---
kind: "section"
citation: "12 U.S.C. § 4747"
title: "12"
title_heading: "Banks and Banking"
number: "4747"
heading: "Reimbursement by Fund"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/12/4747"
units:
  - "Chapter 47 — Community Development Banking"
  - "Subchapter II — Small Business Capital Enhancement"
---

# §4747. Reimbursement by Fund

- (a) **Reimbursements—** Not later than 30 calendar days after receiving a report filed in compliance with [section 4746 of this title](/usc/12/4746.md), the [Fund](/usc/12/4702.md?p=10) shall reimburse the [participating State](/usc/12/4742.md?p=7) in an amount equal to 50 percent of the amount of contributions by the [participating State](/usc/12/4742.md?p=7) to the [reserve funds](/usc/12/4742.md?p=10) that are subject to reimbursement by the [Fund](/usc/12/4702.md?p=10) pursuant to [section 4746 of this title](/usc/12/4746.md) and this section. The [Fund](/usc/12/4702.md?p=10) shall reimburse [participating States](/usc/12/4742.md?p=7), as it receives reports pursuant to [section 4746(a) of this title](/usc/12/4746.md?p=a), until available [funds](/usc/12/4702.md?p=10) are expended.
- (b) **Size of assisted borrower—** The [Fund](/usc/12/4702.md?p=10) shall not provide any reimbursement to a [participating State](/usc/12/4742.md?p=7) with respect to an [enrolled loan](/usc/12/4742.md?p=4) made to a borrower that has 500 or more employees at the time that the loan is enrolled in the [Program](/usc/12/4742.md?p=9).
- (c) **Three-year maximum—** The amount of reimbursement to be provided by the [Fund](/usc/12/4702.md?p=10) to a [participating State](/usc/12/4742.md?p=7) over any 3-year period in connection with loans made to any single borrower or any group of borrowers among which a common enterprise exists shall not exceed $75,000. For purposes of this subsection, “common enterprise” shall have the same meaning as in part [32](/usc/12/32.md) of title 12 of the Code of Federal Regulations, or any successor to that part.
- (d) **Loans totaling less than $2,000,000—** In connection with a loan in which the covered amount of the loan plus the covered amount of all previous loans enrolled by a [participating financial institution](/usc/12/4742.md?p=6) does not exceed $2,000,000, the amount of reimbursement by the [Fund](/usc/12/4702.md?p=10) to the [participating State](/usc/12/4742.md?p=7) shall not exceed the lesser of—
  - (1) 75 percent of the sum of the premium charges paid to the [reserve fund](/usc/12/4742.md?p=10) by the borrower and the [participating financial institution](/usc/12/4742.md?p=6); or
  - (2) 5.25 percent of the covered amount of the loan.
- (e) **Loans totaling more than $2,000,000—** In connection with a loan in which the sum of the covered amounts of all previous loans enrolled by the [participating financial institution](/usc/12/4742.md?p=6) in the [Program](/usc/12/4742.md?p=9) equals or exceeds $2,000,000, the amount of reimbursement to be provided by the [Fund](/usc/12/4702.md?p=10) to the [participating State](/usc/12/4742.md?p=7) shall not exceed the lesser of—
  - (1) 50 percent of the sum of the premium charges paid by the borrower and the [participating financial institution](/usc/12/4742.md?p=6); or
  - (2) 3.5 percent of the covered amount of the loan.
- (f) **Other amounts—** In connection with the enrollment of a loan that will cause the aggregate covered amount of all [enrolled loans](/usc/12/4742.md?p=4) to exceed $2,000,000, the amount of reimbursement by the [Fund](/usc/12/4702.md?p=10) to the [participating State](/usc/12/4742.md?p=7) shall be determined—
  - (1) by applying [subsection (d)](#d) to the portion of the loan, which when added to the aggregate covered amount of all previously [enrolled loans](/usc/12/4742.md?p=4) equals $2,000,000; and
  - (2) by applying [subsection (e)](#e) to the balance of the loan.

## Source credit

(Pub. L. 103–325, title II, § 257, Sept. 23, 1994, 108 Stat. 2212.)