{"identifier":"/us/usc/t42/s16371","title":42,"num":"\u00a7\u202f16371.","heading":"Definitions","text":"\u00a7\u202f16371.\nDefinitions\nIn this part:\n(1)\nCIFIA program\nThe term \u201cCIFIA program\u201d means the carbon dioxide transportation infrastructure finance and innovation program established under\nsection 16372(a) of this title\n(2)\nCommon carrier\nThe term \u201ccommon carrier\u201d means a transportation infrastructure operator or owner that\u2014\n(A) publishes a publicly available tariff containing the just and reasonable rates, terms, and conditions of nondiscriminatory service; and\n(B) holds itself out to provide transportation services to the public for a fee.\n(3)\nContingent commitment\nThe term \u201ccontingent commitment\u201d means a commitment to obligate funds from future available budget authority that is\u2014\n(A) contingent on those funds being made available in law at a future date; and\n(B) not an obligation of the Federal Government.\n(4)\nEligible project costs\nThe term \u201celigible project costs\u201d means amounts substantially all of which are paid by, or for the account of, an obligor in connection with a project, including\u2014\n(A) the cost of\u2014\n(i) development-phase activities, including planning, feasibility analysis, revenue forecasting, environmental review, permitting, preliminary engineering and design work, and other preconstruction activities;\n(ii) construction, reconstruction, rehabilitation, replacement, and acquisition of real property (including land relating to the project and improvements to land), environmental mitigation, construction contingencies, and acquisition and installation of equipment (including labor); and\n(iii) capitalized interest necessary to meet market requirements, reasonably required reserve funds, capital issuance expenses, and other carrying costs during construction; and\n(B) transaction costs associated with financing the project, including\u2014\n(i) the cost of legal counsel and technical consultants; and\n(ii) any subsidy amount paid in accordance with\nsection 16372(c)(3)(B)(ii) of this title\nsection 16373(b)(6)(B)(ii) of this title\n(5)\nFederal credit instrument\nThe term \u201cFederal credit instrument\u201d means a secured loan or loan guarantee authorized to be provided under the CIFIA program with respect to a project.\n(6)\nLender\nThe term \u201clender\u201d means a qualified institutional buyer (as defined in section 230.144A(a) of title 17, Code of Federal Regulations (or a successor regulation), commonly known as Rule 144A(a) of the Securities and Exchange Commission and issued under the Securities Act of 1933 (\n15 U.S.C. 77a\n(7)\nLetter of interest\nThe term \u201cletter of interest\u201d means a letter submitted by a potential applicant prior to an application for credit assistance in a format prescribed by the Secretary on the website of the CIFIA program that\u2014\n(A) describes the project and the location, purpose, and cost of the project;\n(B) outlines the proposed financial plan, including the requested credit and grant assistance and the proposed obligor;\n(C) provides a status of environmental review; and\n(D) provides information regarding satisfaction of other eligibility requirements of the CIFIA program.\n(8)\nLoan guarantee\nThe term \u201cloan guarantee\u201d means any guarantee or other pledge by the Secretary to pay all or part of the principal of, and interest on, a loan made to an obligor, or debt obligation issued by an obligor, in each case funded by a lender.\n(9)\nMaster credit agreement\nThe term \u201cmaster credit agreement\u201d means a conditional agreement that\u2014\n(A) is for the purpose of extending credit assistance for\u2014\n(i) a project of high priority under\nsection 16372(c)(3)(A) of this title\n(ii) a project covered under\nsection 16372(c)(3)(B) of this title\n(B) does not provide for a current obligation of Federal funds; and\n(C) would\u2014\n(i) make a contingent commitment of a Federal credit instrument or grant at a future date, subject to\u2014\n(I) the availability of future funds being made available to carry out the CIFIA program; and\n(II) the satisfaction of all conditions for the provision of credit assistance under the CIFIA program, including\nsection 16373(b) of this title\n(ii) establish the maximum amounts and general terms and conditions of the Federal credit instruments or grants;\n(iii) identify the 1 or more revenue sources that will secure the repayment of the Federal credit instruments;\n(iv) provide for the obligation of funds for the Federal credit instruments or grants after all requirements have been met for the projects subject to the agreement, including\u2014\n(I) compliance with all applicable requirements specified under the CIFIA program, including sections 16372(d) and 16373(b)(1) of this title; and\n(II) the availability of funds to carry out the CIFIA program; and\n(v) require that contingent commitments shall result in a financial close and obligation of credit or grant assistance by not later than 4 years after the date of entry into the agreement or release of the commitment, as applicable, unless otherwise extended by the Secretary.\n(10)\nObligor\nThe term \u201cobligor\u201d means a corporation, partnership, joint venture, trust, non-Federal governmental entity, agency, or instrumentality, or other entity that is liable for payment of the principal of, or interest on, a Federal credit instrument.\n(11)\nProduced in the United States\nThe term \u201cproduced in the United States\u201d, with respect to iron and steel, means that all manufacturing processes for the iron and steel, including the application of any coating, occurs within the United States.\n(12)\nProject\nThe term \u201cproject\u201d means a project for common carrier carbon dioxide transportation infrastructure or associated equipment, including pipeline, shipping, rail, or other transportation infrastructure and associated equipment, that will transport or handle carbon dioxide captured from anthropogenic sources or ambient air, as the Secretary determines to be appropriate.\n(13)\nProject obligation\nThe term \u201cproject obligation\u201d means any note, bond, debenture, or other debt obligation issued by an obligor in connection with the financing of a project, other than a Federal credit instrument.\n(14)\nSecured loan\nThe term \u201csecured loan\u201d means a direct loan to an obligor or a debt obligation issued by an obligor and purchased by the Secretary, in each case funded by the Secretary in connection with the financing of a project under\nsection 16373 of this title\n(15)\nSubsidy amount\nThe term \u201csubsidy amount\u201d means the amount of budget authority sufficient to cover the estimated long-term cost to the Federal Government of a Federal credit instrument\u2014\n(A) calculated on a net present value basis; and\n(B) excluding administrative costs and any incidental effects on governmental receipts or outlays in accordance with the Federal Credit Reform Act of 1990 (\n2 U.S.C. 661\n(16)\nSubstantial completion\nThe term \u201csubstantial completion\u201d, with respect to a project, means the date\u2014\n(A) on which the project commences transportation of carbon dioxide; or\n(B) of a comparable event to the event described in subparagraph (A), as determined by the Secretary and specified in the project credit agreement.","url":"https://projectusc.org/usc/t42/s16371.html","content":[{"t":"sec","id":"/us/usc/t42/s16371","children":[{"t":"num","text":"\u00a7\u202f16371."},{"t":"heading","text":"Definitions","tail":"\n"},{"t":"chapeau","text":"In this part:"},{"t":"para","id":"/us/usc/t42/s16371/1","children":[{"t":"num","text":"(1)"},{"t":"heading","text":"CIFIA program"},{"t":"content","children":[{"t":"p","text":"The term \u201cCIFIA program\u201d means the carbon dioxide transportation infrastructure finance and innovation program established under ","children":[{"t":"ref","text":"section 16372(a) of this title","href":"/us/usc/t42/s16372/a","tail":"."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16371/2","children":[{"t":"num","text":"(2)"},{"t":"heading","text":"Common carrier"},{"t":"chapeau","text":"The term \u201ccommon carrier\u201d means a transportation infrastructure operator or owner that\u2014"},{"t":"subpara","id":"/us/usc/t42/s16371/2/A","children":[{"t":"num","text":"(A)"},{"t":"content","text":" publishes a publicly available tariff containing the just and reasonable rates, terms, and conditions of nondiscriminatory service; and","tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16371/2/B","children":[{"t":"num","text":"(B)"},{"t":"content","text":" holds itself out to provide transportation services to the public for a fee.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16371/3","children":[{"t":"num","text":"(3)"},{"t":"heading","text":"Contingent commitment"},{"t":"chapeau","text":"The term \u201ccontingent commitment\u201d means a commitment to obligate funds from future available budget authority that is\u2014"},{"t":"subpara","id":"/us/usc/t42/s16371/3/A","children":[{"t":"num","text":"(A)"},{"t":"content","text":" contingent on those funds being made available in law at a future date; and","tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16371/3/B","children":[{"t":"num","text":"(B)"},{"t":"content","text":" not an obligation of the Federal Government.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16371/4","children":[{"t":"num","text":"(4)"},{"t":"heading","text":"Eligible project costs"},{"t":"chapeau","text":"The term \u201celigible project costs\u201d means amounts substantially all of which are paid by, or for the account of, an obligor in connection with a project, including\u2014"},{"t":"subpara","id":"/us/usc/t42/s16371/4/A","children":[{"t":"num","text":"(A)"},{"t":"chapeau","text":" the cost of\u2014"},{"t":"clause","id":"/us/usc/t42/s16371/4/A/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" development-phase activities, including planning, feasibility analysis, revenue forecasting, environmental review, permitting, preliminary engineering and design work, and other preconstruction activities;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t42/s16371/4/A/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" construction, reconstruction, rehabilitation, replacement, and acquisition of real property (including land relating to the project and improvements to land), environmental mitigation, construction contingencies, and acquisition and installation of equipment (including labor); and","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t42/s16371/4/A/iii","children":[{"t":"num","text":"(iii)"},{"t":"content","text":" capitalized interest necessary to meet market requirements, reasonably required reserve funds, capital issuance expenses, and other carrying costs during construction; and","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16371/4/B","children":[{"t":"num","text":"(B)"},{"t":"chapeau","text":" transaction costs associated with financing the project, including\u2014"},{"t":"clause","id":"/us/usc/t42/s16371/4/B/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" the cost of legal counsel and technical consultants; and","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t42/s16371/4/B/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" any subsidy amount paid in accordance with ","children":[{"t":"ref","text":"section 16372(c)(3)(B)(ii) of this title","href":"/us/usc/t42/s16372/c/3/B/ii","tail":" or "},{"t":"ref","text":"section 16373(b)(6)(B)(ii) of this title","href":"/us/usc/t42/s16373/b/6/B/ii","tail":"."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16371/5","children":[{"t":"num","text":"(5)"},{"t":"heading","text":"Federal credit instrument"},{"t":"content","children":[{"t":"p","text":"The term \u201cFederal credit instrument\u201d means a secured loan or loan guarantee authorized to be provided under the CIFIA program with respect to a project.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16371/6","children":[{"t":"num","text":"(6)"},{"t":"heading","text":"Lender"},{"t":"content","children":[{"t":"p","text":"The term \u201clender\u201d means a qualified institutional buyer (as defined in section 230.144A(a) of title 17, Code of Federal Regulations (or a successor regulation), commonly known as Rule 144A(a) of the Securities and Exchange Commission and issued under the Securities Act of 1933 (","children":[{"t":"ref","text":"15 U.S.C. 77a","href":"/us/usc/t15/s77a","tail":" et seq.)), that is not a Federal qualified institutional buyer."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16371/7","children":[{"t":"num","text":"(7)"},{"t":"heading","text":"Letter of interest"},{"t":"chapeau","text":"The term \u201cletter of interest\u201d means a letter submitted by a potential applicant prior to an application for credit assistance in a format prescribed by the Secretary on the website of the CIFIA program that\u2014"},{"t":"subpara","id":"/us/usc/t42/s16371/7/A","children":[{"t":"num","text":"(A)"},{"t":"content","text":" describes the project and the location, purpose, and cost of the project;","tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16371/7/B","children":[{"t":"num","text":"(B)"},{"t":"content","text":" outlines the proposed financial plan, including the requested credit and grant assistance and the proposed obligor;","tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16371/7/C","children":[{"t":"num","text":"(C)"},{"t":"content","text":" provides a status of environmental review; and","tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16371/7/D","children":[{"t":"num","text":"(D)"},{"t":"content","text":" provides information regarding satisfaction of other eligibility requirements of the CIFIA program.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16371/8","children":[{"t":"num","text":"(8)"},{"t":"heading","text":"Loan guarantee"},{"t":"content","children":[{"t":"p","text":"The term \u201cloan guarantee\u201d means any guarantee or other pledge by the Secretary to pay all or part of the principal of, and interest on, a loan made to an obligor, or debt obligation issued by an obligor, in each case funded by a lender.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16371/9","children":[{"t":"num","text":"(9)"},{"t":"heading","text":"Master credit agreement"},{"t":"chapeau","text":"The term \u201cmaster credit agreement\u201d means a conditional agreement that\u2014"},{"t":"subpara","id":"/us/usc/t42/s16371/9/A","children":[{"t":"num","text":"(A)"},{"t":"chapeau","text":" is for the purpose of extending credit assistance for\u2014"},{"t":"clause","id":"/us/usc/t42/s16371/9/A/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" a project of high priority under ","children":[{"t":"ref","text":"section 16372(c)(3)(A) of this title","href":"/us/usc/t42/s16372/c/3/A","tail":"; or"}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t42/s16371/9/A/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" a project covered under ","children":[{"t":"ref","text":"section 16372(c)(3)(B) of this title","href":"/us/usc/t42/s16372/c/3/B","tail":";"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16371/9/B","children":[{"t":"num","text":"(B)"},{"t":"content","text":" does not provide for a current obligation of Federal funds; and","tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16371/9/C","children":[{"t":"num","text":"(C)"},{"t":"chapeau","text":" would\u2014"},{"t":"clause","id":"/us/usc/t42/s16371/9/C/i","children":[{"t":"num","text":"(i)"},{"t":"chapeau","text":" make a contingent commitment of a Federal credit instrument or grant at a future date, subject to\u2014"},{"t":"subclause","id":"/us/usc/t42/s16371/9/C/i/I","children":[{"t":"num","text":"(I)"},{"t":"content","text":" the availability of future funds being made available to carry out the CIFIA program; and","tail":"\n"}],"tail":"\n"},{"t":"subclause","id":"/us/usc/t42/s16371/9/C/i/II","children":[{"t":"num","text":"(II)"},{"t":"content","text":" the satisfaction of all conditions for the provision of credit assistance under the CIFIA program, including ","children":[{"t":"ref","text":"section 16373(b) of this title","href":"/us/usc/t42/s16373/b","tail":";"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t42/s16371/9/C/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" establish the maximum amounts and general terms and conditions of the Federal credit instruments or grants;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t42/s16371/9/C/iii","children":[{"t":"num","text":"(iii)"},{"t":"content","text":" identify the 1 or more revenue sources that will secure the repayment of the Federal credit instruments;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t42/s16371/9/C/iv","children":[{"t":"num","text":"(iv)"},{"t":"chapeau","text":" provide for the obligation of funds for the Federal credit instruments or grants after all requirements have been met for the projects subject to the agreement, including\u2014"},{"t":"subclause","id":"/us/usc/t42/s16371/9/C/iv/I","children":[{"t":"num","text":"(I)"},{"t":"content","text":" compliance with all applicable requirements specified under the CIFIA program, including sections 16372(d) and 16373(b)(1) of this title; and","tail":"\n"}],"tail":"\n"},{"t":"subclause","id":"/us/usc/t42/s16371/9/C/iv/II","children":[{"t":"num","text":"(II)"},{"t":"content","text":" the availability of funds to carry out the CIFIA program; and","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t42/s16371/9/C/v","children":[{"t":"num","text":"(v)"},{"t":"content","text":" require that contingent commitments shall result in a financial close and obligation of credit or grant assistance by not later than 4 years after the date of entry into the agreement or release of the commitment, as applicable, unless otherwise extended by the Secretary.","tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16371/10","children":[{"t":"num","text":"(10)"},{"t":"heading","text":"Obligor"},{"t":"content","children":[{"t":"p","text":"The term \u201cobligor\u201d means a corporation, partnership, joint venture, trust, non-Federal governmental entity, agency, or instrumentality, or other entity that is liable for payment of the principal of, or interest on, a Federal credit instrument.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16371/11","children":[{"t":"num","text":"(11)"},{"t":"heading","text":"Produced in the United States"},{"t":"content","children":[{"t":"p","text":"The term \u201cproduced in the United States\u201d, with respect to iron and steel, means that all manufacturing processes for the iron and steel, including the application of any coating, occurs within the United States.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16371/12","children":[{"t":"num","text":"(12)"},{"t":"heading","text":"Project"},{"t":"content","children":[{"t":"p","text":"The term \u201cproject\u201d means a project for common carrier carbon dioxide transportation infrastructure or associated equipment, including pipeline, shipping, rail, or other transportation infrastructure and associated equipment, that will transport or handle carbon dioxide captured from anthropogenic sources or ambient air, as the Secretary determines to be appropriate.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16371/13","children":[{"t":"num","text":"(13)"},{"t":"heading","text":"Project obligation"},{"t":"content","children":[{"t":"p","text":"The term \u201cproject obligation\u201d means any note, bond, debenture, or other debt obligation issued by an obligor in connection with the financing of a project, other than a Federal credit instrument.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16371/14","children":[{"t":"num","text":"(14)"},{"t":"heading","text":"Secured loan"},{"t":"content","children":[{"t":"p","text":"The term \u201csecured loan\u201d means a direct loan to an obligor or a debt obligation issued by an obligor and purchased by the Secretary, in each case funded by the Secretary in connection with the financing of a project under ","children":[{"t":"ref","text":"section 16373 of this title","href":"/us/usc/t42/s16373","tail":"."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16371/15","children":[{"t":"num","text":"(15)"},{"t":"heading","text":"Subsidy amount"},{"t":"chapeau","text":"The term \u201csubsidy amount\u201d means the amount of budget authority sufficient to cover the estimated long-term cost to the Federal Government of a Federal credit instrument\u2014"},{"t":"subpara","id":"/us/usc/t42/s16371/15/A","children":[{"t":"num","text":"(A)"},{"t":"content","text":" calculated on a net present value basis; and","tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16371/15/B","children":[{"t":"num","text":"(B)"},{"t":"content","text":" excluding administrative costs and any incidental effects on governmental receipts or outlays in accordance with the Federal Credit Reform Act of 1990 (","children":[{"t":"ref","text":"2 U.S.C. 661","href":"/us/usc/t2/s661","tail":" et seq.)."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16371/16","children":[{"t":"num","text":"(16)"},{"t":"heading","text":"Substantial completion"},{"t":"chapeau","text":"The term \u201csubstantial completion\u201d, with respect to a project, means the date\u2014"},{"t":"subpara","id":"/us/usc/t42/s16371/16/A","children":[{"t":"num","text":"(A)"},{"t":"content","text":" on which the project commences transportation of carbon dioxide; or","tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16371/16/B","children":[{"t":"num","text":"(B)"},{"t":"content","text":" of a comparable event to the event described in subparagraph (A), as determined by the Secretary and specified in the project credit agreement.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"text","text":"\n"},{"t":"text","text":"\n"}]}]}