---
kind: "section"
citation: "46 C.F.R. § 298.17"
title: "46"
number: "298.17"
heading: "Evaluation of applications."
url: "https://uscodex.org/cfr/46/298.17"
---

# §298.17. Evaluation of applications.

- (a) In evaluating project applications, we shall also consider whether the application provides for:
  - (1) The capability of the Vessel(s) serving as a naval and military auxiliary in time of war or national emergency.
  - (2) **The financing of the Vessel(s) within one year after delivery.**
  - (3) The acquisition of Vessel(s) currently financed under Title XI by assumption of the total obligation(s).
  - (4) **The Guarantees extend for less than the normal term for that class of vessel.**
  - (5) In the case of an Eligible Shipyard, the capability of the shipyard to engage in naval vessel construction in time of war or national emergency.
  - (6) In the case of Shipyard Project, the Guarantees extend for less than the technological life of the asset.
- (b) In determining the amount of equity which you must provide, we will consider, among other things, the following:
  - (1) Your financial strength;
  - (2) Adequacy of collateral; and
  - (3) **The term of the Guarantees.**

## Notes

### Authority

Authority: 46 U.S.C. chapter 537; 49 CFR 1.93.

### Source

Source: 65 FR 45152, July 20, 2000, unless otherwise noted.