MARVIN MANDEL, Governor                            1659

$10,000 and on an equal Batching basis with funds of the
borrowing subdivision, for the purpose of financing site
engineering and/or planning studies of a potential
industrial site owned by or under option to the borrowing
subdivision OR OWNED BY THE FEDERAL GOVERNMENT UPON
REASONABLE ASSURANCE THAT THE SITE WILL BE MADE AVAILABLE
TO THE SUBDIVISION. Upon approval of any such loan, the
Secretary and the subdivision shall enter into a loan
agreement requiring repayment within seven years at an
interest rate calculated pursuant to subsection (c)(3)
hereof, and in accordance with an amortization schedule
approved by the Secretary.

441.

(d)(2) Upon the sale of the land or any part thereof
by the subdivision, [[the entire purchase price]] SO MUCH
OF THE SALE PRICE AS EQUALS THE AMOUNT OF THE LOAN TIMES
THE PROPORTION OF THE LAMP SOLD OF THE TOTAL LAND COVERED
BY THE LOAN shall be applied in reduction of the
principal balance of the land and accrued interest
thereon. The principal balance remaining at the end of
two years shall, subject to the required prepayments in
the event of sale or sales, be amortized over a period
not exceeding twenty—five years in accordance with an
amortization schedule approved by the Secretary.

(g) The Secretary may, upon application and after
investigation, approve a loan not exceeding [$7,500]
$15,000 and on an equal matching basis with funds of the
borrowing subdivision, for the purpose of financing
planning and/or engineering study costs of or for a
project situate or to be situate on land owned by or
under option to the borrowing subdivision OR OWNED BY THE
FEDERAL GOVERNMENT UPON REASONABLE ASSURANCE THAT THE
SITE WILL BE MADE AVAILABLE TO THE SUBDIVISION. Upon
approval of any such loan, the Secretary and the
subdivision shall enter into a loan agreement requiring
repayment within five years at an interest rate
calculated pursuant to § 440 (c) (3) and in accordance with
an amortization schedule approved by the Secretary.

SECTION 2. AND BE IT FURTHER ENACTED, That the
provisions of this Act shall apply to loans settled after
January 1, 1974.

SECTION [[2]] 3. AND BE IT FURTHER ENACTED, That
this Act shall take effect July 1, 1974.

Approved April 30, 1974.