118 STAT. 651 PUBLIC LAW 108–232—MAY 28, 2004 (F)(iii) during any period for which an election is in effect under subparagraph (A) and such failure continues for 180 days, the requirements of paragraphs (2), (4), and (6) shall apply to such PCL as of the end of such 180 day period and such PCL shall make the contribution to its loss reserve described in subparagraph (D). The Administrator may waive the requirements of this subpara graph. ‘‘(F) QUALIFIED HIGH LOSS RESERVE PCL.—The term ‘qualified high loss reserve PCL’ means, with respect to any calendar year, any premier certified lender designated by the Administrator as a qualified high loss reserve PCL for such year. The Administrator shall not designate a company under the preceding sentence unless the Adminis trator determines that— ‘‘(i) the amount of the loss reserve of the company is not less than $100,000; ‘‘(ii) the company has established and is utilizing an appropriate and effective process for analyzing the risk of loss associated with its portfolio of PCLP loans and for grading each PCLP loan made by the company on the basis of the risk of loss associated with such loan; and ‘‘(iii) the company meets or exceeds 4 or more of the specified risk management benchmarks as of the most recent assessment by the Administration or the Administration has issued a waiver with respect to the requirement of this clause. ‘‘(G) SPECIFIED RISK MANAGEMENT BENCHMARKS.—For purposes of this paragraph, the term ‘specified risk manage ment benchmarks’ means the following rates, as deter mined by the Administrator: ‘‘(i) Currency rate. ‘‘(ii) Delinquency rate. ‘‘(iii) Default rate. ‘‘(iv) Liquidation rate. ‘‘(v) Loss rate. ‘‘(H) QUALIFIED INDEPENDENT AUDITOR.—For purposes of this paragraph, the term ‘qualified independent auditor’ means any auditor who— ‘‘(i) is compensated by the qualified high loss reserve PCL; ‘‘(ii) is independent of such PCL; and ‘‘(iii) has been approved by the Administrator during the preceding year. ‘‘(I) PCLP LOAN.—For purposes of this paragraph, the term ‘PCLP loan’ means any loan guaranteed under this section. ‘‘(J) ELIGIBLE CALENDAR QUARTER.—For purposes of this paragraph, the term ‘eligible calendar quarter’ means— ‘‘(i) the first calendar quarter that begins after the end of the 90 day period beginning with the date of the enactment of this paragraph; and ‘‘(ii) the 7 succeeding calendar quarters. ‘‘(K) CALENDAR QUARTER.—For purposes of this para graph, the term ‘calendar quarter’ means—
�
