[Federal Register Volume 59, Number 91 (Thursday, May 12, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-11419]
[[Page Unknown]]
[Federal Register: May 12, 1994]
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DEPARTMENT OF AGRICULTURE
Farmers Home Administration
7 CFR Part 1948
RIN 0575-AB83
Intermediary Relending Program Loan Limit
AGENCIES: Farmers Home Administration and Rural Development
Administration, USDA.
ACTION: Interim final rule.
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SUMMARY: The Farmers Home Administration (FmHA) and Rural Development
Administration (RDA) are amending the regulations for the Intermediary
Relending Program (IRP) to raise the loan limit. This action is needed
to allow intermediaries that have received and successfully used the
maximum amount of IRP loans allowed by the current regulations, and
have need for additional funds, to be eligible to apply for such
additional funds. The amendment is intended to raise the maximum
outstanding IRP indebtedness of an intermediary to $4 million, from the
current limit of $2 million.
DATES: Effective May 12, 1994.
Comments must be received on or before July 11, 1994.
ADDRESSES: Submit written comments in duplicate to the Chief,
Regulations Analysis and Control Branch, Farmers Home Administration,
USDA, Ag. Box 0743, Washington, DC 20250-0743. All written comments
made pursuant to this notice will be available for public inspection
during regular working hours at the above office, located in room 6348,
South Agriculture Building, 14th and Independence Avenue SW.,
Washington, DC.
FOR FURTHER INFORMATION CONTACT: M. Wayne Stansbery, Business and
Industry Loan Specialist, Rural Development Administration, USDA, Ag.
Box 3221, Washington, DC 20250-3221, Telephone (202) 720-6819.
SUPPLEMENTARY INFORMATION:
Classification
We are issuing this interim rule in conformance with Executive
Order 12866, and have determined that it is a ``significant regulatory
action.''
Program Affected
The Catalog of Federal Domestic Assistance program impacted by this
action is: 10.767, Intermediary Relending Program.
Intergovernmental Review
As set forth in the final rule and related Notice to 7 CFR part
3015, subpart V, 48 FR 29112, June 24, 1983, this program is subject to
the provisions of Executive Order 12372 which requires
intergovernmental consultation with State and local officials. FmHA and
RDA conduct intergovernmental consultation in the manner delineated in
FmHA Instruction 1940-J, ``Intergovernmental Review of Farmers Home
Administration Programs and Activities.''
Paperwork Reduction Act
The information collection requirements contained in this
regulation have been approved by the Office of Management and Budget
(OMB) under the provisions of 44 U.S.C. chapter 35 and have been
assigned OMB control number 0575-0130 in accordance with the Paperwork
Reduction Act of 1980 (44 U.S.C. 3507). This interim rule does not
revise or impose any new information collection or recordkeeping
requirements from those approved by OMB. Please send written comments
to the Office of Information Regulatory Affairs, OMB, Attention: Desk
Officer for USDA, Washington, DC 20503. Please send a copy of your
comments to Jack Holston, Agency Clearance Officer, USDA, FmHA, Ag. Box
0743, Washington, DC 20250.
Civil Justice Reform
This document has been reviewed in accordance with Executive Order
12778. It is the determination of RDA and FmHA that this action does
not unduly burden the Federal Court System in that it meets all
applicable standards provided in section 2 of the Executive Order.
Environmental Impact Statement
This action has been reviewed in accordance with FmHA Instruction
1940-G, ``Environmental Program.'' FmHA and RDA have determined that
this action does not constitute a major Federal action significantly
affecting the quality of the human environment, and in accordance with
the National Environmental Policy Act of 1969, Public Law 91-190, an
Environmental Impact Statement is not required.
Background
This regulatory package is an agency initiative to make the IRP
more effective at stimulating rural community economic development. The
current regulation prohibits approval of any IRP loan that would result
in any one intermediary having an outstanding IRP indebtedness
exceeding $2,000,000. RDA is still not encouraging initial loans of
more that $2,000,000. However, some intermediaries have received and
reloaned $2,000,000 and have demand for additional funding to meet the
needs of the communities they serve. The primary reason for this action
is to allow subsequent loans to those successful intermediaries that
have reached the current limit.
Interim Rule
It is the policy of this Department that rules relating to public
property, loans, grants, benefits or contracts shall be published for
comment notwithstanding the exemption of 5 U.S.C. 553 with respect to
such rules. However, FmHA/RDA is making this action effective upon
publication in the Federal Register without securing prior public
comment. It would be contrary to the public interest to wait for public
comments before implementing an increase in loan ceiling. There is an
immediate need to provide funds to the public to help alleviate severe
economic hardship which exists in many rural areas as the result of
high unemployment and poverty level wages. Numerous intermediaries now
exist that have received the maximum of $2 million, have successfully
used all of the funds to assist rural businesses, and have urgent need
for additional loan funds. These intermediaries have proven their
ability to play a major and successful role in stimulating the economy
and developing jobs in rural areas with high unemployment and depressed
economies. Increasing the IRP loan ceiling quickly will allow them to
receive additional IRP funds and continue to provide urgently needed
assistance to businesses in their service areas. Delaying action will
deprive them of needed funding. Comments will be accepted for 60 days
after publication and, if appropriate, adjustments will be made in the
regulation based on the comments.
List of Subjects in 7 CFR Part 1948
Business and industry, Credit, Economic development, Rural areas.
Accordingly, part 1948, chapter XVIII, title 7 of the Code of
Federal Regulations is amended as follows:
PART 1948--RURAL DEVELOPMENT
1. The authority citation for part 1948 continues to read as
follows:
Authority: 7 U.S.C. 1932 note; 5 U.S.C. 301; 7 CFR 2.23; 7 CFR
2.70.
Subpart C--Intermediary Relending Program (IRP)
Sec. 1948.103 [Amended]
2. Section 1948.103 is amended in paragraph (c)(4) by revising the
number ``$2,000,000'' to read ``$4 million ($2 million for loans
approved after September 30, 1995).''
Dated: April 12, 1994.
Bob J. Nash,
Under Secretary for Small Community and Rural Development.
[FR Doc. 94-11419 Filed 5-11-94; 8:45 am]
BILLING CODE 3410-07-U-
