[Federal Register Volume 70, Number 161 (Monday, August 22, 2005)]
[Notices]
[Pages 48933-48934]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-16512]


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DEPARTMENT OF AGRICULTURE

Rural Housing Service


Notice of Request for Extension of a Currently Approved 
Information Collection

AGENCY: Rural Housing Service, USDA.

ACTION: Proposed collection; Comments requested.

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SUMMARY: In accordance with the Paperwork Reduction Act of 1995, this 
notice announces the Rural Housing Service's intention to request an 
extension for a currently approved information collection in support of 
the program for 7 CFR Part 3550, Direct Single Family Housing Loans and 
Grants and its accompanying Handbooks.

DATES: Comments on this notice must be received by October 21, 2005 to 
be assured of consideration.

FOR FURTHER INFORMATION CONTACT: Gale Richardson, Loan Specialist, 
Single Family Housing, Rural Housing Service, 1400 Independence Avenue, 
SW., Mail Stop 0783, Washington, DC 20250-0783, telephone number (202) 
720-1459.

SUPPLEMENTARY INFORMATION:
    Title: Direct Single Family Housing Loans and Grants.
    OMB Number: 0575-0172.
    Expiration Date of Approval: February 28, 2006.
    Type of Request: Extension of a currently approved information 
collection.
    Abstract: The Rural Housing Service (RHS), through its direct 
single family housing loan and grant programs, provides financial 
assistance to construct, improve, alter, repair, replace or 
rehabilitate dwellings, which will provide modest, decent, safe and 
sanitary housing to eligible individuals in rural areas. To assist a 
customer, they must provide the Agency with a standard housing 
application (used by government and private lenders), and provide 
documentation to support the same. Documentation includes verification 
of income, financial information on assets and liabilities, etc. The 
information requested is comparable to that required by any private 
mortgage lender. To assist individuals in obtaining affordable housing, 
a borrower's house payment may be subsidized to an interest rate as low 
as 1%. The amount of subsidy is based upon the customer's household 
income. After receipt of this information, if the customer obtains a 
loan from RHS, they must update income information on an annual basis 
to renew the payment subsidy. The aforementioned information required 
by RHS is vital to be able to process applications for RHS assistance 
and make prudent loan underwriting and program decisions. It includes 
borrower financial information such as household income, assets and 
liabilities and

[[Page 48934]]

monthly expenses. Without this information, the Agency is unable to 
determine if a customer would qualify for any services or if assistance 
has been granted to which the customer would not be eligible under 
current regulations and statutes. The Agency also encourages its 
customers to leverage our mortgage financing with that of other lenders 
to assist as many customers as possible within our limited resources. 
In many cases, another lender will leverage and participate with RHS in 
assisting the customer. In these cases, RHS and the other lender share 
documentation, with the customer's consent, to reduce duplication. 
Through our work with participating lenders, the Agency keeps abreast 
of information required by other lenders to ensure that RHS is not 
requiring unnecessary information. The Agency continually strives to 
ensure that information collection burden is kept to a minimum.
    As mentioned, these loans are made directly by the Agency. RHS also 
services these loans for their term (33 or 38 years) and provides tools 
to assist the customer in becoming a successful homeowner. As 
discussed, payment subsidies are renewed on an annual basis. In 
addition, the Agency provides credit counseling and other services to 
its customers in an effort to assist them in becoming successful. The 
Agency offers many servicing tools including a moratorium (stop) on 
payments, modifications to payment subsidies to reflect changes in the 
customer's income, loan reamortization, payment workouts, etc. To 
obtain this assistance, the Agency must require certain information 
such as updated income and financial information, etc., to ensure the 
customer qualifies for the assistance, and is provided with the correct 
benefits based upon their circumstances.
    Direct single family housing loans are only provided to customers 
who cannot obtain other credit for their housing needs. Customers are 
required by statute to refinance with another lender when they are 
financially able. To ensure the Agency meets its statutory 
responsibilities, existing customers may be requested to submit updated 
income and financial information for the Agency to make a determination 
as to whether they can ``graduate'' to other credit. In addition, 
should a customer default on a loan which results in liquidation, the 
Agency needs updated income and financial information to settle any 
outstanding indebtedness.
    With the implementation of EGOV in June 2002, individuals are able 
to make application on line. We have 64 eForms which the public can 
access and print for personal use. RHS is committed to automation and 
reducing the burden upon the public.
    Estimate of Burden: Public burden for this collection of 
information is estimated to average .24 hours per response.
    Respondents: Applicants seeking direct single family housing loans 
and grants from the Agency and approximately 336,000 existing customers 
who have active loans and grants under the Section 502 and 504 
programs.
    Estimated Number of Respondents: 300,000.
    Estimated Number of Responses per Respondent: 5.6.
    Estimated Total Annual Burden on Respondents: 417,631 hours.
    Copies of this information collection can be obtained from Tracy 
Givelekian, Regulations and Paperwork Management Branch, at (202) 692-
0039.
    Comments:
    Comments are invited on: (a) Whether the proposed collection of 
information is necessary for the proper performance of the functions of 
the Rural Housing Service, including whether the information will have 
practical utility; (b) the accuracy of the Rural Housing Service's 
estimate of the burden of the proposed collection of information 
including the validity of the methodology and assumptions used; (c) 
ways to enhance the quality, utility and clarity of the information to 
be collected; and (d) ways to minimize the burden of the collection of 
information on those who are to respond, including through the use of 
appropriate automated, electronic, mechanical, or other technological 
collection techniques or other forms of information technology. 
Comments may be sent to Tracy Givelekian, Regulations and Paperwork 
Management Branch, U.S. Department of Agriculture, Rural Development, 
STOP 0742, 1400 Independence Ave. SW., Washington, DC 20250. All 
responses to this notice will be summarized and included in the request 
for OMB approval. All comments will also become a matter of public 
record.

    Dated: July 28, 2005.
Russell T. Davis,
Administrator, Rural Housing Service.
[FR Doc. 05-16512 Filed 8-19-05; 8:45 am]
BILLING CODE 3410-XV-P