§ 1942.351 - General.

(a) This subpart outlines the policies and authorizations and sets forth the procedures for making and processing grants to assist in financing the development cost of domestic water and waste disposal systems for rural communities. Any processing or servicing activity conducted pursuant to this subpart involving authorized assistance to Farmers Home Administration (FmHA) or its successor agency under Public Law 103-354 employees, members of their families, known close relatives, or business or close personal associates, is subject to the provisions of subpart D of part 1900 of this chapter. Applicants for this assistance are required to identify any known relationship or association with an FmHA or its successor agency under Public Law 103-354 employee. Farmers Home Administration (FmHA) or its successor agency under Public Law 103-354 will maintain continuous liaison and coordination with State and substate planning district officials. FmHA or its successor agency under Public Law 103-354 shall cooperate fully with appropriate State agencies in making grants in a manner which will assure maximum support of the State's strategies for development of rural areas.

(b) Indian tribes on Federal and State reservations and other Federally recognized Indian tribes are eligible to apply and are encouraged to participate in this program. Such tribes might not be subject to State and local laws or jurisdiction. However, any requirements of this subpart that affect applicant eligibility, the adequacy of FmHA or its successor agency under Public Law 103-354's security or the adequacy of service to users of the facility, and all other requirements of this subpart, must be met. FmHA or its successor agency under Public Law 103-354 State Directors are reminded that funds allocated for use as prescribed in this subpart are to be considered for use by Indian tribes within the state regardless of whether State development strategies include Indian reservations within the State's boundaries. It is essential that Indians residing on such reservations have equal opportunity to participate in the benefits of this program on an equal basis with other residents of the state. This is intended to include an equal application of the outreach activities of FmHA or its successor agency under Public Law 103-354 District Offices.

(c) The District Office will normally be the entry point for preapplications and serve as the local contact point. Applications will be filed and grants will be processed to the maximum extent possible by the District Office staff. The State Office staff will monitor grant making and servicing and will provide assistance to District Office personnel to the extent necessary to assure that the activities are being accomplished in an orderly manner consistent with FmHA or its successor agency under Public Law 103-354 regulations.

(d) Federal statutes provide for extending FmHA or its successor agency under Public Law 103-354 financial programs without regard to race, color, religion, sex, national origin, marital status, age, or physical/mental handicap (provided the participant possesses the capacity to enter into legal contracts).