[Federal Register Volume 59, Number 7 (Tuesday, January 11, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-555]
[[Page Unknown]]
[Federal Register: January 11, 1994]
VOL. 59, NO. 7
Tuesday, January 11, 1994
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DEPARTMENT OF AGRICULTURE
Farmers Home Administration
Redelegation of Authority To Approve Releases of Liability in
Connection With Voluntary Liquidations
AGENCY: Farmers Home Administration, USDA.
ACTION: Notice of redelegation of authority.
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SUMMARY: On September 11, 1992, the Farmers Home Administration (FmHA)
redelegated certain authorities to all State Directors dealing with the
settlement of and/or the release of liability on FmHA debts owed by
borrowers who made application to settle their FmHA debts or request
release of liability. Notice of this redelegation was published in 57
FR 43688 (September 22, 1992). The redelegation authority, granted on
September 11, 1992, expired on September 30, 1993, and the
Administrator now gives notice to extend that redelegation until
December 31, 1994. All release of liability cases of $1,000,000 or more
(including principal, interest and other charges) must be submitted to
the National Office for approval by the Administrator. This action is
taken to expedite the processing of requests of borrowers who are
unable to repay all of their FmHA debts.
The effect of the extension of the redelegation of the
Administrator's authority is to continue to expedite the administrative
review process for releases of liability, permitting more timely debt
relief to FmHA borrowers, and to consequently reduce the Agency's
portfolio of inactive uncollectible accounts.
EFFECTIVE DATE: October 1, 1993 though December 31, 1994.
FOR FURTHER INFORMATION CONTACT:
Melvin R. Padgett II, Senior Loan Officer, Farmer Programs Loan
Servicing and Property Management Division, Farmers Home
Administration, USDA, room 5444, South Agriculture Building, 14th and
Independence Avenue SW., Washington, DC 20250, telephone (202) 720-
6293.
SUPPLEMENTARY INFORMATION:
Programs Affected
This action affects the following FmHA programs as listed in the
Catalog of Federal Domestic Assistance:
10.404 Emergency Loans.
10.406 Farm Operating Loans.
10.407 Farm Ownership Loans.
10.410 Low-Income Housing Loans.
10.416 Soil and Water Loans.
10.417 Very Low-Income Housing Repair Loans and Grants.
10.428 Economic Emergency Loans.
The notice of the delegation of authority for approving release of
liability cases reads as follows:
This extends the authority to approve Release of Liability cases
given under the unnumbered memorandum dated September 11, 1992,
entitled ``Extension of the Delegation of Authority for Approving Debt
Settlement/Release of Liability Cases.'' You were given authority to
approve debt settlement cases of less $1,000,000 in FmHA Instruction
1956-B, Section 1956.84(a) on April 21, 1993, under Procedure Notice
Number 204.
Pursuant to authority delegated to me as Administrator of Farmers
Home Administration, I hereby redelegate to State Directors authority
to approve the following:
1. Release of Lability cases in accordance with Sections
1955.10(f)(2) and 1955.20(b)(2) of FmHA Instruction 1955-A,
``Liquidation of Loans Secured by Real Estate and Acquisition of Real
and Chattel Property.''
2. Release of Liability cases in accordance with Section 1962.34(h)
of FmHA Instruction 1962-A, ``Servicing and Liquidation of Chattel
Security,'' and Sections 1965.26(f)(5)(ii) and 1965.27(f) of FmHA
Instruction 1965-A, ``Servicing of Real Estate Security for Farmer
Programs Loans and Certain Note Only Cases.''
This authority does not extend to Release of Liability cases for
Nonprogram loans, Economic Opportunity loans, and claims against third
party converters.
Cases where the borrower's total indebtedness, including principal,
interest, and other charges, is $1,000,000 or more must be submitted to
the National Office for approval by the Administrator.
This extension of the redelegation shall be effective through
December 31, 1994, unless revoked or otherwise modified in writing. The
authority delegated to the State Director cannot be further delegated.
Dated: December 29, 1993.
Michael V. Dunn,
Administrator, Farmers Home Administration.
[FR Doc. 94-555 Filed 1-10-94; 8:45 am]
BILLING CODE 3410-07-M
