[Federal Register Volume 85, Number 170 (Tuesday, September 1, 2020)]
[Notices]
[Pages 54343-54344]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-19288]


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DEPARTMENT OF AGRICULTURE

Rural Business-Cooperative Service

Rural Housing Service

Rural Utilities Service

[Docket No. RUS-20-WATER-0032]


OneRD Annual Notice of Guarantee Fee Rates, Periodic Retention 
Fee Rates, Loan Guarantee Percentage and Fee for Issuance of the Loan 
Note Guarantee Prior to Construction Completion for Fiscal Year 2021

AGENCY: Rural Business-Cooperative Service, Rural Housing Service and 
Rural Utilities Service, USDA.

ACTION: Notice.

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SUMMARY: The Rural Business-Cooperative Service (RBCS), Rural Housing 
Service (RHS), and the Rural Utilities Service (RUS), agencies of the 
Rural Development mission area within the U.S. Department of 
Agriculture (USDA), hereinafter collectively referred to as the Agency, 
offer loan guarantees through four programs: Community

[[Page 54344]]

Facilities (CF) administered by RHS; Water and Waste Disposal (WWD) 
administered by the RUS; and Business and Industry (B&I) and Rural 
Energy for America Program (REAP) administered by the RBCS. This notice 
provides applicants with the Guarantee Fee rates, Guarantee percent for 
Guaranteed Loans, the Periodic Retention Fee, and Fee for Issuance of 
the Loan Note Guarantee Prior to Construction Completion for FY 2021, 
to be used when applying for guarantee loans under the aforementioned 
guarantee loan types. This notice is being published prior to the 
passage of a FY 2021 appropriation. Should the fees need to be adjusted 
after passage of the FY 2021 appropriation bill, the agency will 
publish a subsequent notice in the Federal Register.

DATES: The fees in this notice are effective October 1, 2020.

FOR FURTHER INFORMATION CONTACT: For information specific to this 
notice contact Michele Brooks, Director, Regulations Management, Rural 
Development Innovation Center--Regulations Management, USDA, 1400 
Independence Avenue SW, STOP 1522, Room 4266, South Building, 
Washington, DC 20250-1522. Telephone: (202) 690-1078. Email 
[email protected]. For information regarding implementation 
contact your respective Rural Development State Office listed here: 
http://www.rd.usda.gov/browse-state.

SUPPLEMENTARY INFORMATION: As set forth in 7 CFR part 5001, 407, 454, 
455 and 456published on July 14, 2020 in Federal Register Vol. 85, page 
number 42494 which will be effective on October 1, 2020, the Agency is 
authorized to charge a guarantee fee, a periodic guarantee retention 
fee, a fee for the issuance of the loan note guarantee prior to 
construction completion and establish a loan guarantee percentage for 
guaranteed loans made under this rule loans. Pursuant to this and other 
applicable authority, and subject to the current appropriated 
authority, the Agency is establishing the following for FY 2021:

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                                                                                                      Fee for
                                                                                                    issuance of
                                                                     Periodic          Loan          loan note
                    Loan type                      Guarantee fee     guarantee       guarantee       guarantee
                                                                   retention fee    percentage       prior to
                                                                                                   construction
                                                                                                    completion
----------------------------------------------------------------------------------------------------------------
B&I.............................................            3.0%            0.5%             80%            0.5%
B&I Reduced Fee.................................             1.0             0.5              80             0.5
CF..............................................             1.5             0.5              80             0.5
REAP............................................             1.0            0.25              80             0.5
WWD.............................................             1.0             N/A              80             0.5
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    The initial guarantee fee is paid at the time the loan note 
guarantee is issued. The periodic guarantee retention fee is paid by 
the lender to the Agency once a year. Payment of the periodic guarantee 
retention fee is required in order to maintain the enforceability of 
the guarantee. The fee for issuance of the loan note guarantee prior to 
construction completion DOES NOT apply to all construction loans. This 
additional fee only applies to loans requesting to receive a loan note 
guarantee prior to project completion.
    Unless precluded by a subsequent FY 2021 appropriation, these rates 
will apply to all guarantee loans obligated in FY 2021. The amount of 
the periodic retention fee on each guaranteed loan will be determined 
by multiplying the periodic retention fee rate by the outstanding 
principal loan balance as of December 31, multiplied by the percentage 
of guarantee.

Non-Discrimination Statement

    In accordance with Federal civil rights law and U.S. Department of 
Agriculture (USDA) civil rights regulations and policies, the USDA, its 
Agencies, offices, and employees, and institutions participating in, or 
administering, USDA programs are prohibited from discriminating based 
on race, color, national origin, religion, sex, gender identity 
(including gender expression), sexual orientation, disability, age, 
marital status, family/parental status, income derived from a public 
assistance program, political beliefs, or reprisal or retaliation for 
prior civil rights activity, in any program or activity conducted or 
funded by USDA (not all bases apply to all programs). Remedies and 
complaint filing deadlines vary by program or incident.
    Persons with disabilities who require alternative means of 
communication for program information (e.g., Braille, large print, 
audiotape, American Sign Language, etc.) should contact the responsible 
Agency or USDA's TARGET Center at (202) 720-2600 (voice and TTY) or 
contact USDA through the Federal Relay Service at (800) 877-8339. 
Additionally, program information may be made available in languages 
other than English.
    To file a program discrimination complaint, complete the USDA 
Program Discrimination Complaint Form, AD-3027, found online at: http://www.ascr.usda.gov/complaint_filing_cust.html and at any USDA office or 
write a letter addressed to USDA and provide in the letter all of the 
information requested in the form. To request a copy of the complaint 
form, call (866) 632-9992. Submit your completed form or letter to USDA 
by:
    (1) Mail: U.S. Department of Agriculture, Office of the Assistant 
Secretary for Civil Rights, 1400 Independence Avenue SW, Washington, DC 
20250-9410;
    (2) Fax: (202) 690-7442; or
    (3) Email: [email protected].
    USDA is an equal opportunity provider, employer, and lender.

Bette B. Brand,
Deputy Undersecretary, Rural Development.
[FR Doc. 2020-19288 Filed 8-31-20; 8:45 am]
BILLING CODE 3410-XY-P