; (4) to borrow money and issue bonds, debentures, or other debt instruments; (5) to complain and defend itself in any court of competent jurisdiction (except that the Directors of the Board shall not be personally liable, except for gross negligence); (6) to enter into contracts or other arrangements with public agencies, private organizations, and persons and to make such payments as may be necessary to carry out the purposes of such contracts or arrangements; and (7) to award grants for eligible projects, in accordance with section 7. (c) Property interests (1) Interest in real property In this subsection, the term interest in real property includes— (A) mineral and water rights; (B) rights of way; and (C) easements appurtenant or in gross. (2) In general The Foundation may acquire, hold, and dispose of lands, waters, and other interests in real property by donation, gift, devise, purchase, or exchange. (3) Limits to property rights A gift, devise, or bequest may be accepted by the Foundation even though it is encumbered, restricted, or subject to beneficial interests of private persons if any current or future interest therein is for the benefit of the Foundation. (d) Federal funds (1) In general The Foundation may— (A) hold Federal funds made available, but not immediately disbursed; and (B) use any interest or other investment income earned on such Federal funds to carry out the purposes of the Foundation under this Act. (2) Limitation Investments made pursuant to paragraph (1)(B) may only be made in— (A) interest-bearing obligations of the United States