§ 1942.531 - Performing development.

(a) Applicable provisions of §§ 1942.17(p) and 1942.18(o) of subpart A of part 1942 of this chapter will be followed in performing development for grants made under this subpart.

(b) After filing an application in accordance with § 1942.521 of this subpart and when immediate action is necessary, the State Director may concur in an applicant's request to proceed with construction before funds are obligated provided the requirements of subpart G of part 1940 of this chapter are complied with. The applicant must be advised in writing that:

(1) Any authorization to proceed or any concurrence in bid awards, contract concurrence, or other project development activity, is not a commitment by FmHA or its successor agency under Public Law 103-354 to provide grant funds under this subpart.

(2) FmHA or its successor agency under Public Law 103-354 is not liable for any debt incurred by the applicant in the event that funds are not provided under this subpart.