20 U.S.C. § 5705 : US Code - Section 5705: Christopher Columbus Fellowship Fund

Search 20 U.S.C. § 5705 : US Code - Section 5705: Christopher Columbus Fellowship Fund

(a) In general
There is established in the Treasury a fund to be known as the
Christopher Columbus Scholarship (!1) Fund (hereafter in this
chapter referred to as the "fund"), which shall consist of -
(1) amounts deposited under subsection (d) of this section;
(2) obligations obtained under subsection (c) of this section;
(3) amounts contributed to the Foundation; and
(4) all surcharges received by the Secretary of the Treasury
from the sale of coins minted under the Christopher Columbus
Quincentenary Coin Act.
(b) Investments
(1) Duty of Secretary to invest
The Secretary of the Treasury shall invest in full any amount
appropriated or contributed to the fund.
(2) Authorized investments
Investments pursuant to paragraph (1) may be made only in
interest-bearing obligations of the United States or in
obligations guaranteed as to both principal and interest by the
United States. For such purpose, such obligations may be acquired
-
(A) on original issue at the issue price; or
(B) by purchase of outstanding obligations at the market
price.
(3) Special obligations
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 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, if
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 purchase of other obligations of the United
States, or of obligations guaranteed as to both principal and
interest by the United States or original issue at the market
price, is not in the public interest.
(c) Sale of obligations
Any obligations acquired by the fund (except special obligations
issued exclusively to the fund in accordance with subsection (b)(3)
of this section) may be sold by the Secretary at the market price,
and such special obligations may be redeemed at par plus accrued
interest.
(d) Interest
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.
(e) Availability of fund
(1) Stipends
The fund shall be available to the Foundation for payment of
stipends awarded under section 5704 of this title.
(2) Expenses
The Secretary of the Treasury is authorized to pay to the
Foundation from the interest and earnings of the funds such sums
as the Board determines are necessary and appropriate to enable
the Foundation to carry out the provisions of this chapter.
(f) Disbursements
Disbursements from the fund shall be made on vouchers approved by
the Foundation and signed by the Chairman.