[Federal Register Volume 69, Number 221 (Wednesday, November 17, 2004)]
[Notices]
[Pages 67300-67301]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-25447]


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DEPARTMENT OF AGRICULTURE

Rural Utilities Service


Household Water Well System Program; Notice of Finding of No 
Significant Impact

AGENCY: Rural Utilities Service, USDA.

ACTION: Notice of finding of no significant impact.

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SUMMARY: Notice is hereby given that the Rural Utilities Service (RUS) 
has made a finding of no significant impact (FONSI) for a new grant 
program that will implement the Household Water Well System Program 
(HWWSP) lending program.

FOR FURTHER INFORMATION CONTACT: Mark S. Plank, Senior Environmental 
Scientist, RUS, Water and Environmental Programs, Engineering and 
Environmental Staff, 1400 Independence Avenue, SW., Stop 1571, 
Washington, DC 20250-1571, telephone: (202) 720-1649 or email: 
[email protected].

SUPPLEMENTARY INFORMATION: On May 13, 2002, the Farm Security and Rural 
Investment Act of 2002 (Farm Bill) was signed into law as Public Law 
107-171. Section 6012 of the Farm Bill amended Section 306E of the 
Consolidated Farm and Rural Development Act (CONACT) by adding a grant 
program to establish a lending program. The program will provide grants 
to private nonprofit organizations for the purpose of providing loans 
to eligible individuals for the construction, refurbishing, and 
servicing of individual household water well systems in rural areas 
that are or will be owned by the eligible individuals. The program is 
called the Household Water Well System Program (HWWSP). This program 
was authorized to appropriate up to $10,000,000 for Fiscal Years (FY) 
2003 through 2007. There was no funding appropriated in FY 2003. 
However, the Consolidated Appropriations Act, 2004 (Pub. L. 108-199), 
includes $1,000,000 for the program.
    The USDA, Rural Utilities Service issued proposed regulations to 
implement the HWWSP (69 FR 59836, October 6, 2004). The final rule 
outlines the procedures for providing grants to eligible applicants to 
establish a revolving loan fund and to pay reasonable administrative 
expenses. The revolving loan fund will be used to make loans to 
eligible applicants for the construction, refurbishing, and servicing 
of individual household water well systems in rural areas that are or 
will be owned by the eligible individuals. The CONACT defines an 
``eligible individual'' as a person who is a member of a household in 
which all members have a combined income that is 100 percent or less of 
the median non-metropolitan household income for the State or territory 
in which the person resides. The combined household income must be for 
the most recent 12-month period for which the information is available, 
according to the most recent decennial census of the United States. The 
maximum statutory limit per loan per household water well system is 
$8,000.
    Due to similar project activities and a limited area of potential 
effect of most HWWSP loan approval actions, RUS prepared and published, 
on September 30, 2004 (69 FR 58389), a Programmatic Environmental 
Assessment (PEA) to evaluate two Federal actions related to the HWWSP:
    (1) Grants awarded by RUS to eligible grant recipients; and (2) 
Loans made by the grant recipient to eligible loan recipients using the 
direct or indirect proceeds of a HWWSP grant awarded under this 
program.
    The PEA was available for a 30-day review and comment period; only 
one comment was received. The comment related to loan recipients and 
potential construction (as defined in the HWWSP) in special flood 
hazard areas identified as Zone A or V by the Federal Emergency 
Management Agency Flood Insurance Rate Maps. The commenter was 
concerned whether loan proceeds could be used in conjunction with the 
construction of new homes and, if so, that the construction should be 
evaluated in accordance with Executive Order 11988, Floodplain 
Management and other applicable requirements. The HWWSP's authorizing 
legislative is clear that eligible individuals are limited by 
definition to the following: 7 CFR 1776.3, ``Construction means 
building or assembling a water well system or portion thereof that is 
not a water well system or portion thereof being constructed in 
connection with a

[[Page 67301]]

new building (emphasis added).'' In addition, 7 CFR 1776.14(d), states 
that ``The water well system being funded from the proceeds of the HWWS 
loan may not be associated with the construction of a new dwelling.'' 
RUS feels that language in the HWWSP is adequate to preclude the 
construction of new houses in special flood hazard areas.
    RUS has determined that the PEA was prepared and reviewed in 
accordance with the National Environmental Policy Act, as amended (42 
U.S.C. 6941 et seq.); the Council on Environmental Quality Regulations 
for Implementing the Procedural Provisions of the National 
Environmental Policy Act (40 CFR part 1500); and 7 CFR 1794, RUS' 
Environmental Policies and Procedures and that the HWWSP will not have 
a significant impact on the human environment and for which an 
Environmental Impact Statement will not be prepared.
    The mitigation measures identified in the PEA will be incorporated 
in executed grant agreements. The mitigation measures are as follows:

1. Floodplains

    The grant recipient will complete FEMA Form 81-93, Standard Flood 
Hazard Determination Form for all loans. If a household is located in a 
special flood hazard area (Code A and V), the revolving loan fund 
recipient must have flood insurance and the grantee shall obtain flood 
insurance certifications as part of the revolving loan fund closing 
process.

2. Water Quality Issues

    HWWSP funded projects will be built by contractors that are 
appropriately licensed to do the work in the State where the project is 
located. Water withdrawal permits will be obtained as required by the 
appropriate State or local regulatory agency.

3. Coastal Resources

    The grant recipient will obtain written approval from the U.S. Fish 
and Wildlife Service before approving any proposed loans located in 
Coastal Barrier Resources System units.

Gary J. Morgan,
Assistant Administrator, Water and Environmental Programs, Rural 
Utilities Service.
[FR Doc. 04-25447 Filed 11-16-04; 8:45 am]
BILLING CODE 3410-15-P