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Disbursement of Funds
Note: EPA no longer updates this information, but it may be useful as a reference or resource.
[Federal Register: April 13, 2005 (Volume 70, Number 70)]
[Rules and Regulations]
[Page 19253-19254]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr13ap05-1]
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Rules and Regulations
Federal Register
________________________________________________________________________
This section of the FEDERAL REGISTER contains regulatory documents
having general applicability and legal effect, most of which are keyed
to and codified in the Code of Federal Regulations, which is published
under 50 titles pursuant to 44 U.S.C. 1510.
The Code of Federal Regulations is sold by the Superintendent of Documents.
Prices of new books are listed in the first FEDERAL REGISTER issue of each
week.
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DEPARTMENT OF AGRICULTURE
Rural Housing Service
7 CFR Part 1942
Disbursement of Funds
AGENCY: Rural Housing Service, USDA.
ACTION: Final rule.
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SUMMARY: The Agency is revising its disbursement of funds regulations.
This action is necessary since existing regulations do not accurately
reflect the current disbursement methodologies employed by the Agency.
The intended effect is to simplify and update the regulations. These
amended regulations are to ensure the Agencies' field offices have
current guidance on the disbursement methods available.
EFFECTIVE DATE: April 13, 2005.
FOR FURTHER INFORMATION CONTACT: Ronald Gianella, Staff Accountant,
Office of the Deputy Chief Financial Officer, Policy and Internal
Review Division, U.S. Department of Agriculture, STOP 33, P.O. Box
200011, St. Louis, MO 63120, telephone: (314) 457-4298.
SUPPLEMENTARY INFORMATION:
Classification
This action is not subject to the provisions of Executive Order
12866 since it involves only internal Agency management. This action is
not published for prior notice and comment under the Administrative
Procedure Act since it involves only internal Agency management and
publication for comment is unnecessary and contrary to the public interest.
Programs Affected
The Catalog of Federal Domestic Assistance programs impacted by
this action are as follows:
10.405--Farm Labor Housing Loans and Grants
10.415--Rural Rental Housing Loans
10.433--Rural Housing Preservation Grants
10.766--Community Facilities Loans and Grants
Intergovernmental Consultation
Programs with Catalog of Federal Domestic Assistance numbers
10.405, 10.415, 10.433, and 10.766 are subject to the provisions of
Executive Order 12372 which requires intergovernmental consultation
with State and local officials.
Civil Justice Reform
This final rule has been reviewed under Executive Order 12988,
Civil Justice Reform. In accordance with this rule: (1) Unless
otherwise specifically provided, all State and local laws and
regulations that are in conflict with this rule will be preempted; (2)
no retroactive effect will be given to this rule except as specifically
prescribed in the rule; and (3) administrative proceedings of the
National Appeals Division (7 CFR part 11) must be exhausted before
litigation against the Department is instituted.
Paperwork Reduction Act
There are no new reporting and recordkeeping requirements
associated with this rule.
Unfunded Mandates Reform Act
Title II of the Unfunded Mandates Reform Act of 1995 (UMRA), Pub.
L. 104-4, establishes requirements for Federal agencies to assess the
effects of their regulatory actions on State, local, and tribal
governments and the private sector. Under section 202 of the UMRA, the
Agencies generally must prepare a written statement, including a cost-
benefit analysis, for proposed and final rules with ``Federal
mandates'' that may result in expenditures to State, local, or tribal
governments, in the aggregate, or to the private sector, of $100
million or more in any 1 year. When such a statement is needed for a
rule, section 205 of the UMRA generally requires the agencies to
identify and consider a reasonable number of regulatory alternatives
and adopt the least costly, more cost-effective, or least burdensome
alternative that achieves the objectives of the rule.
This rule contains no Federal mandates (under the regulatory
provisions of title II of the UMRA) for State, local, and tribal
governments or the private sector. Thus, the rule is not subject to the
requirements of section 202 and 205 of the UMRA.
Environmental Impact Statement
This document has been reviewed in accordance with 7 CFR part 1940,
Subpart G, ``Environmental Program.'' The Agencies have determined that
this final action does not constitute a major Federal action
significantly affecting the quality of human environment, and in
accordance with the National Environmental Policy Act of 1969, 42
U.S.C. 4321 et seq., an Environmental Impact Statement is not required.
Executive Order 13132, Federalism
The policies contained in this rule do not have any substantial
direct effect on States, on the relationship between the national
government and the States, or on the distribution of power and
responsibilities among the various levels of government. Nor does this
rule impose substantial direct compliance costs on State and local
governments. Therefore, consultation with the States is not required.
Discussion of Final Rule
These subparts are being revised to conform with changes made to 7
CFR 2018, subpart D, to include information concerning implementation
of electronic funds transfer.
List of Subjects in 7 CFR Part 1942
Community development, community facilities, loan programs--housing
and community development, loan security, rural areas, waste treatment
and disposal--domestic, water supply--domestic.
? Accordingly, Chapter XVIII, Title 7, of the Code of Federal Regulations
is amended as follows:
PART 1942--ASSOCIATIONS
? 1. The authority citation for part 1942 continues to read as follows:
Authority: 5 U.S.C. 301; 7 U.S.C. 1932; 7 U.S.C. 1989; and 16
U.S.C. 1005.
Subpart A--Community Facility Loan
? 2. Section 1942.7 is amended by revising paragraphs (a) and (e) to read
as follows:
Sec. 1942.7 Loan closing.
* * * * *
[[Page 19254]]
(a) Authority to execute, file, and record legal instruments. Area
Office employees are authorized to execute and file or record any legal
instruments necessary to obtain or preserve security for loans.
* * * * *
(e) Loan disbursements. Whenever a loan disbursement is received,
lost, or destroyed, the Rural Development Manager will take appropriate
actions outlined in Rural Development Instruction 2018-D.
* * * * *
? 3. Section 1942.12 is amended by revising paragraphs (a) and (b) to
read as follows:
Sec. 1942.12 Loan cancellation.
* * * * *
(a) Form Rural Development 1940-10, ``Cancellation of U.S. Treasury
Check and/or Obligation.'' The Rural Development Manager or State
Director may prepare and execute Form Rural Development 1940-10,
Cancellation of U.S. Treasury Check and/or Obligation, in accordance
with the Forms Manual Insert (FMI). If the disbursement has been
received or is subsequently received in the Area Office, the Rural
Development Manager will return it as prescribed in Rural Development
Instruction 2018-D.
(b) Notice of Cancellation. If the docket has been forwarded to
Office of General Counsel that office will be notified of the
cancellation by copy of Form Rural Development 1940-10. Any application
for title insurance, if ordered, will be cancelled. The borrower's
attorney and engineer/architect, if any, should be notified of the
cancellation. The Rural Development Manager may provide the borrower's
attorney and engineer/architect with a copy of the notification to the
applicant. The State Director will notify the Director of Legislative
Affairs and Public Information by telephone or electronic mail and give
the reasons for such cancellation.
? 4. Section 1942.15 is revised to read as follows:
Sec. 1942.15 Delegation and redelegation of authority.
The State Director is responsible for implementing the authorities
in this subpart and for issuing State supplements redelegating
authorities. Loan and grant approval authority is in Subpart A of Part
1901 of this chapter. Except for loan and grant approval authority,
Rural Development Manager may redelegate their duties to qualified
staff members.
Subpart C--Fire and Rescue and Other Small Community Facilities Projects
? 5. Section 1942.123 is amended by revising paragraphs (h)(2), (h)(3),
(j), and (l) to read as follows:
Sec. 1942.123 Loan closing.
* * * * *
(h) * * *
(2) The Office of the Deputy Chief Financial Officer will prepare a
statement of account including accrued interest through the proposed
date of retirement and also show the daily interest accrual. The
statement of account and the interim financing instruments will be
forwarded to the Rural Development Manager.
(3) The Rural Development Manager will collect interest through the
actual date of the retirement and obtain the permanent instrument(s) of
debt in exchange for the interim financing instruments. The permanent
instruments and the cash collection will be forwarded to the Office of
the Deputy Chief Financial Officer immediately, except that for notes
and single instrument bonds fully registered as to principal and
interest the original will be retained in the Area Office and a copy
will be forwarded to the Office of the Deputy Chief Financial Officer.
In developing the permanent instruments, the sequence of preference set
out Sec. 1942.19(e) of Subpart A of Part 1942 of this chapter will be
followed.
* * * * *
(j) Loan disbursements. Whenever a loan disbursement is received,
lost, or destroyed, the Rural Development Manager will take the
appropriate actions outlined in Rural Development Instruction 2018-D.
* * * * *
(1) Review of loan closing. When the loan has been closed, the
Rural Development Manager will submit the completed loan closing
documents and a statement showing what was done in closing the loan to
the State Director. The State Director will review the documents and
the Rural Development Manager's statement to determine whether the
transaction was closed properly. For loans to public bodies or Indian
tribes the State Director will forward all documents, along with a
statement that all administrative requirements have been met, to the
Regional Attorney. The Regional Attorney will review the submitted
material to determine whether all legal requirements have been met. The
Regional Attorney should review Rural Development standard forms only
for proper execution, unless the State Director brings attention to
specific questions. Facility development should not be held up pending
receipt of the Regional Attorney opinion. When the review of the State
Director has been completed, and for public bodies and Indian tribes
the Regional Attorney's opinion has been received, the State Director
must advise the Rural Development Manager of any deficiencies that must
be corrected and return all material that was submitted for review.
* * * * *
Dated: March 9, 2005.
Russell T. Davis,
Administrator, Rural Housing Service.
[FR Doc. 05-7377 Filed 4-12-05; 8:45 am]