§ 985. — Bonds; issuance; maturity; redemption; interest; purchase of obligations by Secretary of the Treasury.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 33USC985]
TITLE 33--NAVIGATION AND NAVIGABLE WATERS
CHAPTER 19--SAINT LAWRENCE SEAWAY
Sec. 985. Bonds; issuance; maturity; redemption; interest;
purchase of obligations by Secretary of the Treasury
(a) To finance its activities, the Corporation may issue revenue
bonds payable from corporate revenue to the Secretary of the Treasury.
The total face value of all bonds so issued shall not be greater than
$140,000,000. Not more than fifty per centum of the bonds may be issued
during any one year. Such obligations shall have maturities agreed upon
by the Corporation and the Secretary of the Treasury, not in excess of
fifty years. Such obligations may be redeemable at the option of the
Corporation before maturity in such manner as may be stipulated in such
obligations, but the obligations thus redeemed shall not be refinanced
by the Corporation. The Secretary of the Treasury is authorized and
directed to purchase any obligations of the Corporation to be issued
hereunder and for such purpose the Secretary of the Treasury is
authorized to use as a public debt transaction the proceeds from the
sale of any securities issued under chapter 31 of title 31, and the
purposes for which securities may be issued under chapter 31 of title 31
are extended to include any purchases of the Corporation's obligations
hereunder.
(b) Effective as of October 21, 1970, the obligations of the
Corporation incurred under subsection (a) of this section shall bear no
interest, and the obligation of the Corporation to pay the unpaid
interest which has accrued on such obligations is terminated.
(May 13, 1954, ch. 201, Sec. 5, 68 Stat. 94; Pub. L. 85-108, Sec. 1(4),
July 17, 1957, 71 Stat. 307; Pub. L. 91-469, Sec. 43(a), Oct. 21, 1970,
84 Stat. 1038.)
Codification
In subsec. (a), ``chapter 31 of title 31'' substituted for ``the
Second Liberty Bond Act, as amended'' on authority of Pub. L. 97-258,
Sec. 4(b), Sept. 13, 1982, 96 Stat. 1067, the first section of which
enacted Title 31, Money and Finance.
Amendments
1970--Subsec. (a). Pub. L. 91-469, Sec. 43(a)(1), designated
existing provisions as subsec. (a) and struck out fourth, fifth, and
eighth sentences which provided for deferral, with approval of Secretary
of the Treasury, of interest payments on bonds but required interest
payments so deferred to bear interest after June 30, 1960; prohibited
charging of deferred interest against debt limitation of $140,000,000;
and prescribed for each obligation a rate of interest determined by the
Secretary, taking into consideration the current average rate on current
marketable obligations of the United States of comparable maturities as
of the last day of the month preceding the issuance of the obligation of
the Corporation.
Subsec. (b). Pub. L. 91-469, Sec. 43(a)(2), added subsec. (b).
1957--Pub. L. 85-108 increased Corporation's borrowing authority
from $105,000,000 to $140,000,000; omitted first year bond issue
limitation, and raised limits of bond issues for any year from 40 to 50
per centum of total borrowing power; and authorized deferment of
interest payments on borrowings, excluding such deferred interest
charges from the debt limitation of $140,000,000.
Section Referred to in Other Sections
This section is referred to in section 985a of this title.
