((a)) Upon the application of the governor of any State having a seacoast or bordering on any of the Great Lakes, the President may direct the Secretary of the Navy to lend to one well-established military school in that State that desires to instruct its cadets in elementary seamanship one fully equipped cutter for every 25 cadets attending the school, and such other equipment adequate for instruction in elementary seamanship as may be spared.

((b)) To be eligible for a loan under this section a school must—

((1)) have adequate facilities for cutter drill;

((2)) have at least 75 cadets—

((A)) at least 15 years of age;

((B)) in uniform;

((C)) receiving military instruction; and

((D)) quartered in barracks under military regulations; and

((3)) have the capacity to quarter and educate 150 cadets at one time.

((c)) Whenever a loan is made under this section, the Secretary shall require a bond in double the value of the property for its care and return when required.