[Federal Register Volume 81, Number 167 (Monday, August 29, 2016)]
[Rules and Regulations]
[Pages 59137-59139]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-20499]


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DEPARTMENT OF VETERANS AFFAIRS

38 CFR Part 36

RIN 2900-AP77


Loan Guaranty: Delegation of Authority

AGENCY: Department of Veterans Affairs.

ACTION: Final rule.

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SUMMARY: This document amends the Department of Veterans Affairs (VA) 
loan guaranty regulations to correct an oversight in the delegation of 
authority to exercise the powers and functions of the Secretary with 
respect to the guaranty or insurance of loans and the rights and 
liabilities arising therefrom. This document also incorporates into 
regulatory form delegatory authority already granted certain VA loan 
guaranty officials to administer and manage properties acquired by VA.

DATES: Effective Date: August 29, 2016.

FOR FURTHER INFORMATION CONTACT: John Bell III, Assistant Director for 
Loan Policy and Valuation (262), Veterans Benefits Administration, 
Department of Veterans Affairs, 810 Vermont Avenue NW., Washington, DC 
20420, telephone (202) 632-8786. (This is not a toll-free telephone 
number.)

SUPPLEMENTARY INFORMATION: VA is amending 38 CFR 36.4345(b)(1), 
Delegation of authority, to add Principal Under Secretary for Benefits 
and Deputy Under Secretary for Economic Opportunity to the list of VA 
employees who hold authority to exercise the powers and functions of 
the Secretary with respect to the guaranty or insurance of loans and 
the rights and liabilities arising therefrom. VA is also adding to the 
list Deputy Director, Loan Guaranty Service; Assistant Director, Loan 
Guaranty Service; and Realty Officer, Loan Guaranty Service.
    The positions of Principal Under Secretary for Benefits and Deputy 
Under Secretary for Economic Opportunity were not originally included 
in 38 CFR 36.4345(b)(1) because they did not exist at the time the 
regulation was promulgated. VA inadvertently omitted the delegatory 
authority to the positions of Deputy Director, Assistant Director, and 
Realty Officer Loan Guaranty Service. Accordingly, VA is amending this 
regulatory provision to add these positions to the list of VA employees 
to whom the authority to exercise the powers and functions of the 
Secretary with respect to the guaranty or insurance of loans and the 
rights and liabilities arising therefrom.
    VA is removing from 38 CFR 36.4345(b)(1) the positions of Director,

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Medical and Regional Office Center and Director, VA Regional Office and 
Insurance Center. Under VA's current administrative framework, the 
issues related to the guaranty and insurance of loans fall outside 
their subject matter jurisdiction.
    VA is further amending 38 CFR 36.4345 to add a new paragraph 
(b)(3), to delegate authority to the position of Supervisory Realty 
Specialist to act on behalf the Secretary to execute and deliver 
necessary and appropriate instruments in connection with the 
acquisition, ownership, management, sale, transfer, assignment, 
encumbrance, rental, or other disposition of real or personal property, 
or any right, title, or interest therein, for any purpose authorized by 
38 U.S.C., chapter 37. The delegation of authority to Supervisory 
Realty Specialist was not originally regulated, but is instead found in 
a formal letter of delegation signed on July 25, 2013, by the 
Secretary.
    Finally, VA is amending the authority citation to include 
additional support for delegations of authority. In addition to 38 
U.S.C. 3720, which was originally cited, VA is adding 38 U.S.C. 512, an 
express provision that authorizes further delegation by the Secretary.

Administrative Procedure Act

    This final rule only includes amendments that are technical and 
nonsubstantive. There is nothing interpretive contained in these 
amendments. Accordingly, this rule exempts from the prior notice-and-
comment and delayed-effective-date requirements of 5 U.S.C. 553.

Executive Orders 12866 and 13563

    Executive Orders 12866 and 13563 direct agencies to assess the 
costs and benefits of available regulatory alternatives and, when 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, and other advantages; distributive impacts; 
and equity). Executive Order 13563 (Improving Regulation and Regulatory 
Review) emphasizes the importance of quantifying both costs and 
benefits, reducing costs, harmonizing rules, and promoting flexibility. 
Executive Order 12866 (Regulatory Planning and Review) defines a 
``significant regulatory action,'' which requires review by OMB, as 
``any regulatory action that is likely to result in a rule that may: 
(1) Have an annual effect on the economy of $100 million or more or 
adversely affect in a material way the economy, a sector of the 
economy, productivity, competition, jobs, the environment, public 
health or safety, or State, local, or tribal governments or 
communities; (2) Create a serious inconsistency or otherwise interfere 
with an action taken or planned by another agency; (3) Materially alter 
the budgetary impact of entitlements, grants, user fees, or loan 
programs or the rights and obligations of recipients thereof; or (4) 
Raise novel legal or policy issues arising out of legal mandates, the 
President's priorities, or the principles set forth in this Executive 
Order.''
    The economic, interagency, budgetary, legal, and policy 
implications of this regulatory action have been examined, and we have 
determined that this rule is not an economically significant regulatory 
action under Executive Order 12866.

Unfunded Mandates

    The Unfunded Mandates Reform Act of 1995 requires, at 2 U.S.C. 
1532, that agencies prepare an assessment of anticipated costs and 
benefits before issuing any rule that may result in expenditure by 
State, local, and tribal governments, in the aggregate, or by the 
private sector, of $100 million or more (adjusted annually for 
inflation) in any one year. This final rule will have no such effect on 
State, local, and tribal governments, or on the private sector.

Paperwork Reduction Act

    This final rule contains no provisions constituting a collection of 
information under the Paperwork Reduction Act of 1995 (44 U.S.C. 3501-
3521).

Regulatory Flexibility Act

    The Regulatory Flexibility Act (RFA), 5 U.S.C. 601-612, applies 
only to rules for which an agency is required to publish a notice of 
proposed rulemaking pursuant to 5 U.S.C. 553(b) or any other law. 5 
U.S.C. 603(a). The RFA does not apply to this rulemaking because VA has 
found good cause to publish this rule without notice and comment 
pursuant to 5 U.S.C. 553(b).

Catalog of Federal Domestic Assistance

    The Catalog of Federal Domestic Assistance number and title for the 
program affected by this document is 64.114, Veterans Housing--
Guaranteed and Insured Loans.

Signing Authority

    The Secretary of Veterans Affairs, or designee, approved this 
document and authorized the undersigned to sign and submit the document 
to the Office of the Federal Register for publication electronically as 
an official document of the Department of Veterans Affairs. Gina S. 
Farrisee, Deputy Chief of Staff, Department of Veterans Affairs, 
approved this document on August 22, 2016, for publication.

    Dated: August 22, 2016.
Jeffrey Martin,
Office Program Manager, Office of Regulation Policy & Management, 
Office of the Secretary, Department of Veterans Affairs.

List of Subjects in 38 CFR Part 36

    Condominiums, Housing, Individuals with disabilities, Loan 
programs-housing and community development, Loan programs-veterans, 
Manufactured homes, Mortgage insurance, Reporting and recordkeeping 
requirements, Veterans.

    For the reasons discussed in the preamble, the Department of 
Veterans Affairs amends 38 CFR part 36 as follows:

PART 36--LOAN GUARANTY

0
1. The authority citation for part 36 is revised to read as follows:

    Authority:  38 U.S.C. 501 and 3720.


0
2. Amend Sec.  36.4345 by revising paragraph (b)(1) and adding 
paragraph (b)(3) to read as follows:


Sec.  36.4345  Delegation of authority.

* * * * *
    (b)(1) Designated positions are as follows:
    (i) Under Secretary for Benefits.
    (ii) Principal Deputy Under Secretary for Benefits.
    (iii) Deputy Under Secretary for Economic Opportunity.
    (iv) Director, Loan Guaranty Service.
    (iv) Director, Regional Office.
    (v) Deputy Director, Loan Guaranty Service.
    (vi) Assistant Director, Loan Guaranty Service.
    (vii) Loan Guaranty Officer.
    (viii) Assistant Loan Guaranty Officer.
    (ix) Realty Officer, Loan Guaranty Service.
* * * * *
    (3) An employee of the Department of Veterans Affairs heretofore or 
hereafter appointed to, or lawfully filling, the position of 
Supervisory Realty Specialist is hereby delegated authority to act on 
behalf the Secretary to execute and deliver necessary and appropriate 
instruments in connection with the acquisition, ownership, management, 
sale, transfer, assignment, encumbrance, rental, or other disposition 
of real or personal property, or any right, title, or

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interest therein, for any purpose authorized by 38 U.S.C., chapter 37.
* * * * *
[FR Doc. 2016-20499 Filed 8-26-16; 8:45 am]
BILLING CODE 8320-01-P