108 STAT. 2200 PUBLIC LAW 103-325—SEPT. 23, 1994 (3) by inserting after subparagraph (B) the following new subparagraph: "(C) small business related securities (as defined in section 3(a)(53) of the Securities Exchange Act of 1934), or. (b) OBLIGATIONS OF THE UNITED STATES.—Section 106(a)(2) of the Secondary Mortgage Market Enhancement Act of 1984 (15 U.S.C. 77r-1(a)(2)) is amended— (1) by striking "or" at the end of subparagraph (B); (2) by redesignating subparagraph (C) as subparagraph (D); and (3) by inserting after subparagraph (B) the following new subparagraph: "(C) small business related securities (as defined in section 3(a)(53) of the Securities Exchange Act of 1934), or. (c) PREEMPTION OF STATE LAWS.—Section 106(c) of the Secondary Mortgage Market Enhancement Act of 1984 (15 U.S.C. 77r- 1(c)) is amended— (1) in the first sentence, by striking "or that" and inserting ", that"; and (2) by inserting ", or that are small business related securities (as defined in section 3(a)(53) of the Securities Exchange Act of 1934)" before "shall be exempt". (d) IMPLEMENTATION. —Section 106 of the Secondary Mortgage Market Enhancement Act of 1984 (15 U.S.C. 77r-l) is amended by adding at the end the following new subsection: "(d) IMPLEMENTATION. — "(1) LIMITATION.—The provisions of subsections (a) and (b) concerning small business related securities shall not apply with respect to a particular person, trust, corporation, partnership, association, business trust, or business entity or class thereof in any State that, prior to the expiration of 7 years after the date of enactment of this subsection, enacts a statute that specifically refers to this section and either prohibits or provides for a more limited authority to purchase, hold, or invest in such small business related securities by any person, trust, corporation, partnership, association, business trust, or business entity or class thereof than is provided in this section. The enactment by any State of any statute of the type described in the preceding sentence shall not affect the validity of any contractual commitment to purchase, hold, or invest that was made prior to such enactment, and shall not require the sale or other disposition of any small business related securities acquired prior to the date of such enactment. " (2) STATE REGISTRATION OR QUALIFICATION REQUIRE- MENTS. —Any State may, not later than 7 years after the date of enactment of this subsection, enact a statute that specifically refers to this section and requires registration or qualification of any small business related securities on terms that differ from those applicable to any obligation issued by the United States.".
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