[Federal Register Volume 70, Number 63 (Monday, April 4, 2005)]
[Rules and Regulations]
[Pages 16930-16931]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-6537]


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DEPARTMENT OF AGRICULTURE

Rural Utilities Service

7 CFR Part 1738

RIN 0572-AB81


Rural Broadband Access Loans and Loan Guarantees

AGENCY: Rural Utilities Service, USDA.

ACTION: Direct final rule.

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SUMMARY: The Rural Utilities Service (RUS), an agency delivering the 
U.S. Department of Agriculture's Rural Development Utilities Programs, 
is amending its regulations to revise the definition for ``eligible 
rural community'' as it relates to the rural access broadband loans and 
loan guarantees program.

DATES: This rule will become effective May 19, 2005, unless we receive 
written adverse comments or a written notice of intent to submit 
adverse comments on or before May 4, 2005. If we receive such comments 
or notice, we will publish a timely document in the Federal Register 
withdrawing the rule. Comments received will be considered under the 
proposed rule published in this edition of the Federal Register in the 
proposed rule section. A second public comment period will not be held.
    Written comments must be received by RUS or carry a postmark or 
equivalent no later than May 4, 2005.

ADDRESSES: Submit adverse comments or notice of intent to submit 
adverse comments by any of the following methods:
     Federal eRulemaking Portal: Go to http://www.regulations.gov. Follow the online instructions for submitting 
comments.
     Agency Web Site: http://www.usda.gov/rus/index2/Comments.htm. Follow the instructions for submitting comments.
     E-mail: [email protected]. Include in the subject line 
of the message ``Broadband Loans and Loan Guarantees''.
     Mail: Addressed to Richard Annan, Director, Program 
Development and Regulatory Analysis, Rural Utilities Service, U.S. 
Department of Agriculture, 1400 Independence Avenue, SW., STOP 1522, 
Washington, DC 20250-1522.
     Hand Delivery/Courier: Addressed to Richard Annan, 
Director, Program Development and Regulatory Analysis, Rural Utilities 
Service, U.S. Department of Agriculture, 1400 Independence Avenue, SW., 
Room 5168 South Building, Washington, DC 20250-1522.
    Instructions: All submissions received must include that agency 
name and the subject heading ``Broadband Loans and Loan Guarantees''. 
All comments received must identify the name of the individual (and the 
name of the entity, if applicable) who is submitting the comment. All 
comments received will be posted without change to http://www.usda.gov/rus/index2/Comments.htm, including any personal information provided.

FOR FURTHER INFORMATION CONTACT: Jonathan Claffey, Acting Assistant 
Administrator, Telecommunications Program, Rural Utilities Service, 
U.S. Department of Agriculture, 1400 Independence Avenue, SW., STOP 
1590, Room 4056, Washington, DC 20250-1590. Telephone number (202) 720-
9554, Facsimile (202) 720-0810.

SUPPLEMENTARY INFORMATION:

Executive Order 12866

    This proposed rule has been determined to be not significant for 
purposes of Executive Order 12866 and, therefore, has not been reviewed 
by the Office of Management and Budget (OMB).

Executive Order 12988

    This rule has been reviewed under Executive Order 12988, Civil 
Justice Reform. RUS has determined that this rule meets the applicable 
standards provided in section 3 of that Executive Order. In addition, 
all State and local laws and regulations that are in conflict with this 
rule will be preempted. No retroactive effect will be given to the rule 
and, in accordance with section 212(e) of the Department of Agriculture 
Reorganization Act of 1994 (7 U.S.C. 6912(e)), administrative appeal 
procedures must be exhausted before an action against the Department or 
its agencies may be initiated.

Regulatory Flexibility Act Certification

    RUS certifies that this rule will not have significant economic 
impact on a substantial number of small entities, as defined in the 
Regulatory Flexibility Act (5 U.S.C. 601 et seq.). The RUS broadband 
program provides loans to borrowers at interest rates and terms that 
are more favorable than those generally available from the private 
sector. RUS borrowers, as a result of obtaining Federal financing, 
receive economic benefits that exceed any direct cost associated with 
complying with RUS regulations and requirements.

Information Collection and Recordkeeping Requirements

    The reporting and recordkeeping requirements contained in the rule 
has been approved by the Office of Management and Budget (OMB) under 
OMB Control Number 0572-0130, pursuant to the Paperwork Reduction Act 
of 1995 (44 U.S.C. chapter 35).

Catalog of Federal Domestic Assistance

    The program described by this rule is listed in the Catalog of 
Federal Domestic Assistance Programs under No. 10.851, Rural Telephone 
Loans and Loan Guarantees; No. 10.852, Rural Telephone Bank Loans; and 
No. 10.857, Rural Broadband Access Loans and Loan Guarantees. This 
catalog is available on a subscription basis from the Superintendent of 
Documents, the United States Government Printing Office, Washington, DC 
20402. Telephone: (202) 512-1800.

Executive Order 12372

    This rule is excluded from the scope of Executive Order 12372, 
Intergovernmental Consultation, which may require consultation with 
State and local officials. See the final rule related notice entitled 
``Department Programs and Activities Excluded from Executive Order 
12372,'' (50 FR 47034).

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

[[Page 16931]]

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 States is not required.

Unfunded Mandates

    This rule contains no Federal mandates (under the regulatory 
provision of Title II of the Unfunded Mandate Reform Act of 1995) for 
State, local, and tribal governments or the private sector. Thus, this 
rule is not subject to the requirements of sections 202 and 205 of the 
Unfunded Mandate Reform Act of 1995.

National Environmental Policy Act Certification

    The Administrator of RUS has determined that this proposed rule 
will not significantly affect the quality of the human environment as 
defined by the National Environmental Policy Act of 1969 (42 U.S.C. 
4321 et seq.). Therefore, this action does not require an environmental 
impact statement or assessment.

Background

    The Rural Utilities Service (RUS) published in the Federal Register 
on January 30, 2003, at 68 FR 4684, a final rule amending its 
regulations in order to establish the Rural Broadband Access Loan and 
Loan Guarantee Program as authorized by the Farm Security and Rural 
Investment Act of 2002 (Pub. L. 101-171) (2002 Act). Section 6103 of 
the Farm Security and Rural Investment Act of 2002 amended the Rural 
Electrification Act of 1936, as amended (RE Act), to add Title VI, 
Rural Broadband Access, to provide loans and loan guarantees to fund 
the cost of construction, improvement, or acquisition of facilities and 
equipment for the provision of broadband service in eligible rural 
communities.
    This rule amends Sec.  1738.2, Definitions, to conform the rule to 
substantive changes in authority. The definition for ``eligible rural 
community'' in section 601(b)(2) of the Rural Electrification Act of 
1936 (7 U.S.C. 950bb(b)(2)) was amended on January 23, 2004, by section 
772 of Public Law 108-199, of the Consolidated Appropriations Act, 2004 
to eliminate the requirement that a community exist outside a standard 
metropolitan statistical area. This rule incorporates the language of 
the revised statute and explains RUS' interpretation of the language.

List of Subjects in 7 CFR Part 1738

    Broadband, Loan programs--communications, Rural areas, Telephone, 
Telecommunications.


0
For reasons set for in the preamble, chapter XVII of title 7 of the 
Code of Federal Regulations is amended to read as follows:

PART 1738--RURAL BROADBAND ACCESS LOANS AND LOAN GUARANTEES

0
1. The authority citation for part 1738 continues to read as follows:

    Authority: Public Law 107-171, 7 U.S.C. 901 et seq.


0
2. Amend Sec.  1738.2 to revise the definition to ``Eligible rural 
community'' to read as follows:


Sec.  1738.2  Definitions.

* * * * *
    Eligible rural community is defined in the RE Act as any area of 
the United States that is not contained in an incorporated city or town 
with a population in excess of 20,000 inhabitants. For purposes of this 
part, RUS interprets:
    (1) ``United States'' to include its territories and insular 
possessions (including the Federated States of Micronesia, the Republic 
of the Marshall Islands, and the Republic of Palau);
    (2) ``Area'' to mean any identifiable place that has no more than 
20,000 inhabitants based on the most recent available information of 
the Bureau of the Census; and
    (3) ``An incorporated city or town with a population in excess of 
20,000 inhabitants'' to mean any incorporated city or town with a 
population in excess of 20,000 inhabitants based on the most recent 
available information of the Bureau of the Census.
* * * * *

    Dated: March 28, 2005.
Curtis M. Anderson,
Acting Administrator, Rural Utilities Service.
[FR Doc. 05-6537 Filed 4-1-05; 8:45 am]
BILLING CODE 3410-15-P