FORM RD 2006-46 (Rev. 01-98)

U.S. DEPARTMENT OF AGRICULTURE MANUAL ISSUE No.

RURAL DEVELOPMENT WSAL PN 580

Washington, D.C 20250 DATE

March 31, 2023

PROCEDURE NOTICE

RD HANDBOOK CHANGES 

INSERT RD HB-1-3555 SFH GUARANTEED LOAN PROGRAM TECHNICAL

(WSAL) HANDBOOK. This Handbook is partially

revised. Specific revisions 

include: 

Chapter 4:

The following updates were made to HB-1-3555, Chapter 4 to clarify lender 

responsibilities in regard to conflict of interest. In addition, links and email 

addresses were corrected.

Paragraph 4.2 Operate Responsibly

Added bullet on “Avoid Conflicts of Interest” to ensure that employees do not have 

multiple roles and sources of income in a single RD transaction.

Paragraph 4.12- Additional Lender Responsibilities

Updated the link to the user guide for the “Electronic Lender Loan Closing System”.

Chapter 6:

The following updates were made to HB-1-3555, Chapter 6 to provide clarifications, 

correct discrepancies within the chapter, and revise for better flow. Additionally, 

minor grammatical and formatting edits were made to be consistent with other 

handbook chapter revisions. 

Paragraph 6.2C- Reasonable and Customary Expenses Associated with the Purchase of 

an Existing Dwelling or New Construction

Added “environmental inspections” as an eligible loan cost since not specifically 

addressed in the handbook but is an allowable expense per 7 CFR 3555.101(b)(6)(iv).

Removed “Seller Concessions” and replaced with “Interested Party Concessions” to 

clarify that the contributions apply to all interested parties.

Added “repairs” to clarify that those contributions are not included in the 6% 

seller concession limitation and that those repairs must be held in escrow.

(CON)

READ PROCEDURE - DISCUSS IN STAFF CONFERENCE - KEEP PROCEDURE MANUAL UP TO DATE
Page 2 ISSUED: PN 580

March 31, 2023

RD HANDBOOK CHANGES

INSERT RD HB-1-3555

(WSAL)

Chapter 6:

Paragraph 6.2D(2)(c) - Streamlined-assist refinance

Added that “existing borrowers on the current mortgage note must remain on the 

refinanced loan” to be consistent with information on Attachment 6-A.

Updated to clarify that even though repayment income calculations are no longer 

required on RD Form 3555-21, the lender is still required to complete annual income 

calculations to ensure the allowable maximum income limit is not exceeded.

Added additional guidance to clarify that for streamline assist, the documents can 

be submitted in GUS and included the link to access the job aid for manual file 

submissions.

Added “Part 1800: General” to Exhibit K, of RD Instruction 440.1 in order to better 

assist with locating the up-front guarantee fee and annual fee notated in Exhibit K 

of RD Instruction 440.1 when clicking on the 

https://www.rd.usda.gov/resources/directives/instructions link.

Removed the word “See” and replaced with the word “Refer” to better uniformity in 

comparison to other chapter handbook revisions.

Removed the word “See” and replaced with the word “Refer” to better uniformity in 

comparison to other chapter handbook revisions. 

Under “Requirements for all Refinance Options”, removed the word “original” from 

bullet number 2 and changed “existing” for word usage consistency in other 

paragraph sections.

Removed all references to “National Financial and Accounting Operations Center 

(NFAOC) and replaced with “Servicing and Asset Management Office (Servicing 

Office)”.

REMOVE INSERT

Chapter 4 dated 03-09-16: Chapter 4 dated 03-09-16:

Pages 4-1 thru 4-8; Pages 4-1 thru 4-8 revised;

Chapter 6 dated 03-09-16: Chapter 6 dated 03-09-16:

Pages 6-1 thru 6-10; Pages 6-1 thru 6-10 revised,

 Attachment 6-A. Attachment 6-A revised 03-31-23.

(CON)
Page 3 ISSUED: PN 580

March 31, 2023

FORMS

 REPLACEMENT

RD 4280-2 RURAL BUSINESS-COOPERATIVE SERVICE FINANCIAL

(WSAL) ASSISTANCE AGREEMENT revised 03-23. Prescribed 

in RD Instruction 4280-B. The Form and FMI 

are being revised to include BABAA language under paragraph II.A.2 (2. 

Procurement, Domestic Preference, and Property Standards) and to add drop downs 

button to the "Program and CFDA Number." The Form and FMI can be located on the 

eForms website eForms Home (usda.gov).

REMOVE INSERT

FMI dated 08-12-21. FMI revised 03-31-23.

RD 4280-3A RURAL ENERGY FOR AMERICA PROGRAM APPLICATION FOR 

(WSAL) RENEWABLE ENERGY SYSTEMS AND ENERGY EFFICIENCY 

IMPROVEMENT PROJECTS TOTAL PROJECT COSTS OF 

$80,000 OR LESS revised 03-23. Prescribed in RD Instruction 4280-B. The Form and 

FMI are being revised to change - a) update the revised date, b) add in an 

expiration date, c) revise III to removed CAGE code, update to UEI; d) Added a 

New IV to capture the name of the Executive Director and others persons that will 

distribute Federal Funds; e) burden hours were updated in PRA statement to match 

what was approved in ROCIS, f) V. was updated to remove Letter B, existing C and 

D to B and C and add in a D to address Tribal entities and projects on Tribal 

Land; g) VI was updated to address the new Federal grant share, update project 

information and to reorganize the types of technology into greenhouse gas 

emission and non-green house gas emission. VI was also numbered from A thru G; 

h) IX was updated to Environmental Benefits and how the project impacts the added 

criteria; and i) other confirming changes were made to renumber and to correct 

references due to changes.

Changes were made based on requirements included in the Inflation Reduction Act 

of 2022. Scoring criteria was updated and the forms were updated to reflect the 

information needed to score the REAP applications. The Form and FMI can be 

located on the eForms website eForms Home (usda.gov).

REMOVE INSERT

FMI dated 08-12-21. FMI revised 03-31-23.

(CON)
Page 4 ISSUED: PN 580

March 31, 2023

FORMS

 REPLACEMENT

RD 4280-3B RURAL ENERGY FOR AMERICA PROGRAM APPLICATION 

(WSAL) FOR RENEWABLE ENERGY SYSTEMS AND ENERGY 

EFFICIENCY IMPROVEMENT PROJECTS TOTAL PROJECT 

COSTS OF LESS THAN $200,000, BUT MORE THAN $80,000 revised 03-23. Prescribed in 

RD Instruction 4280-B. The Form and FMI are being revised to change - a) update 

the revised date, b) add in an expiration date, c) revise III to removed CAGE 

code, update to UEI; d) Added a New IV to capture the name of the Executive 

Director and others persons that will distribute Federal Funds; e) burden hours 

were updated in PRA statement to match what was approved in ROCIS, f) V. was 

updated to remove Letter B, existing C and D to B and C and add in a D to address 

Tribal entities and projects on Tribal Land; g) VI was updated to address the 

new Federal grant share, update project information and to reorganize the types 

of technology into greenhouse gas emission and non-green house gas emission. VI 

was also numbered from A thru G; h) IX was updated to Environmental Benefits and 

how the project impacts the added criteria; and i) other confirming changes were 

made to renumber and to correct references due to changes.

Changes were made based on requirements included in the Inflation Reduction Act 

of 2022. Scoring criteria was updated and the forms were updated to reflect the 

information needed to score the REAP applications. The Form and FMI can be 

located on the eForms website eForms Home (usda.gov).

REMOVE INSERT

FMI dated 08-12-21. FMI revised 03-31-23.

RD 4280-3C RURAL ENERGY FOR AMERICA PROGRAM APPLICATION FOR 

(WSAL) RENEWABLE ENERGY SYSTEMS AND ENERGY EFFICIENCY 

IMPROVEMENT PROJECTS TOTAL PROJECT COSTS OF 

$200,000 AND GREATER revised 03-23. Prescribed in RD Instruction 4280-B. The Form 

and FMI are being revised to change - a) update the revised date, b) add in an 

expiration date, c) revise III to remove CAGE code, update to UEI; d) added in a 

new IV to capture Executive Director and others that will be accepting or 

distributing Federal funds; e) burden statement was updated and burden hours were 

changed to match what was approved in ROCIS, f) V. was updated to remove Letter 

B, existing C and D to B and C and add in a D to address Tribal entities and 

projects on Tribal Land; g) VII was updated to address the new Federal grant 

share, update project information and to reorganize the types of technology into 

greenhouse gas emission and non-green house gas emission. VI was also numbered 

from A thru G; and h X was updated to Environmental Benefits and how the project 

impacts the added criteria.

Changes were made based on requirements included in the Inflation Reduction Act 

of 2022. Scoring criteria was updated and the forms were updated to reflect the 

information needed to score the REAP applications. The Form and FMI can be 

located on the eForms website eForms Home (usda.gov).

REMOVE INSERT

FMI dated 08-12-21. FMI revised 03-31-23.

oOo