Us Code § 4742 - Definitions
Full text of Us Code United States Code § 4742 — Definitions, with citation guidance and answers to common questions.
§ 4742. Definitions
For purposes of this subchapter—
(1) the term "Fund" means the Community Development Financial Institutions Fund established under section 4703 of this title;
(2) the term "appropriate Federal banking agency"—
(A) has the same meaning as in section 1813 of this title; and
(B) includes the National Credit Union Administration Board in the case of any credit union the deposits of which are insured in accordance with the Federal Credit Union Act [12 U.S.C. 1751 et seq.];
(3) the term "early loan" means a loan enrolled at a time when the aggregate covered amount of loans previously enrolled under the Program by a particular participating financial institution is less than $5,000,000;
(4) the term "enrolled loan" means a loan made by a participating financial institution that is enrolled by a participating State in accordance with this subchapter;
(5) the term "financial institution" means any federally chartered or State-chartered commercial bank, savings association, savings bank, or credit union;
(6) the term "participating financial institution" means any financial institution that has entered into a participation agreement with a participating State in accordance with section 4744 of this title;
(7) the term "participating State" means any State that has been approved for participation in the Program in accordance with section 4743 of this title;
(8) the term "passive real estate ownership" means ownership of real estate for the purpose of deriving income from speculation, trade, or rental, except that such term shall not include—
(A) the ownership of that portion of real estate being used or intended to be used for the operation of the business of the owner of the real estate (other than the business of passive ownership of real estate); or
(B) the ownership of real estate for the purpose of construction or renovation, until the completion of the construction or renovation phase;
(9) the term "Program" means the Small Business Capital Enhancement Program established under this subchapter;
(10) the term "reserve fund" means a fund, established by a participating State, earmarked for a particular participating financial institution, for the purposes of—
(A) depositing all required premium charges paid by the participating financial institution and by each borrower receiving a loan under the Program from a participating financial institution;
(B) depositing contributions made by the participating State; and
(C) covering losses on enrolled loans by disbursing accumulated funds; and
(11) the term "State" means—
(A) a State of the United States;
(B) the District of Columbia;
(C) any political subdivision of a State of the United States, which subdivision has a population in excess of the population of the least populated State of the United States; and
(D) any other political subdivision of a State of the United States that the Fund determines has the capacity to participate in the program.1
(Pub. L. 103–325, title II, §252, Sept. 23, 1994, 108 Stat. 2204.)
Editorial Notes
References in Text
The Federal Credit Union Act, referred to in par. (2)(B), is act June 26, 1934, ch. 750, 48 Stat. 1216, which is classified generally to chapter 14 (§1751 et seq.) of this title. For complete classification of this Act to the Code, see section 1751 of this title and Tables.
About This Section
12 U.S.C. § 4742 is part of Title 12 of the United States Code. The United States Code is the official codification of federal statutes maintained by the Office of the Law Revision Counsel of the U.S. House of Representatives. Congress amends the Code through new public laws, which are eventually incorporated into the relevant title.
This section may be cited in legal writing as 12 U.S.C. § 4742. For the most current official text, including any recent amendments, use the official source links below. Do not rely on this page as the sole authority for legal citation or litigation.
How to Read This Statute
Statutes are organized by title, chapter, section, and subsection. Pay attention to words like "shall," "may," "and," and "or," because they determine whether a requirement is mandatory or permissive and whether multiple conditions must all be met. Historical notes and amendments often appear at the end of a section.
Using This Page
This page is intended for research and educational use. Lawyers, students, journalists, and compliance professionals can use it as a starting point, but should always verify the current text through an official government source before relying on it for legal advice, filings, or compliance decisions.