CommentsPermalink





(B) loans, loan guarantees, and other forms of specialized credit; andCommentsClose CommentsPermalink





(C) technical and managerial assistance and training;CommentsClose CommentsPermalink





(3) maintain broad-based control of the Corporation relative to the voting shareholders of the Corporation;CommentsClose CommentsPermalink





(4) encourage active participation in the Corporation by Indian tribes through ownership of equity securities of the Corporation; andCommentsClose CommentsPermalink





(5) otherwise assist in strengthening Indian tribal economies through the development of Indian business enterprises.CommentsClose CommentsPermalink





(b) Powers- In carrying out this Act, the Corporation may--CommentsClose CommentsPermalink





(1) adopt and alter a corporate seal, which shall be judicially noticed;CommentsClose CommentsPermalink





(2)(A) enter into agreements and contracts with individuals, Indian tribes, and private or governmental entities; andCommentsClose CommentsPermalink





(B) make payments or advance payments under those agreements and contracts without regard to section 3324 of title 31, United States Code, except that the Corporation shall provide financial assistance only in accordance with this Act;CommentsClose CommentsPermalink





(3) with respect to any real, personal, or mixed property (or any interest in such property)--CommentsClose CommentsPermalink





(A) lease, purchase, accept gifts or donations of, or otherwise acquire the property;CommentsClose CommentsPermalink





(B) own, hold, improve, use, or otherwise deal in or with the property; andCommentsClose CommentsPermalink





(C) sell, convey, mortgage, pledge, lease, exchange, or otherwise dispose of the property;CommentsClose CommentsPermalink





(4)(A) sue and be sued in corporate name;CommentsClose CommentsPermalink





(B) complain and defend in any court of competent jurisdiction; andCommentsClose CommentsPermalink





(C) represent itself, or contract for representation, in any judicial, legal, or other proceeding;CommentsClose CommentsPermalink





(5)(A) with the approval of the department or agency concerned, make use of the services, facilities, and property of any board, commission, independent establishment, or Federal department or agency in carrying out this Act; andCommentsClose CommentsPermalink





(B) pay for that use, with the payments to be credited to the applicable appropriation that incurred the expense;CommentsClose CommentsPermalink





(6) use the United States mails on the same terms and conditions as a Federal department or agency;CommentsClose CommentsPermalink





(7) obtain insurance or make other provisions against losses;CommentsClose CommentsPermalink





(8) participate with 1 or more other financial institutions, agencies, instrumentalities, trusts, or foundations in loans or guarantees provided under this Act on such terms as may be agreed on;CommentsClose CommentsPermalink





(9) accept guarantees from other agencies for which loans made by the Corporation may be eligible;CommentsClose CommentsPermalink





(10) establish, as soon as practicable, regional offices to more efficiently serve the widely disbursed Indian population;CommentsClose CommentsPermalink





(11) buy and sell--CommentsClose CommentsPermalink





(A) obligations of, or instruments insured by, the Federal Government; andCommentsClose CommentsPermalink





(B) securities backed by the full faith and credit of any Federal department or agency;CommentsClose CommentsPermalink





(12) make such investments as the Board determines to be appropriate;CommentsClose CommentsPermalink





(13) establish such offices within the Corporation as are necessary, including--CommentsClose CommentsPermalink





(A) project development;CommentsClose CommentsPermalink





(B) project evaluation and auditing;CommentsClose CommentsPermalink





(C) fiscal management;CommentsClose CommentsPermalink





(D) research and development; andCommentsClose CommentsPermalink





(E) such other activities as are authorized by the Board; andCommentsClose CommentsPermalink





(14) exercise all other authority necessarily or reasonably relating to the establishment of the Corporation to carry out this Act.CommentsClose CommentsPermalink

SEC. 103. LOANS AND OBLIGATIONS.

(a) In General- The Corporation may--CommentsClose CommentsPermalink





(1) make loans or commitments for loans to any Indian business enterprise; andCommentsClose CommentsPermalink





(2) purchase, insure, or discount any obligation of an Indian business enterprise, if the Indian business enterprise meets the requirements of subsection (b).CommentsClose CommentsPermalink





(b) Requirements- An Indian business enterprise meets the requirements of this subsection if the Corporation determines that--CommentsClose CommentsPermalink





(1) the Indian business enterprise has or will have--CommentsClose CommentsPermalink





(A) a sound organizational and financial structure;CommentsClose CommentsPermalink





(B) income in excess of the operating costs of the Indian business enterprise;CommentsClose CommentsPermalink





(C) assets in excess of the obligations of the Indian business enterprise; andCommentsClose CommentsPermalink





(D) a reasonable expectation of continuing demand for--CommentsClose CommentsPermalink





(i) the products, goods, commodities, or services of the Indian business enterprise; orCommentsClose CommentsPermalink





(ii) the facilities of the Indian business enterprise; andCommentsClose CommentsPermalink





(2) the loan or obligation proposed to be purchased, insured, or discounted will be fully repayable by the Indian business enterprise in accordance with the terms and conditions of the loan or obligation.CommentsClose CommentsPermalink





(c) Terms, Rates, and Charges-CommentsClose CommentsPermalink





(1) IN GENERAL- In establishing the terms, rates, and charges for a loan provided under this section, the Corporation, to the maximum extent practicable, shall seek to provide the type of credit needed by the applicable Indian business enterprise at the lowest reasonable cost and on a sound business basis, taking into consideration--CommentsClose CommentsPermalink





(A) the cost of money to the Corporation;CommentsClose CommentsPermalink





(B) the necessary reserve and expenses of the Corporation; andCommentsClose CommentsPermalink





(C) the technical and other assistance attributable to loans made available by the Corporation under this section.CommentsClose CommentsPermalink





(2) INTEREST RATES- The terms of a loan under this subsection may provide for an interest rate that varies from time to time during the repayment period of the loan in accordance with the interest rates being charged by the Corporation for new loans during those periods.CommentsClose CommentsPermalink





(d) Advancing and Reloaning- A loan provided under this section may be advanced or reloaned by the Corporation to any member or shareholder of the Corporation for the development of an individually owned business on or adjacent to a reservation, in accordance with the bylaws of the Corporation.CommentsClose CommentsPermalink





(e) Loan Guarantees-CommentsClose CommentsPermalink





(1) IN GENERAL- The Corporation may guarantee any part of the principal or interest of a loan that is provided--CommentsClose CommentsPermalink





(A) by a State-chartered or federally chartered lending institution to an Indian business enterprise that meets the requirements of subsection (b); andCommentsClose CommentsPermalink





(B) in accordance with such terms and conditions (including the rate of interest) as would be permissible if the loan was a direct loan provided by the Corporation.CommentsClose CommentsPermalink





(2) CHARGES- The Corporation may impose a charge for a loan guarantee provided under this subsection.CommentsClose CommentsPermalink





(3) LIMITATION- The Corporation shall not provide a loan guarantee under this subsection if the income to the lender from the applicable loan is excludable from the gross income of the lender for purposes of chapter 1 of the Internal Revenue Code of 1986.CommentsClose CommentsPermalink





(4) ASSIGNABILITY- A loan guarantee under this subsection shall be assignable to the extent provided in the contract for the loan guarantee.CommentsClose CommentsPermalink





(5) INCONTESTABILITY- A loan guarantee under this subsection shall be incontestable, except in any case of fraud or misrepresentation of which the holder of the loan had actual knowledge at the time the holder acquired the loan.CommentsClose CommentsPermalink





(6) PURCHASE OF GUARANTEED LOANS-CommentsClose CommentsPermalink





(A) IN GENERAL- In lieu of requiring the original lender to service a loan guaranteed under this subsection until final maturity or liquidation, the Corporation may purchase the guaranteed loan without penalty, if the Corporation determines that--CommentsClose CommentsPermalink





(i) the purchase would not be detrimental to the interests of the Corporation;CommentsClose CommentsPermalink





(ii) liquidation of the guaranteed loan would--CommentsClose CommentsPermalink





(I) result in the insolvency of the borrower; orCommentsClose CommentsPermalink





(II) deprive the borrower of an asset essential to continued operation; andCommentsClose CommentsPermalink





(iii)(I) the guaranteed loan will be repayable on revision of the rates, terms, payment periods, or other conditions of the loan, consistent with loans made by the Corporation under subsection (a)(1); butCommentsClose CommentsPermalink





(II) the lender or other holder of the guaranteed loan is unwilling to make such a revision.CommentsClose CommentsPermalink





(B) AMOUNT- The amount paid by the Corporation to purchase a loan under subparagraph (A) shall not exceed an amount equal to the sum of--CommentsClose CommentsPermalink





(i) the balance of the principal of the loan; andCommentsClose CommentsPermalink





(ii) the amount of interest accrued on the loan as of the date of purchase.CommentsClose CommentsPermalink





(f) Purchases of Equity and Ownership; Supervision and Participation-CommentsClose CommentsPermalink





(1) PURCHASES OF EQUITY AND OWNERSHIP- For purposes of providing long-term capital and working capital to Indian business enterprises, the Corporation may purchase, or make commitments to purchase, any portion of the equity or ownership interest in the Indian business enterprise if the Corporation determines, after a full and complete appraisal of all project and business plans associated with the investment, that the investment will not expose the Corporation to any unreasonable business risk, taking into consideration applicable development finance standards, as applied to Indian economic development in light of the socioeconomic, political, and legal conditions unique to reservations.CommentsClose CommentsPermalink





(2) SUPERVISION AND PARTICIPATION- The Corporation may supervise or participate in the management of an Indian business enterprise in which an investment has been made under paragraph (1), in accordance with such terms and conditions as are agreed to by the Corporation and the Indian business enterprise, including the assumption of a directorship in the corporate body of the Indian business enterprise by an officer of the Corporation.CommentsClose CommentsPermalink

SEC. 104. BOARD OF DIRECTORS.

(a) Membership- The Corporation shall be headed by a board of directors, to be composed of 21 members, of whom--CommentsClose CommentsPermalink





(1) 1 shall be a Federal official, to be appointed by the Secretary;CommentsClose CommentsPermalink





(2) 19 shall be representatives of the shareholders of the Corporation, to be appointed by the Secretary--CommentsClose CommentsPermalink





(A) based on consultation with, and recommendations from, Indian tribes;CommentsClose CommentsPermalink





(B) in accordance with subsection (b); andCommentsClose CommentsPermalink





(C) taking take into consideration the experience of a representative regarding--CommentsClose CommentsPermalink





(i) private business enterprises; andCommentsClose CommentsPermalink





(ii) development or commercial financing; andCommentsClose CommentsPermalink





(3) 1 shall be the president of the Corporation.CommentsClose CommentsPermalink





(b) Appointment of Shareholder Representatives- The initial members of the Board appointed under subsection (a)(2) shall be appointed by the Secretary, based on recommendations from Indian tribal leaders.CommentsClose CommentsPermalink





(c) Terms of Shareholder Representatives- The terms of service of the initial members of the Board appointed under subsection (a)(2) shall terminate at the beginning of the first annual meeting of shareholders of the Corporation held as soon as practicable after the date on which subscriptions have been paid for at least 10 percent of the common stock of the Corporation initially offered for sale to Indian tribes under section 201(b).CommentsClose CommentsPermalink





(d) Vacancies-CommentsClose CommentsPermalink





(1) IN GENERAL- Subject to paragraph (2), a vacancy on the Board resulting from the resignation or removal of a member of the Board shall be filled by the Board in accordance with the bylaws of the Corporation.CommentsClose CommentsPermalink





(2) TERM- The term of service of a member of the Board appointed under paragraph (1) shall terminate at the beginning of the next annual shareholder meeting of the Corporation occurring after the date of appointment.CommentsClose CommentsPermalink





(e) Removal- A member of the Board may be removed from office by the Board only for--CommentsClose CommentsPermalink





(1) neglect of duty; orCommentsClose CommentsPermalink





(2) malfeasance in office.CommentsClose CommentsPermalink





(f) Administrative Duties-CommentsClose CommentsPermalink





(1) CHAIRPERSON AND VICE-CHAIRPERSON- The Board shall annually elect from among the members of the Board described in subsection (a)(2) a chairperson and vice-chairperson.CommentsClose CommentsPermalink





(2) POLICIES AND MANAGEMENT- The Board shall--CommentsClose CommentsPermalink





(A) establish the policies of the Corporation; andCommentsClose CommentsPermalink





(B) supervise the management of the Corporation.CommentsClose CommentsPermalink





(3) BYLAWS- The Board shall adopt and amend, as necessary, such bylaws as are necessary for the proper management and function of the Corporation.CommentsClose CommentsPermalink





(4) MEETINGS-CommentsClose CommentsPermalink





(A) IN GENERAL- The Board shall meet at the call of the chairperson of the Board, in accordance with the bylaws of the Corporation, not less frequently than once each quarter.CommentsClose CommentsPermalink





(B) PRIVATE EXECUTIVE SESSIONS- The Board may meet in a private executive session if the matter involved at the meeting may impinge on the right of privacy of an individual.CommentsClose CommentsPermalink





(g) Member Appointed by Secretary- The member of the Board appointed by the Secretary under subsection (a)(1) shall--CommentsClose CommentsPermalink





(1) have 20 percent of the share of votes cast at each annual shareholder meeting; andCommentsClose CommentsPermalink





(2) be overruled only by 2/3 majority vote at a regular meeting of the Board with respect to any matter regarding--CommentsClose CommentsPermalink





(A) a request by the Board of capital under subsection (b)(3)(B) or (c)(2)(B) of section 201;CommentsClose CommentsPermalink





(B) borrowing by the Corporation of any amount in excess of $10,000,000;CommentsClose CommentsPermalink





(C) a loan or investment made by the Corporation in excess of $10,000,000; orCommentsClose CommentsPermalink





(D) a change to an investment or credit policy of the Corporation.CommentsClose CommentsPermalink





(h) Compensation-CommentsClose CommentsPermalink





(1) NON-GOVERNMENTAL EMPLOYEES- A member of the Board who is not otherwise employed by the Federal Government or a State government shall receive compensation at a rate equal to the daily rate for GS-18 of the General Schedule under section 5332 of title 5, United States Code, for each day, including traveling time, during which the member carries out a duty as a member of the Board.CommentsClose CommentsPermalink





(2) GOVERNMENTAL EMPLOYEES- A member of the Board who is an officer or employee of the Federal Government or a State government shall serve without additional compensation.CommentsClose CommentsPermalink





(3) TRAVEL AND OTHER EXPENSES- Each member of the Board shall be reimbursed for travel, subsistence, and other necessary expenses incurred by the member in carrying out a duty as a member of the Board.CommentsClose CommentsPermalink

SEC. 105. PRESIDENT OF CORPORATION.

(a) Appointment- The Board shall appoint a president of the Corporation.CommentsClose CommentsPermalink





(b) Duties and Powers- The president shall--CommentsClose CommentsPermalink





(1) serve as the chief executive officer of the Corporation; andCommentsClose CommentsPermalink





(2) subject to the direction of the Board and the general supervision of the chairperson, carry out the policies and functions of the Corporation;CommentsClose CommentsPermalink





(3) manage the personnel and activities of the Corporation; andCommentsClose CommentsPermalink





(4) on approval of the Board, appoint and fix the compensation and duties of such officers and employees as may be necessary for the efficient administration of the Corporation, without regard to--CommentsClose CommentsPermalink





(A) the provisions of title 5, United States Code, governing appointments in the competitive service; orCommentsClose CommentsPermalink





(B) chapter 51 or subchapter III of chapter 53 of title 5, United States Code.CommentsClose CommentsPermalink

SEC. 106. ANNUAL SHAREHOLDER MEETINGS.

(a) Meetings-CommentsClose CommentsPermalink





(1) IN GENERAL- The Corporation shall hold meetings of the shareholders of the Corporation not less frequently than once each year.CommentsClose CommentsPermalink





(2) OPENNESS- A shareholder meeting under this section shall be held open to the public.CommentsClose CommentsPermalink





(3) NOTICE- The Corporation shall provide to each shareholder of the Corporation a notice of each shareholder meeting under this section by not later than 30 days before the date of the meeting.CommentsClose CommentsPermalink





(b) Activities-CommentsClose CommentsPermalink





(1) CORPORATION- At a shareholder meeting under this section, the Corporation--CommentsClose CommentsPermalink





(A) shall provide to shareholders a report describing--CommentsClose CommentsPermalink





(i) the activities of the Corporation during the preceding calendar year; andCommentsClose CommentsPermalink





(ii) the financial condition of the Corporation as in effect on the date of the meeting; andCommentsClose CommentsPermalink





(B) may present to the shareholders proposals for future action and other matters of general concern to shareholders and Indian business enterprises eligible to receive services of the Corporation.CommentsClose CommentsPermalink





(2) SHAREHOLDERS- At a shareholder meeting under this section, a shareholder of the Corporation may--CommentsClose CommentsPermalink





(A) present a motion or resolution relating to any matter within the scope of this Act; andCommentsClose CommentsPermalink





(B) participate in any discussion relating to such a matter or any other matter on the agenda of the meeting.CommentsClose CommentsPermalink





(c) Voting- Each Indian tribe that is a member of the Corporation may vote the common stock of the Indian tribe regarding--CommentsClose CommentsPermalink





(1) any matter on the agenda of a meeting under this section; orCommentsClose CommentsPermalink





(2) any other matter relating to the election of a member of the Board.CommentsClose CommentsPermalink

SEC. 107. ANNUAL REPORTS; DEVELOPMENT PLAN.

(a) Annual Reports-CommentsClose CommentsPermalink





(1) IN GENERAL- Not later than 1 year after the date of enactment of this Act and annually thereafter, the Board shall submit to the appropriate committees of Congress a report describing--CommentsClose CommentsPermalink





(A) the activities of the Corporation during the preceding calendar year; andCommentsClose CommentsPermalink





(B) the capital and financial condition of the Corporation as in effect on the date of submission of the report.CommentsClose CommentsPermalink





(2) INCLUSION- Each report under paragraph (1) shall include recommendations for legislation to improve the services of the Corporation.CommentsClose CommentsPermalink





(b) Development Plan- Not later than 1 year after the date of enactment of this Act, the Corporation shall submit to Congress a comprehensive, 5-year organizational development plan that includes--CommentsClose CommentsPermalink





(1) financial projections for the Corporation;CommentsClose CommentsPermalink





(2) a description of the corporate structure and locations of the Corporation; andCommentsClose CommentsPermalink





(3) operational guidelines for the Corporation, particularly regarding the coordinating relationship the Corporation has, or plans to have, with Federal domestic assistance programs that allocate financial resources and services to Indian tribes and reservations for economic and business development purposes.CommentsClose CommentsPermalink

TITLE II--CAPITALIZATIONCommentsClose CommentsPermalink

SEC. 201. ISSUANCE OF STOCK.

(a) Issuance-CommentsClose CommentsPermalink





(1) IN GENERAL- The Corporation may issue shares of stock in the Corporation, in such quantity and of such class as the Board determines to be appropriate, in accordance with this section.CommentsClose CommentsPermalink





(2) REQUIREMENT- A share of stock under paragraph (1) may be issued to, and held by, only--CommentsClose CommentsPermalink





(A) an Indian tribe; orCommentsClose CommentsPermalink





(B) the Federal Government.CommentsClose CommentsPermalink





(3) REDEMPTION AND REPURCHASE- The Corporation may redeem or repurchase a share of stock issued pursuant to paragraph (1) at a price to be determined by the Board.CommentsClose CommentsPermalink





(b) Initial Offering of Common Stock-CommentsClose CommentsPermalink





(1) IN GENERAL- The Corporation shall make an initial offering of common stock of the Corporation to Indian tribes under this section--CommentsClose CommentsPermalink





(A) in a quantity of not less than 500,000 shares; andCommentsClose CommentsPermalink





(B) at a price of not less than $50 per share.CommentsClose CommentsPermalink





(2) FORM OF PAYMENT- Of the price paid by an Indian tribe for a share of stock of the Corporation under this subsection--CommentsClose CommentsPermalink





(A) 20 percent shall be provided in cash or cash-equivalent securities; andCommentsClose CommentsPermalink





(B) 80 percent shall provided in the form of a legally binding financial commitment that is--CommentsClose CommentsPermalink





(i) available at the request of the Board to meet the obligations of the Corporation; butCommentsClose CommentsPermalink





(ii) not available for any lending activity or administrative expenses of the Corporation.CommentsClose CommentsPermalink





(c) Subscription by Secretary for Shares of Capital Stock-CommentsClose CommentsPermalink





(1) IN GENERAL- The Secretary may subscribe for not more than 2,000,000 shares of capital stock of the Corporation.CommentsClose CommentsPermalink





(2) PAYMENTS-CommentsClose CommentsPermalink





(A) INITIAL PERIOD- Not later than 2 years after the date of enactment of this Act, the Secretary shall pay to the Corporation for subscription for capital stock under paragraph (1) not less than $20,000,000.CommentsClose CommentsPermalink





(B) SUBSEQUENT PERIOD-CommentsClose CommentsPermalink





(i) IN GENERAL- Beginning in fiscal year 2012, the Secretary shall pay to the Corporation for subscription for capital stock under paragraph (1)--CommentsClose CommentsPermalink





(I) $80,000,000; orCommentsClose CommentsPermalink





(II) such lesser amount as the Board may request, in accordance with clause (ii).CommentsClose CommentsPermalink





(ii) REQUESTS BY BOARD- The amount of a request by the Board under clause (i)(II) shall be determined jointly by the Secretary and the Board based on an assessment of the need of the Corporation, taking into consideration a risk analysis of the investment and credit policies and practices of the Corporation.CommentsClose CommentsPermalink





(iii) LIMITATIONS- A payment under this subparagraph--CommentsClose CommentsPermalink





(I) shall be subject to the availability of appropriations;CommentsClose CommentsPermalink





(II) shall be provided only as needed to meet the obligations of the Corporation; andCommentsClose CommentsPermalink





(III) shall not be available for any lending activity or administrative expenses of the Corporation.CommentsClose CommentsPermalink





(3) REQUIREMENTS- A share of capital stock subscribed for by the Secretary under this subsection--CommentsClose CommentsPermalink





(A) shall be valued at not less than $50 per share;CommentsClose CommentsPermalink





(B) shall be nonvoting stock;CommentsClose CommentsPermalink





(C) shall not accrue dividends; andCommentsClose CommentsPermalink





(D) shall not be transferred to any individual or entity other than the Corporation.CommentsClose CommentsPermalink





(d) Exempted Securities- A share of stock, and any other security or instrument, issued by the Corporation shall be considered to be an exempted security for purposes of the laws (including regulations) administered by the Securities and Exchange Commission.CommentsClose CommentsPermalink

SEC. 202. BORROWING AUTHORITY.

(a) Issuance of Obligations- The Corporation may issue such bonds, notes, and other obligations at such times, bearing interest at such rates, and containing such terms and conditions as the Board, in consultation with the Secretary of the Treasury, determines to be appropriate.CommentsClose CommentsPermalink





(b) Amount of Obligations- The aggregate amount of the obligations issued pursuant to subsection (a) shall not exceed an amount equal to the sum of--CommentsClose CommentsPermalink





(1) the product obtained by multiplying--CommentsClose CommentsPermalink





(A) the sum of--CommentsClose CommentsPermalink





(i) the paid-in capital of the Corporation; andCommentsClose CommentsPermalink





(ii) the retained earnings and profits of the Corporation; andCommentsClose CommentsPermalink





(B) 10; andCommentsClose CommentsPermalink





(2) the sum of the book values of--CommentsClose CommentsPermalink





(A) the capital subject to request of the Board represented by the total commitments of Indian tribal shareholders under section 201(b)(2)(B); andCommentsClose CommentsPermalink





(B) the amount paid by the Secretary under section 201(c)(2).CommentsClose CommentsPermalink





(c) Sale of Obligations- An obligation of the Corporation under subsection (a) may be--CommentsClose CommentsPermalink





(1) issued through an agent by negotiation, offer, bid, syndicate sale, or otherwise; andCommentsClose CommentsPermalink





(2) completed by book entry, wire transfer, or any other appropriate method.CommentsClose CommentsPermalink

TITLE III--AUTHORIZATION OF APPROPRIATIONSCommentsClose CommentsPermalink

SEC. 301. AUTHORIZATION OF APPROPRIATIONS.

(a) General Operational Expenses- There are authorized to be appropriated--CommentsClose CommentsPermalink





(1) $2,000,000 for fiscal year 2009 to carry out this Act;CommentsClose CommentsPermalink





(2) $2,500,000 for each of fiscal years 2010 through 2014 to carry out project development activities under this Act; andCommentsClose CommentsPermalink





(3) such sums as are necessary to carry out this Act (other than subparagraphs (A) and (B) of section 201(c)(2)) for each of fiscal years 2010 through 2014.CommentsClose CommentsPermalink





(b) Paid-In Capital Stock- There are authorized to be appropriated--CommentsClose CommentsPermalink





(1) for each of fiscal years 2010 and 2011, $10,000,000 to carry out section 201(c)(2)(A); andCommentsClose CommentsPermalink





(2) for fiscal year 2011 and each fiscal year thereafter, $80,000,000 to carry out section 201(c)(2)(B).CommentsClose CommentsPermalink