Table 5.

DIRECT LOANS: ASSUMPTIONS UNDERLYING THE 2012 SUBSIDY ESTIMATES

(In percentages, unless noted otherwise)
Composition of Subsidy Loan Characteristics
Subsidy Loan Grace
Agency, Bureau, Program and Risk Category Defaults, net Borrower Upfront Annual Default Recovery
rate Interest Fees All other maturity period Other fees
of recoveries rate fees fees rate 1 rate 2
(years) (years)

Department of Agriculture

Farm Service Agency:

Agricultural Credit Insurance Fund:
Farm Ownership............................................................... 4.80 4.92 2.14 ...... -2.26 32 3.72 ...... ...... ...... ...... 24.99 42.63
Farm Operating................................................................ 5.63 5.09 0.97 ...... -0.44 5 2.69 ...... ...... ...... ...... 7.82 9.45
Emergency Disaster........................................................... 5.01 8.84 -3.62 ...... -0.21 9 3.75 ...... ...... ...... ...... 16.19 12.37
IndianTribe Land Acquisition............................................... -13.89 ...... -13.89 ...... ...... 40 5.00 ...... ...... ...... ...... ...... ......
Boll Weevil Eradication...................................................... -2.16 0.02 -1.81 ...... -0.37 7 2.63 ...... ...... ...... ...... 0.02 ......
Indian Highly Fractionated Land........................................... 1.93 11.42 -8.78 ...... -0.71 18 4.41 ...... ...... ...... ...... 40.27 16.63
Farm Storage Facility Loans:
Farm Storage Facility Loans................................................ -2.30 0.02 -1.97 -0.27 -0.08 9 2.60 ...... 0.27 ...... ...... 0.05 50.00
Sugar Storage Facility Loans............................................... -0.34 0.02 -0.20 ...... -0.16 15 5.00 ...... ...... ...... ...... 0.06 50.00

Rural Housing Service:

Community Facility Loans...................................................... -3.03 2.13 -4.13 ...... -1.04 32 4.15 1 ...... ...... ...... 9.33 52.62
Rural Housing Insurance Fund:
Section 502 Single-Family Housing........................................ 4.73 3.89 1.69 ...... -0.85 34 5.24 ...... ...... ...... ...... 23.03 39.99
Section 515 Multi-Family Housing......................................... 34.12 0.17 35.29 ...... -1.34 30 1.00 ...... ...... ...... ...... 0.55 9.25
Section 514 Farm Labor Housing.......................................... 34.15 0.11 34.80 ...... -0.76 33 1.00 ...... ...... ...... ...... 0.26 ......

Rural Business Cooperative Service:

Rural Microenterprise Direct Loans.......................................... 15.59 2.74 12.85 ...... ...... 20 2.00 2 ...... ...... ...... 4.87 1.88
Intermediary Relending Program.............................................. 33.88 0.21 34.60 ...... -0.93 30 1.00 4 ...... ...... ...... 0.49 2.47
Rural Economic Development Loans......................................... 12.98 0.01 13.03 ...... -0.05 10 ...... 1 ...... ...... ...... 0.37 100.00

Rural Utilities Service:

Water and Waste Disposal Loans............................................. 9.58 0.10 11.60 ...... -2.12 38 3.16 1 ...... ...... ...... 1.02 78.48
Rural Electrification and Telecommunications Loans:
Electric Hardship Loans...................................................... -14.40 0.03 -15.52 ...... 1.10 33 5.00 1 ...... ...... ...... 1.12 100.00
FFB Electric Loans............................................................ -4.00 0.09 -2.01 ...... -2.08 28 3.86 1 ...... ...... ...... 1.20 88.79
Telecommunication Hardship Loans....................................... -13.78 0.04 -14.23 ...... 0.41 18 5.00 1 ...... ...... ...... 1.39 100.00
Treasury Telecommunications Loans...................................... -1.19 0.37 ...... ...... -1.55 17 3.31 1 ...... ...... ...... 2.02 75.70
FFB Telecommunications Loans............................................ -3.64 0.15 3.08 ...... -6.87 15 2.92 1 ...... ...... ...... 5.44 100.00
 Table 5. DIRECT LOANS: ASSUMPTIONS UNDERLYING THE 2012 SUBSIDY ESTIMATES
(In percentages, unless noted otherwise)
Composition of Subsidy Loan Characteristics
Subsidy Loan Grace
Agency, Bureau, Program and Risk Category Defaults, net Borrower Upfront Annual Default Recovery
rate Interest Fees All other maturity period Other fees
of recoveries rate fees fees rate 1 rate 2
(years) (years)

Department of Commerce

National Oceanic and Atmospheric Administration:

Fisheries Finance:
Individual Fishing Quota Loans............................................ -12.80 0.19 -23.54 -0.79 11.33 21 6.12 ...... 0.79 ...... ...... 2.00 83.76
Traditional Direct Loans..................................................... -13.77 0.06 -18.46 -0.53 5.16 15 5.95 ...... 0.54 ...... ...... 0.81 87.60

Department of Defense

Family Housing:
Family Housing Improvement Fund Direct Loans...........................6.17 12.27 -6.11 ...... ...... 25 4.56 5 ...... ...... ...... 41.73 50.00

Department of Education

Office of Postsecondary Education:

Historically Black Colleges and Universities:
Capital Financing Program.................................................. 5.50 9.66 -2.85 -1.31 ...... 30 3.88 ...... ...... 0.13 ...... 14.04 ......

Office of Federal Student Aid:

Teacher Education Assistance:
TEACH Grants.................................................................. 13.33 0.54 4.92 ...... 7.87 9 6.46 ...... ...... ...... ...... 10.70 114.60 3
TEACH Grants (Legislative Proposal)..................................... 16.83 0.49 8.81 ...... 7.53 9 6.46 ...... ...... ...... ...... 10.10 114.60 3
Ford Direct Loan Program:
Weighted Average of Total Obligations................................... -15.41 1.57 -22.84 -1.26 7.12 11 6.42 ...... 1.26 ...... ...... 15.84 112.63 3
Weighted Average of Total Obligations
(Legislative Proposal)............................................... -16.77 1.57 -24.20 -1.26 7.12 11 6.40 ...... 1.26 ...... ...... 15.82 112.63 3
Stafford........................................................................... 2.02 0.89 -3.56 -1.00 5.68 10 5.68 ...... 1.00 ...... ...... 16.76 114.60 3
Stafford (Legislative Proposal)............................................. 3.20 0.96 -2.46 -1.00 5.70 10 5.46 ...... 1.00 ...... ...... 19.06 114.60 3
Unsubsidized Stafford........................................................ -25.77 1.52 -34.13 -1.00 7.83 10 6.46 ...... 1.00 ...... ...... 16.42 114.60 3
Unsubsidized Stafford (Legislative Proposal)............................-26.18 1.40 -34.15 -1.00 7.57 10 6.46 ...... 1.00 ...... ...... 15.10 114.60 3
PLUS............................................................................... -30.20 0.92 -36.57 -4.00 9.45 10 7.90 ...... 4.00 ...... ...... 7.69 114.17 3
PLUS (Legislative Proposal)................................................ -30.20 0.92 -36.57 -4.00 9.45 10 7.90 ...... 4.00 ...... ...... 7.69 114.17 3
Consolidation................................................................... -10.96 3.89 -20.95 ...... 6.11 16 6.58 ...... ...... ...... ...... 19.79 103.53 3
Consolidation (Legislative Proposal)...................................... -10.96 3.89 -20.95 ...... 6.11 16 6.58 ...... ...... ...... ...... 19.79 103.53 3
 Table 5. DIRECT LOANS: ASSUMPTIONS UNDERLYING THE 2012 SUBSIDY ESTIMATES
(In percentages, unless noted otherwise)
Composition of Subsidy Loan Characteristics
Subsidy Loan Grace
Agency, Bureau, Program and Risk Category Defaults, net Borrower Upfront Annual Default Recovery
rate Interest Fees All other maturity period Other fees
of recoveries rate fees fees rate 1 rate 2
(years) (years)

Federal Family Education Loan:

Weighted Average of Total Obligations —
Student Loan Acquisition (Legislative Proposal)..................-4.36 0.94 -10.87 1.32 4.25 12 5.60 ...... -1.32 ...... ...... 10.36 117.41 3
Student Loan Acquisition — Stafford
(Legislative Proposal)............................................... 11.20 0.66 6.15 1.28 3.12 9 5.89 ...... -1.28 ...... ...... 9.54 122.94 3
Student Loan Acquisition — Unsubsidized Stafford
(Legislative Proposal)............................................... -15.66 0.74 -22.50 1.28 4.82 9 5.90 ...... -1.28 ...... ...... 10.40 122.94 3
Student Loan Acquisition — PLUS
(Legislative Proposal)............................................... -21.08 0.45 -25.29 -1.72 5.48 8 7.70 ...... 1.72 ...... ...... 5.00 108.69 3
Student Loan Acquisition — Consolidation
(Legislative Proposal)............................................... -3.75 1.75 -12.35 2.28 4.57 19 5.10 ...... -2.28 ...... ...... 12.70 106.77 3
Federal Perkins Loans (Legislative Proposal)..............................-26.25 1.24 -34.46 -0.99 7.95 10 6.46 ...... 0.99 ...... ...... 16.42 114.60 3

Department of Energy

Energy Programs:
Title 17 Innovative Technology Program: 4
Section 1703 FFB Loans (Self Pay)....................................... 0.00 10.89 -1.49 -9.40 ...... 28 3.73 5 9.40 ...... ...... 38.83 53.40
Section 1703 FFB Loans (EERE)........................................... 15.70 16.85 -1.15 ...... ...... 20 3.43 2 ...... ...... ...... 45.50 47.50

Department of Health and Human Services

Centers for Medicare and Medicaid Services:

Consumer Operated and Oriented Plan: 4
Startup Loans................................................................... 60.00 60.00 ...... ...... ...... 5 2.22 5 ...... ...... ...... 66.95 ......
Solvency Grants............................................................... 65.00 65.00 ...... ...... ...... 15 3.61 10 ...... ...... ...... 100.71 ......
Planning Grants................................................................ 100.00 100.00 ...... ...... ...... 15 3.61 10 ...... ...... ...... 100.00 ......

Department of Homeland Security

Federal Emergency Management Agency:

Disaster Assistance Direct Loan.............................................. -1.17 ...... -1.53 ...... 0.36 7 3.76 ...... ...... ...... ...... ...... ......

Department of State

Administration of Foreign Affairs:

Repatriation Loans............................................................... 57.85 57.93 -0.07 ...... ...... ...... 1.00 ...... ...... ...... ...... 94.16 39.83
 Table 5. DIRECT LOANS: ASSUMPTIONS UNDERLYING THE 2012 SUBSIDY ESTIMATES
(In percentages, unless noted otherwise)
Composition of Subsidy Loan Characteristics
Subsidy Loan Grace
Agency, Bureau, Program and Risk Category Defaults, net Borrower Upfront Annual Default Recovery
rate Interest Fees All other maturity period Other fees
of recoveries rate fees fees rate 1 rate 2
(years) (years)

International Assistance Programs

Overseas Private Investment Corporation:

OPIC Direct Loans............................................................... -2.37 4.45 ...... -7.49 0.67 10 4.13 3 ...... 2.06 0.50 9.65 53.63

Department of Transportation

National Infrastructure Bank:

NIB Direct Loans (Legislative Proposal)..................................... 20.00 12.58 7.42 ...... ...... 35 3.88 5 ...... ...... ...... 62.17 52.00

Federal Highway Administration:

Federal-aid Highways:
Transportation Infrastructure, Finance & Innovation
(TIFIA) Lines of Credit................................................. 10.00 10.00 ...... ...... ...... 34 4.17 5 ...... ...... ...... 61.84 65.28
TIFIA Direct Loans............................................................ 9.51 9.50 0.02 ...... ...... 36 4.11 5 ...... ...... ...... 41.42 45.00
National Infrastructure Investments:
TIGER TIFIA Direct Loans................................................... 3.21 3.03 0.18 ...... ...... 36 4.27 5 ...... ...... ...... 15.77 45.00

Federal Railroad Administration:

Railroad Rehabilitation and Improvement Financing
Direct Loans................................................................ 0.00 0.89 ...... -0.89 ...... 25 5.14 ...... ...... ...... 0.89 55.15 67.44

Department of the Treasury

Departmental Offices:
Community Development Financial Institutions Fund.......................
40.26 12.01 28.25 ...... ...... 15 1.00 ...... ...... ...... ...... 20.20 ......

Department of Veterans Affairs

Benefits Programs:
Veterans Housing Benefit Program Fund:
Acquired Direct Loans........................................................ 4.09 10.05 -6.08 ...... 0.12 30 4.34 ...... ...... ...... ...... 58.62 40.74
Vendee Direct Loans......................................................... -2.12 0.06 -17.06 -0.83 15.71 30 5.18 ...... 0.83 ...... ...... 0.25 35.22
Native American Veteran Housing Loan:
Native American Direct Loans.............................................. -11.97 ...... -17.64 -0.66 6.33 30 4.46 ...... 0.53 ...... 0.21 ...... ......
Vocational Rehabilitation.................................................... 0.63 ...... 0.63 ...... ...... 1 0.00 ...... ...... ...... ...... ...... ......
 Table 5. DIRECT LOANS: ASSUMPTIONS UNDERLYING THE 2012 SUBSIDY ESTIMATES
(In percentages, unless noted otherwise)
Composition of Subsidy Loan Characteristics
Subsidy Loan Grace
Agency, Bureau, Program and Risk Category Defaults, net Borrower Upfront Annual Default Recovery
rate Interest Fees All other maturity period Other fees
of recoveries rate fees fees rate 1 rate 2
(years) (years)

Small Business Administration

Business Loans:
7(m) Direct Microloans......................................................... 14.71 2.17 4.47 ...... 8.07 10 1.99 1 ...... ...... ...... 2.96 3.51
Intermediary Lending Program............................................... 25.73 2.79 22.94 ...... ...... 20 1.00 2 ...... ...... ...... 4.80 ......

Disaster Loans:
Disaster Assistance Loans.................................................... 11.28 12.34 4.82 ...... -5.88 23 3.20 9 ...... ...... ...... 27.08 17.44

Other Independent Agencies

Export-Import Bank of the United States:

Direct Loans: Tied Aid War Chest......................................... 32.99 11.17 25.53 -3.71 ...... 22 0.60 4 3.85 ...... ...... 11.69 ......
1
Nominal lifetime defaults as a percent of disbursements.
2
Nominal lifetime recoveries as a percent of defaults.
3
Recovery rate includes principal, interest, and fee collections, and does not reflect deductions for collection costs that are billed to defaulted borrowers.
4
Data reflect initial estimates. Actual subsidy rates will be determined at the time of execution, and will reflect the terms of the contracts and other loan characteristics.