20 U.S.C. § 4707 : US Code - Section 4707: Barry Goldwater Scholarship and Excellence in Education Fund

Search 20 U.S.C. § 4707 : US Code - Section 4707: Barry Goldwater Scholarship and Excellence in Education Fund

(a) Establishment of fund
There is established in the Treasury of the United States a trust
fund to be known as the Barry Goldwater Scholarship and Excellence
in Education Fund. The fund shall consist of amounts appropriated
to it pursuant to section 4711 of this title and amounts credited
to it under subsection (d) of this section.
(b) Investment of fund assets
It shall be the duty of the Secretary of the Treasury to invest
in full the amounts appropriated to the fund. Such investments may
be made only in public debt securities of the United States with
maturities suitable to the fund. For such purpose, such obligations
may be acquired (1) on original issue at the issue price, or (2) by
purchase of outstanding obligations at the market place. The
purposes for which obligations of the United States may be issued
under chapter 31 of title 31 are hereby extended to authorize the
issuance at par of special obligations exclusively to the fund.
Such special obligations shall bear interest at a rate equal to the
average rate of interest, computed as to the end of the calendar
month next preceding the date of such issue, borne by all
marketable interest-bearing obligations of the United States then
forming a part of the public debt, except that where such average
rate is not a multiple of 1/8 of 1 percent, the rate of interest
of such special obligations shall be the multiple of 1/8 of 1
percent next lower than such average rate. Such special obligations
shall be issued only if the Secretary determines that the purchases
of other interest-bearing obligations of the United States, or of
obligations guaranteed as to both principal and interest by the
United States or original issue or at the market price, is not in
the public interest.
(c) Authority to sell obligations
Any obligation acquired by the fund may be sold by the Secretary
at the market price.
(d) Proceeds from certain transactions credited to fund
The interest on, and the proceeds from the sale or redemption of,
any obligations held in the fund shall be credited to and form a
part of the fund.