§ 221. PUBLIC-PRIVATE PARTNERSHIPS.
340 words·~2 min read·
/usc/title-49/section-221A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
In General .— The Secretary may establish an avionics equipage incentive program for the purpose of equipping general aviation and commercial aircraft with communications, surveillance, navigation, and other avionics equipment as determined by the Secretary to be in the interest of achieving NextGen capabilities for such aircraft. NextGen Public-Private Partnerships .— The incentive program established under subsection
(a)shall, at a minimum— be based on public-private partnership principles; and leverage and maximize the use of private sector capital. Financial Instruments .— Subject to the availability of appropriated funds, the Secretary may use financial instruments to facilitate public-private financing for the equipage of general aviation and commercial aircraft registered under section 44103 of title 49 , United States Code. To the extent appropriations are not made available, the Secretary may establish the program, provided the costs are covered by the fees and premiums authorized by subsection (d)(2). For purposes of this section, the term ‘financial instruments’ means loan guarantees and other credit assistance designed to leverage and maximize private sector capital. Protection of the Taxpayer.— Limitation on principal .— The amount of any guarantee under this program shall be limited to 90 percent of the principal amount of the underlying loan. Collateral, fees, and premiums .— The Secretary shall require applicants for the incentive program to post collateral and pay such fees and premiums if feasible, as determined by the Secretary, to offset costs to the Government of potential defaults, and agree to performance measures that the Secretary considers necessary and in the best interest of implementing the NextGen program. Use of funds .— Applications for this program shall be limited to equipment that is installed on general aviation or commercial aircraft and is necessary for communications, surveillance, navigation, or other purposes determined by the Secretary to be in the interests of achieving NextGen capabilities for commercial and general aviation. Termination of Authority .— The authority of the Secretary to issue such financial instruments under this section shall terminate 5 years after the date of the establishment of the incentive program.