This section of the FEDERAL REGISTER

contains regulatory documents having general

applicability and legal effect, most of which

are keyed to and codified in the Code of

Federal Regulations, which is published under

50 titles pursuant to 44 U.S.C. 1510.

The Code of Federal Regulations is sold by

the Superintendent of Documents. Prices of

new books are listed in the first FEDERAL

REGISTER issue of each week.

Rules and Regulations Federal Register

15665 

Vol. 80, No. 57 

Wednesday, March 25, 2015 

DEPARTMENT OF AGRICULTURE 

Rural Business-Cooperative Service 

Rural Housing Service 

Rural Utilities Service 

Farm Service Agency 

7 CFR Parts 1901 and 1942 

Rural Business-Cooperative Service 

Rural Utilities Service 

7 CFR Parts 4280 and 4284 

RIN 0570–AA92 

Rural Business Development Grant 

AGENCY: Rural Business-Cooperative 

Service, Rural Housing Service, Rural 

Utilities Service and Farm Service 

Agency, the U.S. Department of 

Agriculture. 

ACTION: Interim final rule with request 

for comments. 

SUMMARY: This Interim Final Rule is 

needed to ensure that the Agency will 

have a regulation in place to meet the 

Congressional mandate established in 

Congress in the Agricultural Act of 2014 

(2014 Farm Bill). This mandate requires 

the Agency to establish a new program 

called the Rural Business Development 

Grant Program which combines the 

former Rural Business Enterprise Grant 

and Rural Business Opportunity Grant 

programs. The Agency has made no 

substantive changes to either the Rural 

Business Enterprise Grant or Rural 

Business Opportunity Grant programs 

when combining these regulations into 

the Rural Business Development Grant 

program. 

Rural Development, Rural BusinessCooperative Service (RBS) is 

establishing a new regulation for the 

Rural Business Development Grant 

(RBDG) program. The program was 

established by the 2014 Farm Bill. The 

RBDG Program will combine the Rural 

Business Enterprise Grant (RBEG) and 

the Rural Business Opportunity Grant 

(RBOG) programs. There are no 

substantive programmatic changes to 

RBEG and RBOG with this 

consolidation. 

DATES: This Interim Final Rule is 

effective March 25, 2015. Written 

comments on this Interim Final Rule 

must be received on or before May 26, 

2015. 

ADDRESSES: You may submit comments 

on this Interim Final Rule by any of the 

following methods: 

• Federal eRulemaking Portal: http:// 

www.regulations.gov. Follow the 

instructions for submitting comments. 

You can find the rule by searching the 

RIN number 0570–AA92. 

• Mail: Submit written comments via 

the U.S. Postal Service to the Branch 

Chief, Regulations and Paperwork 

Management Branch, U.S. Department 

of Agriculture, 300 7th Street SW., 7th 

Floor, Washington, DC 20024. 

• Hand Delivery/Courier: Submit 

written comments via Federal Express 

Mail or other courier service requiring a 

street address to the Branch Chief, 

Regulations and Paperwork 

Management Branch, U.S. Department 

of Agriculture, 300 7th Street SW., 7th 

Floor, Washington, DC 20024. 

All written comments will be 

available for public inspection during 

regular work hours at the 300 7th Street 

SW., 7th Floor address listed above. 

FOR FURTHER INFORMATION CONTACT: 

Melvin Padgett or Cindy Mason, Rural 

Development, Business Programs, U.S. 

Department of Agriculture, 1400 

Independence Avenue SW., Stop 3226, 

Washington, DC 20250; email: 

Melvin.padgett@wdc.usda.gov or 

cindy.mason@wdc.usda.gov; at (202) 

720–1495 or (202) 690–1433, 

respectively. 

SUPPLEMENTARY INFORMATION: Request 

for Comments: The Agency is interested 

in receiving comments on all aspects of 

the Interim Final Rule. All comments 

should be submitted as indicated in the 

ADDRESSES section of this preamble. The 

Agency is seeking specific comments on 

whether or not to utilize this RBDG 

regulation to continue to process 

television demonstration grants and 

regional commission grants which are 

currently in 7 CFR part 1942, subpart G. 

And, whether or not to incorporate 

grants for expansion of employment 

opportunities for individuals with 

disabilities and health care services 

which were authorized in the 2008 

Farm Bill. The Agency is interested in 

considering all factors that affect the 

public. Please be sure to include your 

rationale for your suggestions. 

Additionally, in 2007, Rural 

Development published a proposed rule 

for RBEG, however, a final rule was 

never published. Rural Development 

appreciates the comments that were 

submitted on the proposed rule, and 

requests that reviewers resubmit 

comments on this consolidated rule if 

they believe they are still valid. 

Executive Order 12866, Classification 

This rule has been determined to be 

not significant for purposes of Executive 

Order 12866 and has not been reviewed 

by the Office of Management and 

Budget (OMB). 

Programs Affected 

The Catalog of Federal Domestic 

Assistance Program number assigned to 

the RBDG is 10.351. 

Environmental Impact Statement 

This document has been reviewed in 

accordance with 7 CFR part 1940, 

subpart G, ‘‘Environmental Program.’’ 

Rural Development has determined that 

this action does not constitute a major 

Federal action significantly affecting the 

quality of the human environment and, 

in accordance with the National 

Environmental Policy Act (NEPA) of 

1969, 42 U.S.C. 4321 et seq., an 

Environmental Impact Statement is not 

required. 

Executive Order 12372, 

Intergovernmental Consultation 

The program is subject to the 

provisions of Executive Order 12372, 

which requires intergovernmental 

consultation with State and local 

officials. Consultation will be completed 

at the time each grant is made. 

Executive Order 12988, Civil Justice 

This rule has been reviewed under 

Executive Order 12988, Civil Justice 

Reform. The Agency has determined 

that this rule meets the applicable 

standards provided in section 3 of the 

Executive Order. Additionally, (1) all 

State and local laws and regulations that 


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15666 Federal Register / Vol. 80, No. 57 / Wednesday, March 25, 2015 / Rules and Regulations 

are in conflict with this rule will be 

preempted; (2) no retroactive effect will 

be given to the rule; and (3) 

administrative appeal procedures, if 

any, must be exhausted before litigation 

against the Department or its agencies 

may be initiated, in accordance with the 

regulations of the National Appeals 

Division of the U.S. Department of 

Agriculture at 7 CFR part 11. 

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 

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. 

Regulatory Flexibility Act Certification 

Under section 605(b) of the 

Regulatory Flexibility Act, 5 U.S.C. 

605(b), the Agency certifies that this 

rule will not have a significant 

economic impact on a substantial 

number of small entities. The Agency 

made this determination based on the 

fact that this regulation only impacts 

those who choose to participate in the 

program. Small entity applicants will 

not be impacted to a greater extent than 

large entity applicants. 

Unfunded Mandate Reform Act 

This rule contains no Federal 

mandates (under the regulatory 

provisions of Title II of the Unfunded 

Mandates 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 Mandates 

Reform Act of 1995. 

Executive Order 13175, Consultation 

and Coordination With Indian Tribal 

Governments 

This executive order imposes 

requirements on Rural Development in 

the development of regulatory policies 

that have Tribal implications or preempt 

Tribal laws. As previously noted, the 

consolidation of the RBEG and RBOG 

programs through the publication of this 

Interim Final Rule will not institute any 

substantive programmatic changes. 

However, since Congress has 

legislatively mandated funds to benefit 

federally recognized Indian Tribes in 

both programs, in the past, 

implementation of the RBDG program in 

future years may have substantial and 

direct effects on one or more Indian 

Tribe(s). 

Consequently, the consolidation of 

the RBEG and RBOG programs under 

the RBDG program was featured in two 

Tribal Consultation webinars hosted by 

Rural Development in fiscal year (FY) 

2014. On April 2, 2014, Rural 

Development hosted a Tribal 

Consultation webinar and 

teleconference that summarized 

significant changes to its programs 

mandated by the 2014 Farm Bill. During 

the webinar, in addition to summarizing 

the Farm Bill changes, Rural 

Development listed five Farm Bill 

provisions that would likely require 

further consultation—including the 

RBDG program. No objections were 

raised by participants to alter that 

assumption. 

On August 25, 2014, Rural 

Development hosted a Tribal 

Consultation webinar and 

teleconference that covered the 

implementation of the RBDG program 

and the Strategic Economic and 

Community Development (Section 

6025) provision in great depth. Again, 

no objections were raised by 

participants to alter the course of 

implementation for either the RBDG 

program or Section 6025. 

For further information regarding 

Rural Development’s past Tribal 

Consultation events or Rural 

Development’s Tribal Consultation 

process, please contact Rural 

Development’s Native American 

Coordinator at (720) 544–2911 or 

AIAN@wdc.usda.gov. 

Paperwork Reduction Act 

In accordance with the Paperwork 

Reduction Act of 1995, this document 

announces the intention of RBS to 

request information collection in 

support of the RBDG program (7 CFR 

part 4280, subpart E). No new 

requirements have been added, but it is 

the intent of the Agency to combine the 

two current Paperwork Reduction Act 

packages into one. Until this paperwork 

burden is approved, the Agency will 

utilize the current RBEG and RBOG 

paperwork burdens. These burdens are 

approved under 0570–0022 and 0570– 

0024 respectively. 

Estimate of Burden: Public reporting 

burden for this collection of information 

is estimated to average 3.0 hours per 

response. 

Respondents: Nonprofit corporations 

and public bodies. 

Estimated Number of Respondents: 

920. 

Estimated Number of Responses per 

Respondent: 22. 

Estimated Number of Responses: 

20,517. 

Estimated Total Annual Burden on 

Respondents: 64,773. 

Comments on this document must be 

received by May 26, 2015 to be assured 

of consideration. 

E-Government Act Compliance 

Rural Development is committed to 

complying with the E-Government Act, 

to promote the use of the internet and 

other information technologies, to 

provide increased opportunities for 

citizens to access Government 

information and services electronically. 

Good Cause 

Rural Development is publishing this 

rule as an interim final rule for good 

cause in that: 

Rural Development anticipates going 

forward that Congress will only be 

providing appropriations for RBDG and 

not for the RBOG and RBEG programs; 

Since the RBEG and RBOG programs 

are being merged without substantive 

changes, the public will not be 

unfamiliar with the new RBDG 

provisions; and 

Making the RBDG rule an interim 

final rule will assure the continuity of 

benefits historically provided under the 

RBOG and RBEG programs. 

Additionally, notice and comment are 

not required because of the 

Administrative Procedures Act 

exceptions for loans and grants at 5 

U.S.C. 553(a)(2). 

I. Background 

Rural Development is charged with 

assisting, among other entities, the 

startup, expansion, and the continuation 

of small and emerging businesses and/ 

or non-profits in rural communities. 

Rural Development supports this 

portion of the overall mission through 

two grant programs, the RBEG and 

RBOG programs. 

Rural Development makes RBEGs to 

public bodies and non-profit 

corporations so that they may assist 

small and emerging businesses and/or 

non-profits in their communities to 

create and support jobs. RBEG funds 

may be used to: Acquire or develop 

land, buildings, plants, equipment; 

access streets and roads, parking areas, 

utility extensions, necessary water and 

supply and waste disposal facilities; 

provide technical assistance; establish 

revolving loan funds; and to create, 

expand, or operate rural distance 

learning programs that provide 

educational or job training instruction 

related to potential employment or job 

advancement to adult students. 

RBOG funds are made to public 

bodies and non-profit corporations to 

assist businesses and/or non-profits in 


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their communities. RBOG funds may be 

used to assist in the economic 

development of rural areas by providing 

technical assistance, training, and 

planning for business and economic 

development. 

In February 2014 the United States 

Congress passed the 2014 Farm Bill. 

This law combined the RBEG and RBOG 

programs into one grant program, the 

RBDG program. The Congressional 

Record emphasizes that the two 

programs should continue to operate in 

essentially the same manner as they 

operated when they were separate grant 

programs. Thus, Rural Development is 

publishing this Interim Final Rule to 

meet the statutory requirements of the 

2014 Farm Bill. 

Grants made before the 

implementation of the RBDG program 

will continue to be governed by the 

terms of the applicable RBOG and RBEG 

regulations in effect at the time the 

grants were made together with any 

other applicable agreements. 

II. Discussion of Changes 

The Agency is publishing this Interim 

Final Rule to meet the statutory 

requirements of the 2014 Farm Bill 

including revising the definition of rural 

and rural areas to conform to the 

Consolidated Farm and Rural 

Development Act definition. The 2014 

Farm Bill consolidated the RBEG and 

RBOG programs into one grant program 

while allowing both programs to operate 

essentially as they have in the past. The 

Agency is soliciting comments to this 

new regulation and will consider all 

comments received prior to publishing 

a Final Rule. Publishing this Interim 

Final Rule will permit the Agency to 

provide continuous service to rural 

small and emerging businesses, nonprofit corporations, and local public 

bodies, while requesting input from the 

public on their views of this grant 

program. 

The Agency combined 7 CFR part 

1942, subpart G and 7 CFR part 4284, 

subpart G into the RBDG rule at 7 CFR 

part 4280, subpart E. Rural Development 

has also integrated applicable general 

provisions of 7 CFR part 4284, subpart 

A into the RBDG rule. Essentially, the 

Agency did not change any of the 

requirements of either program but 

blended the two regulations into one 

and eliminated duplicative portions so 

that there is only one set of 

requirements. The Agency also 

combined definitions so that the public 

has one definition for both programs as 

well as blended the scoring 

requirements of both former regulations. 

Finally, the Agency blended the 

application processes into one 

streamlined set of procedures under the 

RBDG funding, incorporating the 

statutory language of the 2014 Farm Bill 

(7 U.S.C. 1932(c)) specifying how the 

funding would be split. 

The U.S. Department of Agriculture 

and the Agency is adopting the new the 

U.S. Department of Agriculture grant 

regulation at 2 CFR chapter IV for 

monitoring and servicing RBDG 

funding. If this rule is published prior 

to new the U.S. Department of 

Agriculture grant regulations being 

published and effective, the Agency will 

comply with all applicable parts of 2 

CFR chapter IV and chapter XXX 

including 7 CFR parts 3015, 3016, 3019, 

and 3052. 

List of Subjects 

7 CFR Part 1901 

Civil rights, Compliance reviews, Fair 

housing, and Minority groups. 

7 CFR Part 1942 

Business and Industry, Grant 

programs—Housing and Community 

development, Industrial park, and Rural 

areas. 

7 CFR Part 4280 

Business and Industry, Economic 

Development, Grant programs, 

Community development, Industrial 

Sites, and Rural Areas. 

7 CFR Part 4284 

Business and Industry, Economic 

Development, Grant programs—Housing 

and Community development, and 

Rural Areas. 

For the reasons set forth in the 

preamble, chapters XVIII and XLII, title 

7, of the Code of Federal Regulations are 

being amended as follows: 

CHAPTER XVIII—RURAL HOUSING 

SERVICE, RURAL BUSINESSCOOPERATIVE SERVICE, RURAL 

UTILITIES SERVICE, AND FARM 

SERVICE AGENCY, DEPARTMENT OF 

AGRICULTURE 

PART 1901—PROGRAM-RELATED 

INSTRUCTIONS 

■ 1. The authority citation for part 1901 

is revised to read as follows: 

Authority: 5 U.S.C. 301; 7 U.S.C. 1989; 40 

U.S.C. 442; 42 U.S.C. 1480, 2942. 

Subpart E—Civil Rights Compliance 

Requirements 

■ 2. Amend § 1901.204 by revising 

paragraph (a)(16) to read as follows: 

§ 1901.204 Compliance reviews. 

(a) * * * 

(16) Rural Business Development 

Grants. 

* * * * * 

PART 1942—ASSOCIATIONS 

■ 3. The authority citation for part 1942 

continues to read as follows: 

Authority: 5 U.S.C. 301; 7 U.S.C. 1989. 

Subpart G—[Removed and Reserved] 

■ 4. Remove and reserve subpart G, 

consisting of §§ 1942.301 through 

1942.350 and Guides 1 and 2 to subpart 

G. 

CHAPTER XLII—RURAL BUSINESSCOOPERATIVE SERVICE AND RURAL 

UTILITIES SERVICE, DEPARTMENT 

OF AGRIGULTURE 

PART 4280—LOANS AND GRANTS 

■ 5. The authority citation for part 4280 

is revised to read as follows: 

Authority: 5 U.S.C. 301: 7 U.S.C. 940c and 

7 U.S.C. 1932(c). 

■ 6. Add subpart E to read as follows: 

Subpart E—Rural Business 

Development Grants 

General 

Sec. 

4280.401 Purpose. 

4280.402 [Reserved] 

4280.403 Definitions. 

4280.404 Exception authority. 

4280.405 Review or appeal rights. 

4280.406 Conflict of interest. 

4280.407 Statute and regulation references. 

4280.408 U.S. Department of Agriculture 

(USDA) departmental regulations and 

laws that contain other compliance 

requirements. 

4280.409 [Reserved] 

4280.410 Other laws and regulations that 

contain compliance requirements for this 

program. 

4280.411 Forms, guides, and attachments. 

4280.412–4280.414 [Reserved] 

Rural Business Development Grants 

4280.415 Rural Business Development 

Grants. 

Eligibility 

4280.416 Applicant eligibility. 

4280.417 Project eligibility. 

4280.418–4280.420 [Reserved] 

Funding Provisions 

4280.421 Term requirement. 

4280.422 Joint funding. 

4280.423 Ineligible uses of grant funds. 

4280.424–4280.426 [Reserved] 

Applying for a Grant 

4280.427 Application. 

4280.428–4280.429 [Reserved] 

4280.430 Notification of decision. 

4280.431–4280.433 [Reserved] 


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Processing and Scoring Application 

4280.434 General processing and scoring 

provisions. 

4280.435 Scoring criteria. 

4280.436–4280.438 [Reserved] 

Grant Awards and Agreements 

4280.439 Grant awards and agreements. 

4280.440–4280.442 [Reserved] 

Post Award Activities and Requirements 

4280.443 Grant monitoring and servicing. 

4280.444–4280.447 [Reserved] 

4280.448 Transfers and assumptions. 

4280.449–4280.499 [Reserved] 

4280.500 OMB control number. 

General 

§ 4280.401 Purpose. 

This subpart implements the RBDG 

program administered by the Agency. 

Grants made under this subpart will be 

made to eligible entities for use in 

funding various business opportunity 

and business enterprise Projects that 

serve Rural Areas. 

§ 4280.402 [Reserved] 

§ 4280.403 Definitions. 

Administrator. The Administrator of 

RBS or designees or successors. 

Agency. Rural Business-Cooperative 

Service (RBS) or successor. 

Agriculture Production. The 

cultivation, production, growing, 

raising, feeding, housing, breeding, 

hatching, or managing of crops, plants, 

animals or birds, either for fiber, food 

for human consumption, or livestock 

feed. 

Arm’s-length Transaction. The sale, 

release, or disposition of assets in which 

the title to the property passes to a 

ready, willing, and able disinterested 

third party that is not affiliated with or 

related to and has no security, 

monetary, or stockholder interest in the 

grantee or transferor at the time of the 

transaction. 

Business Support Centers. Centers 

established to provide assistance to 

businesses in such areas as counseling, 

business planning, training, 

management assistance, marketing 

information, and locating financing for 

business operations. The centers need 

not be located in a Rural Area, but must 

provide assistance to businesses located 

in Rural Areas. 

Departmental Grant Regulations. The 

USDA grant regulations at 2 CFR 

chapter IV. 

Economic Development. The 

industrial, business and financial 

augmentation of an area as evidenced by 

increases in total income, employment 

opportunities, value of production, 

duration of employment, or 

diversification of industry, reduced 

outmigration, higher labor force 

participation rates or wage levels or 

gains in other measurements of 

economic activity, such as land values. 

Indian Tribe (Tribal). Indian Tribes on 

Federal and State reservations and other 

federally recognized Indian Tribal 

groups. 

Industrial Site. The development of 

undeveloped real estate for uses which 

will assist Small and Emerging 

Businesses. 

Long-term. The period of time covered 

by the three most recent decennial 

censuses of the United States to the 

present. 

Nonprofit. An entity chartered as a 

nonprofit organization under applicable 

State or Tribal law. 

Other Business Development. Any 

business related activity that will assist 

Small and Emerging Businesses and 

may include but is not limited to 

business incubators, business training 

centers, and other training activity 

which leads directly to Small and 

Emerging Business development. 

Planning. A process to coordinate 

Economic Development activities, 

develop guides for action, or otherwise 

assist local community leaders in the 

Economic Development of Rural Areas. 

Priority Communities. Communities 

targeted for Agency assistance as 

determined by the U.S. Department of 

Agriculture Under Secretary for Rural 

Development that are experiencing 

trauma due to natural disasters or are 

undertaking or completing fundamental 

structural changes, have remained 

persistently poor, or have experienced 

Long-Term population decline or job 

deterioration. 

Project. The result of the use of grant 

funds provided under this subpart 

through Technical Assistance or 

Planning relating to the Economic 

Development of a Rural Area; or the 

result of the use of program funds (i.e., 

a facility whether constructed by the 

applicant or a third party made with 

grant funds, Technical Assistance, 

startup operating costs, or working 

capital). A revolving fund established in 

whole or in part with grant funds will 

also be considered a Project. 

Public Bodies/Government Entity. 

Public Bodies include States, counties, 

cities, townships, and incorporated 

towns and villages, boroughs, 

authorities, districts, and education 

institutions organized under State and 

Federal laws, and Indian Tribes. 

Rural and Rural Area. As described in 

7 U.S.C. 1991(a)(13)(A) and (D) et seq. 

Small and Emerging Business. Any 

private and/or Nonprofit business 

which will employ 50 or fewer new 

employees and has less than $1 million 

in gross revenue; for retail operations, 

total sales minus cost of goods sold 

minus returns or for a service 

organizations, gross revenue minus cost 

of providing service or for a 

manufacturing operation it will be total 

sales minus cost of raw materials minus 

the cost of production. 

State. Any of the 50 States, the 

Commonwealth of Puerto Rico, the U.S. 

Virgin Islands, Guam, American Samoa, 

the Commonwealth of the Northern 

Mariana Islands, the Republic of Palau, 

the Federated States of Micronesia, and 

the Republic of the Marshall Islands. 

Technical Assistance. A function 

performed for the benefit of a private 

business enterprise or a community and 

which is a problem solving activity, 

such as market research, product and/or 

service improvement, feasibility study, 

etc., to assist in the Economic 

Development of a Rural Area. 

§ 4280.404 Exception authority. 

The Administrator may make an 

exception, on a case-by-case basis, to 

any requirement or provision of this 

subpart that is not inconsistent with any 

authorizing statute or applicable law if 

the Administrator determines that 

application of the requirement or 

provision would adversely affect the 

Government’s financial interest. 

§ 4280.405 Review or appeal rights. 

A person may seek a review of an 

Agency decision under this subpart 

from the appropriate Agency official 

that oversees the program in question or 

appeal to the National Appeals Division 

in accordance with 7 CFR part 11. 

§ 4280.406 Conflict of interest. 

(a) General. No conflict of interest or 

appearance of conflict of interest will be 

allowed. For purposes of this subpart, 

Conflict of Interest includes, but is not 

limited to, distribution or payment of 

grant, guaranteed loan funds, and 

matching funds or award of Project 

construction contracts to an individual 

owner, partner, or stockholder, or to a 

beneficiary or immediate family of the 

applicant or grantee when the recipient 

will retain any portion of ownership in 

the applicant’s or grantee’s Project. 

Grant and matching funds may not be 

used to support costs for services or 

goods going to, or coming from, a person 

or entity with a real or apparent conflict 

of interest. All transactions must be 

Arm’s-length Transactions. 

(b) Assistance to employees, relatives, 

and associates. The Agency will process 

any requests for assistance under this 

subpart in accordance with 7 CFR part 

1900, subpart D. 


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(c) Member/delegate clause. No 

member of or delegate to Congress shall 

receive any share or part of this grant or 

any benefit that may arise therefrom; but 

this provision shall not be construed to 

bar, as a contractor under the grant, a 

publicly held corporation whose 

ownership might include a member of 

Congress so long as the member’s 

ownership is less than 10 percent. 

§ 4280.407 Statute and regulation 

references. 

All references to statutes and 

regulations are to include any and all 

successor statutes and regulations. 

§ 4280.408 U.S. Department of Agriculture 

departmental regulations and laws that 

contain other compliance requirements. 

(a) Departmental regulations. All 

funded under this subpart are subject to 

the provisions of the Departmental 

Regulations, as applicable, which are 

incorporated by reference herein. 

(b) Equal opportunity and 

nondiscrimination. The Agency will 

ensure that equal opportunity and 

nondiscrimination requirements are met 

in accordance with the Equal Credit 

Opportunity Act, 15 U.S.C. 1691 et seq. 

and 7 CFR part 15d, 

‘‘Nondiscrimination in Programs and 

Activities Conducted by the United 

State Department of Agriculture.’’ The 

Agency will not discriminate against 

applicants on the basis of race, color, 

religion, national origin, sex, marital 

status, or age (provided that the 

applicant has the capacity to contract); 

because all or part of the applicant’s 

income derives from any public 

assistance program; or because the 

applicant has in good faith exercised 

any right under the Consumer Credit 

Protection Act, 15 U.S.C. 1601 et seq. 

(c) Civil rights compliance. Recipients 

of grants must comply with the 

Americans with Disabilities Act of 1990, 

42 U.S.C. 12101 et seq., Title VI of the 

Civil Rights Act of 1964, 42 U.S.C. 

2000d et seq., and section 504 of the 

Rehabilitation Act of 1973, 29 U.S.C. 

794. This may include collection and 

maintenance of data on the race, sex, 

and national origin of the recipient’s 

membership/ownership and employees. 

The data must be available to conduct 

compliance reviews. 

(1) Initial compliance reviews will be 

conducted by the Agency prior to funds 

being obligated. 

(2) Grants will require one subsequent 

compliance review following Project 

completion. This will occur prior to the 

last disbursement of grant funds. 

(d) Environmental requirements. 7 

CFR part 1940, subpart G or successor 

regulation applies to this subpart. 

Prospective applicants are advised to 

contact the Agency to determine 

environmental requirements as soon as 

practicable after they decide to pursue 

any form of financial assistance directly 

or indirectly available through the 

Agency. 

(1) Any required environmental 

review must be completed by the 

Agency prior to the Agency obligating 

any funds. 

(2) The applicant will be notified of 

all specific compliance requirements, 

including, but not limited to, the 

publication of public notices, and 

consultation with State Historic 

Preservation Offices (or Tribal Historic 

Preservation Offices where appropriate) 

and the U.S. Fish and Wildlife Service. 

(3) A site visit by the Agency may be 

scheduled, if necessary, to determine 

the scope of the review. 

(4) Applications for Technical 

Assistance or Planning Projects are 

generally excluded from the 

environmental review process by 

§ 1940.333 of this title provided the 

assistance is not related to the 

development of a specific site. However, 

as further specified in 7 CFR 1940.330, 

the grantee for a Technical Assistance 

grant, in the process of providing 

Technical Assistance, must consider the 

potential environmental impacts of the 

recommendations provided to the 

recipient of the Technical Assistance. 

(5) Applicants for grant funds must 

consider and document within their 

plans the important environmental 

factors within the Planning area and the 

potential environmental impacts of the 

plan on the Planning area, as well as the 

alternative Planning strategies that were 

reviewed. 

(6) Whenever an applicant files an 

application that includes a direct 

construction Project and a plan, they 

must have a separate environmental 

evaluation. 

(e) Discrimination complaints—(1) 

Who may file. Persons or a specific class 

of persons believing they have been 

subjected to discrimination prohibited 

by this section may file a complaint 

personally, or by an authorized 

representative with USDA, Director, 

Office of Adjudication, 1400 

Independence Avenue SW., 

Washington, DC 20250. 

(2) Time for filing. A complaint must 

be filed no later than 180 days from the 

date of the alleged discrimination, 

unless the time for filing is extended by 

the designated officials of USDA or the 

Agency. 

(f) Uniform Relocation and Real 

Property Acquisition Policies Act. All 

Projects must comply with the 

requirements set forth in 7 CFR part 21. 

(g) Floodplains and wetlands. All 

Projects must comply with Executive 

Order 11988 ‘‘Floodplain Management’’ 

and Executive Order 11990 ‘‘Protection 

of Wetlands.’’ The applicable 

regulations are codified at 44 CFR parts 

59 through 80. 

§ 4280.409 [Reserved] 

§ 4280.410 Other laws and regulations that 

contain compliance requirements for this 

program. 

(a) Equal employment opportunity. 

For all construction contracts and grants 

in excess of $10,000, the contractor 

must comply with Executive Order 

11246, as amended by Executive Order 

11375, and as supplemented by 

applicable Department of Labor 

regulations (41 CFR part 60–1). The 

applicant is responsible for ensuring 

that the contractor complies with these 

requirements. 

(b) Architectural barriers. All facilities 

financed with Zero-Interest Loans that 

are open to the public or in which 

persons may be employed or reside 

must be designed, constructed, or 

altered to be readily accessible to and 

usable by disabled persons. Standards 

for these facilities must comply with the 

Architectural Barriers Act of 1968, as 

amended, (42 U.S.C. 4151–4157). 

(c) Uniform relocation assistance. 

Relocations in connection with these 

programs are subject to 49 CFR part 24 

as referenced by 7 CFR part 21 except 

that the provisions in title III of the 

Uniform Act do not apply to these 

programs. 

(d) Drug-free workplace. Grants made 

under these programs are subject to the 

requirements contained in 2 CFR 

chapter IV which implements the DrugFree Workplace Act. RBDG recipients 

will be required to certify that it will 

establish and make a good faith effort to 

maintain a drug-free workplace 

program. 

(e) Debarment and suspension. The 

requirements of 2 CFR chapter IV are 

applicable to this program. 

(f) Intergovernmental review of 

Federal programs. These programs are 

subject to the requirements of Executive 

Order 12372 and 2 CFR chapter IV. 

Proposed Projects are subject to the 

State and local government review 

process contained in 2 CFR chapter IV. 

(g) Restrictions on lobbying. The 

restrictions and requirements imposed 

by 31 U.S.C. 1352, and 2 CFR chapter 

IV, are applicable to these programs. 

(h) Earthquake hazards. These 

programs are subject to the seismic 

requirements of the Earthquake Hazards 

Reduction Act of 1977 (42 U.S.C. 7701– 

7706). 


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(i) Affirmative fair housing. If 

applicable, the grantee will be required 

to comply with the Affirmative Fair 

Housing Act (42 U.S.C. 3601–3631 and 

24 CFR part 100). 

(j) Flood hazard insurance. The RBDG 

program is subject to the National Flood 

Insurance Act of 1968 and the Flood 

Disaster Protection Act of 1973, as 

amended by 42 U.S.C. 4001–4129 and 7 

CFR part 1806, subpart B. 

(k) Uniform administrative 

requirements, cost principles, and audit 

requirements for Federal awards. The 

requirements of 2 CFR chapter IV, or its 

successor regulations are applicable to 

this program. 

(l) Planning and performing 

construction and other development. 

The requirements of 7 CFR part 1924, 

subpart A, or its successor regulations, 

are applicable to this program. 

(m) Transparency Act. The 

requirements of 2 CFR part 170 are 

applicable to this program. 

§ 4280.411 Forms, guides, and 

attachments. 

All forms, guides, and attachments 

referenced in this subpart are available 

online at: http://forms.sc.egov.usda.gov/ 

eForms/ or in any Rural Development 

State office. 

§§ 4280.412–4280.414 [Reserved] 

Rural Business Development Grants 

§ 4280.415 Rural Business Development 

Grants. 

Sections 4280.416 through 4280.439 

identify the provisions that the Agency 

will use for making awards for Rural 

Business Development Grants. 

Eligibility 

§ 4280.416 Applicant eligibility. 

To receive an RBDG under this 

subpart, an applicant must meet the 

requirements specified in paragraphs (a) 

through (e) of this section. If an award 

is made to an applicant, that applicant 

(grantee) must continue to meet the 

requirements specified in this section. If 

the grantee does not, then grant funds 

may be recovered from the grantee by 

the Agency in accordance with 

Departmental Regulations. 

(a) Type of applicant. The Applicant 

must be one of the following: 

(1) A Public Body/Government Entity; 

(2) An Indian Tribe; or 

(3) A Nonprofit entity. 

(b) Financial strength and expertise. 

The Applicant must have sufficient 

financial strength and expertise in 

activities proposed in the application to 

ensure accomplishment of the described 

activities and objectives. 

(1) Financial strength will be analyzed 

by the Agency based on financial data 

provided in the application. The 

analysis will consider the applicant’s 

tangible net worth, which must be 

positive, and whether the applicant has 

dependable sources of revenue or a 

successful history of raising revenue 

sufficient to meet cash requirements. 

(2) Expertise will be analyzed by the 

Agency based on the applicant staff’s 

training and experience in activities 

similar to those proposed in the 

application and, if consultants will be 

used, on the staff’s experience in 

choosing and supervising consultants. 

(c) Universal identifier and system for 

awards management. Unless exempt 

under 2 CFR 25.110, the Applicant 

must: 

(1) Be registered in the System for 

Awards Management (SAM) prior to 

submitting an application; 

(2) Maintain an active SAM 

registration with current information at 

all times during which it has an active 

Federal award or an application under 

consideration by the Agency; and 

(3) Provide its Dun and Bradstreet 

Data Universal Numbering System 

(DUNS) number in each application it 

submits to the Agency. Generally, the 

DUNS number is included on Standard 

Form (SF) 424, ‘‘Application for Federal 

Assistance.’’ 

(d) Delinquent debt. The applicant 

must not have any delinquent debt to 

the Federal Government. If an applicant 

has any delinquent debt to the Federal 

Government, the applicant will be 

ineligible to receive any funds obligated 

under this subpart until the debt has 

been paid. 

(e) Legal authority and responsibility. 

Each Applicant must have the legal 

authority necessary to apply for and 

carry out the purpose of the grant. 

§ 4280.417 Project eligibility. 

For a Project to be eligible for funding 

under this subpart, the proposed Project 

must meet each of the requirements 

specified in paragraphs (a) through (e) of 

this section. 

(a) Types of projects. Grant funds may 

be used for Projects identified in either 

paragraph (a)(1) of this section, business 

opportunity type grants, or paragraph 

(a)(2) of this section, business enterprise 

type grants. Unless otherwise 

announced in a Notice of Solicitation of 

Applications, the Agency will set aside 

10 percent of its RBDG appropriation for 

business opportunity type grants. The 

Agency reserves the right to reallocate 

funds set aside for business opportunity 

type grants to business enterprise type 

grants if it becomes apparent to the 

Agency that there is insufficient 

demand for the funds set aside for the 

business opportunity type grants. 

(1) Business opportunity Projects. 

Grant funds may be used for business 

opportunity Projects that include one or 

more of the following activities: 

(i) Identify and analyze business 

opportunities that will use local rural 

materials or human resources. This 

includes opportunities in export 

markets, as well as feasibility and 

business plan studies; 

(ii) Identify, train, and provide 

Technical Assistance to existing or 

prospective rural entrepreneurs and 

managers; 

(iii) Establish Business Support 

Centers and otherwise assist in the 

creation of new Rural businesses; 

(iv) Conduct local community or 

multi-county Economic Development 

Planning; 

(v) Conduct leadership development 

training of existing or prospective adult 

rural entrepreneurs and managers; 

(vi) Establish centers for training, 

technology, and trade that will provide 

training to Rural businesses in the 

utilization of interactive 

communications technologies to 

develop international trade 

opportunities and markets; or 

(vii) Pay reasonable fees and charges 

for professional services necessary to 

conduct the Technical Assistance, 

training, or planning functions. 

(2) Business enterprise projects. Grant 

funds may be used to finance and/or 

develop Small and Emerging Businesses 

in Rural Areas including, but not 

limited to, the following activities: 

(i) Acquisition and development of 

land, easements and rights-of-way; 

(ii) Construction, conversion, 

enlargement, repairs or modernization 

of buildings, plants, machinery, 

equipment, access streets and roads, 

parking areas, utilities, and pollution 

control and abatement facilities; 

(iii) Provision of loans for startup 

operating cost and working capital; 

(iv) Reasonable fees and charges for 

professional services necessary for the 

planning and development of the 

Project; 

(v) Establishment of a revolving loan 

fund to provide financial assistance to 

third parties through a loan; and 

(vi) Establishment, expansion, and 

operation of Rural distance learning 

networks or development of Rural 

learning programs that provide 

educational instruction or job training 

instruction related to potential 

employment or job advancements for 

adult students; 

(vii) Provision of Technical 

Assistance for Small and Emerging 

Businesses, including but not limited to 

feasibility studies and business plans; 

and/or 


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(viii) Provision of Technical 

Assistance and training to rural 

communities for the purpose of 

improving passenger transportation 

services or facilities. 

(b) Result of projects. (1) For business 

opportunity type grants, the Project 

must have a reasonable prospect that the 

Project will result in the Economic 

Development of a Rural Area. 

(2) For business enterprise type 

grants, the Project must have a 

reasonable prospect that it will result in 

the development or financing of Small 

and Emerging Businesses. 

(c) Basis for success or failure. Grants 

may be made only when the application 

demonstrates a need for the Project and 

includes a basis for determining the 

success or failure of the Project and 

individual major elements of the Project 

and outlines procedures that will be 

taken to assess the Project’s impact at its 

conclusion. 

(d) Local and area-wide strategic 

plans. Business opportunity type grants 

may be made only when the proposed 

Project is consistent with any local and 

area-wide strategic plans for community 

and Economic Development, 

coordinated with other Economic 

Development activities in the Project 

area, and consistent with any Rural 

Development State Strategic Plan. 

§§ 4280.418–4280.420 [Reserved] 

Funding Provisions 

§ 4280.421 Term requirement. 

A grant may be considered for the 

amount needed to assist with the 

completion of a proposed Project, 

provided that the Project can reasonably 

be expected to be completed within 1 

full year after it has begun. 

§ 4280.422 Joint funding. 

To the extent permitted by law, 

Agency grant funds may be used jointly 

and in proportion with funds furnished 

by the grantee or from other sources 

including Agency loan funds. 

§ 4280.423 Ineligible uses of grant funds. 

Grant funds may not be used towards 

any of the uses identified in paragraphs 

(a) through (n) of this section. 

(a) Duplicate current services or 

substitute support previously provided. 

If the current service is inadequate, 

however, grant funds may be used to 

expand the level of effort or services 

beyond what is currently being 

provided. 

(b) Pay costs of preparing the 

application package for funding under 

this program or any other program. 

(c) Pay costs for any expenses 

incurred prior to receipt of a full 

application, except for those permitted 

under Departmental Regulations. 

(d) Fund political activities. 

(e) Pay for assistance to any private 

business enterprise which does not 

create and/or support jobs in the United 

States. 

(f) Pay any judgment or debt owed to 

the United States. 

(g) Fund Agriculture Production 

either directly or through horizontally 

integrated livestock operations except 

for commercial nurseries, timber 

operations or limited Agricultural 

Production related to Technical 

Assistance Projects. The following are 

not considered Agriculture Production: 

(1) Aquaculture, including 

conservation, development, and 

utilization of water for aquaculture; 

(2) Commercial fishing; 

(3) Commercial nurseries engaged in 

the production of ornamental plants and 

trees and other nursery products such as 

bulbs, flowers, shrubbery, flower and 

vegetable seeds, sod, and the growing of 

plants from seed to the transplant stage; 

(4) Forestry, which includes 

businesses primarily engaged in the 

operation of timber tracts, tree farms, 

and forest nurseries and related 

activities such as reforestation; or 

(5) The growing of mushrooms or 

hydroponics. 

(h) To finance comprehensive areawide type Planning. This does not 

preclude the use of grant funds for 

Planning for a given Project. 

(i) To make loans when the rates, 

terms, and charges for those loans are 

not reasonable or would be for purposes 

not eligible under 7 CFR part 4274, 

subpart D. 

(j) For programs operated by cable 

television systems. 

(k) To fund a part of a Project that is 

dependent on other funding unless 

there is a firm commitment of the other 

funding to ensure completion of the 

Project. 

(l) To pay for Technical Assistance 

that duplicates assistance provided to 

implement an action plan funded by the 

Forest Service (FS) under the National 

Forest-Dependent Rural Communities 

Economic Diversification Act for 5 

continuous years from the date of grant 

approval by the FS. To avoid duplicate 

assistance, the grantee shall coordinate 

with FS and the Agency to ascertain if 

a grant has been made in a substantially 

similar geographical or defined local 

area in a State for Technical Assistance 

under the FS program. The grantee will 

provide documentation to FS and the 

Agency regarding the contact with each 

agency. 

(m) Pass through grants. Pass through 

grants are for, but not limited to: 

(1) The purchase, refurbishing, or 

remodeling of real estate for use as a 

business incubator without charging a 

fair market rental; 

(2) The purchase of equipment for use 

by an ultimate recipient without 

charging a fair market rental; and 

(3) The making of a Revolving Loan 

Fund (RLF) loan without taking 

appropriate security to reasonably 

assure repayment of the loan. 

(n) For a Project that would result in 

the transfer of existing employment or 

business activity more than 25 miles 

from its existing location. 

§§ 4280.424–4280.426 [Reserved] 

Applying for a Grant 

§ 4280.427 Application. 

Applications for an RBDG grant as 

specified in § 4280.417(a)(1) and (2) 

must contain the following: 

(a) An original and one copy of SF 

424, ‘‘Application For Federal 

Assistance (For Non-construction);’’ 

(b) Copies of applicant’s 

organizational documents showing the 

applicant’s legal existence and authority 

to perform the activities under the grant; 

(c) A proposed scope of work, 

including a description of the proposed 

Project, e.g., RLF, Technical Assistance, 

Industrial Site, Business Opportunity 

and Other Business Development, 

details of the proposed activities to be 

accomplished and timeframes for 

completion of each task, the number of 

months duration of the Project, and the 

estimated time it will take from grant 

approval to beginning of Project 

implementation; 

(d) A written narrative that includes, 

at a minimum, the following items: 

(1) An explanation of why the Project 

is needed, the benefits of the proposed 

Project, and how the Project meets the 

grant eligible purposes; 

(2) Area to be served, identifying each 

governmental unit, i.e. town, county, 

etc., to be affected by the Project; 

(3) Description of how the Project will 

coordinate Economic Development 

activities with other Economic 

Development activities within the 

Project area; 

(4) Business to be assisted, if 

appropriate, and Economic 

Development to be accomplished; 

(5) An explanation of how the 

proposed Project will result in newly 

created, increased, or supported jobs in 

the area and the number of projected 

new and supported jobs within the next 

3 years; 

(6) A description of the applicant’s 

demonstrated capability and experience 

in providing the proposed Project 

assistance or similar Economic 


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Development activities, including 

experience of key staff members and 

persons who will be providing the 

proposed Project activities and 

managing the Project; 

(7) The method and rationale used to 

select the areas and businesses that will 

receive the service; 

(8) A brief description of how the 

work will be performed including 

whether organizational staff or 

consultants or contractors will be used; 

and 

(9) Other information the Agency may 

request to assist it in making a grant 

award determination; 

(e) The latest 3 years of financial 

information to show the applicant’s 

financial capacity to carry out the 

proposed work. If the applicant is less 

than 3 years old, at a minimum, the 

information should include all balance 

sheet(s), income statement(s) and cash 

flow statement(s). A current audited 

report is required if available; 

(f) Intergovernmental review 

comments from the State Single Point of 

Contact, or evidence that the State has 

elected not to review the program under 

Executive Order 12372; 

(g) Documentation regarding the 

availability and amount of other funds 

to be used in conjunction with the funds 

from the RBDG; 

(h) A budget which includes salaries, 

fringe benefits, consultant costs, indirect 

costs, and other appropriate direct costs 

for the Project; and 

(i) RBDG construction Project grants 

must conform with 7 CFR part 1924, 

subpart A requirements. 

§§ 4280.428–4280.429 [Reserved] 

§ 4280.430 Notification of decision. 

When the Agency has determined that 

an application is not eligible or that no 

further action will be taken, the Agency 

will notify the applicant in writing of 

the reasons why the application was not 

favorably considered and provide any 

appeal rights. 

§§ 4280.431–4280.433 [Reserved] 

Processing and Scoring Applications 

§ 4280.434 General processing and 

scoring provisions. 

The Agency will review each 

application for assistance in accordance 

with the priorities established in 

§ 4280.435. The Agency will assign each 

application a priority rating and will 

select applications for funding based on 

the priority ratings and the total funds 

available to the program. 

(a) Applications. The Agency will 

score each application based on the 

information contained in the 

application and its supporting 

information. All applications submitted 

for funding must contain sufficient 

information to permit the Agency to 

complete a thorough priority rating. 

(b) Unfunded applications. The 

Agency will notify eligible applicants if 

funds are not available. If an applicant 

wishes to have their application 

maintained in an active file for future 

consideration, the applicant must revise 

and update their application in writing 

for the Agency to reconsider in a future 

funding cycle. 

§ 4280.435 Scoring criteria. 

The Agency will use the criteria in 

this section to score applications for 

purposes identified under 

§ 4280.417(a)(1)and (2). 

(a) Leveraging. If the grant will fund 

a critical element of a larger program of 

Economic Development, without which 

the overall program either could not 

proceed or would be far less effective, 

or if the program to be assisted by the 

grant will also be partially funded from 

other sources, points will be awarded as 

follows. If points are awarded for 

leveraging, funds must be spent 

proportionally, and if leveraged funds 

are not utilized proportionately with the 

grant, the Agency reserves the right to 

take any legal action, including 

terminating the grant. 

(1) If Rural Development’s portion of 

Project funding is: 

(i) Less than 20 percent—30 points; 

(ii) 20 but less than 50 percent—20 

points; 

(iii) 50 but less than 75 percent—10 

points; or 

(iv) 75 percent or more—0 points. 

(2) [Reserved] 

(b) Points will be awarded for each of 

the following criteria met by the 

community or communities that will 

receive the benefit of the grant. 

However, regardless of the mathematical 

total of points indicated by paragraphs 

(b)(1) through (4) of this section, total 

points awarded under this paragraph (b) 

must not exceed 40. 

(1) Trauma. Experiencing trauma due 

to a major natural disaster that occurred 

not more than 3 years prior to the filing 

of the application for assistance—15 

points; 

(2) Economic distress. The community 

has suffered a loss of 20 percent or more 

in their total jobs caused by the closure 

of a military facility or other employers 

within the last 3 years—15 points; 

(3) Long-term poverty. Has 

experienced Long-Term poverty as 

demonstrated by being a former Rural 

empowerment zone, Rural economic 

area partnership zone, Rural enterprise 

community, champion community, or a 

persistent poverty county as determined 

by USDA’s Economic Research 

Serviced—10 points; 

(4) Population decline. Has 

experienced Long-Term population 

decline—10 points as demonstrated by 

the latest three decennial censuses. 

(c) Population. Proposed Project(s) 

will be located in a community of: 

(1) Under 5,000 population—15 

points; 

(2) Between 5,000 and less than 

15,000 population—10 points; or 

(3) Between 15,000 and 25,000 

population—5 points. 

(d) Unemployment. Proposed 

Project(s) will be located in areas where 

the unemployment rate: 

(1) exceeds the State rate by 25 

percent or more—20 points; 

(2) exceeds the State rate by less than 

25 percent—10 points; or 

(3) is equal to or less than the State 

rate—0 points. 

(e) Median household income. 

Proposed Project(s) will be located in 

areas where Median Household Income 

(MHI) as prescribed by section 673(2) of 

the Community Services Block Grant 

Act for a family of 4 for the State is: 

(1) Less than poverty line—25 points; 

(2) More than poverty line but less 

than 65 percent of State MHI—15 

points; 

(3) Between 65 and 85 percent of State 

MHI—10 points; or 

(4) Greater than 85 percent State 

MHI—0 points. 

(f) Experience. Applicant has 

evidence of successful experience in the 

type of activity. Evidence of successful 

experience may be a description of 

experience supplied and certified by the 

applicant based upon its current 

employees’ resumes: 

(1) 10 or more years-30 points; 

(2) At least 5 but less than 10 years20 points; 

(3) At least 3 but less than 5 years-10 

points; or 

(4) At least 1 but less than 3 years-5 

points. 

(g) Small business start-up or 

expansion. Applicant has evidence that 

small business development will be 

supported by startup or expansion as a 

result of the activities to be carried out 

under the grant. Written evidence of 

commitment by a small, or a Small and 

Emerging Business must be provided to 

the Agency, and should include the 

number of jobs that will be supported 

and created. 5 points for each letter up 

to 25 points. 

(h) Jobs created or supported. The 

anticipated development, expansion, or 

furtherance of business enterprises as a 

result of the proposed Project will create 

and/or support existing jobs associated 


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with the affected businesses. The 

number of jobs must be evidenced by a 

written commitment from the business 

to be assisted. 

(1) One job for less than $5,000—25 

points; 

(2) one job for $5,000 but less than 

$10,000—20 points; 

(3) one job for $10,000 but less than 

$15,000—15 points; 

(4) one job for $15,000 but less than 

$20,000—10 points; or 

(5) one job for $20,000 but less than 

$25,000—5 points. 

(i) Size of grant request. Grant Projects 

utilizing funds available under this 

subpart of: 

(1) less than $100,000—25 points; 

(2) $100,000 to $200,000—15 points; 

or 

(3) more than $200,000 but not more 

than $500,000—10 points. 

(j) Indirect cost. Applicant is not 

requesting grant funds to cover their 

administrative or indirect costs-5 points. 

(k) Discretionary points. Either the 

State Director or Administrator may 

assign up to 50 discretionary points to 

an application. Assignment of 

discretionary points must include a 

written justification. Permissible 

justifications are geographic distribution 

of funds, special Secretary of 

Agriculture initiatives such as Priority 

Communities, or a state’s strategic goals. 

Discretionary points may only be 

assigned to initial grants. However, in 

the case where two Projects have the 

same score, the State Director may add 

one point to the Project that best fits the 

State’s strategic plan regardless of 

whether the Project is an initial or 

subsequent grant. 

§§ 4280.436–4280.438 [Reserved] 

Grant Awards and Agreement 

§ 4280.439 Grant awards and agreements. 

The Agency will award and 

administer RBDG grants in accordance 

with applicable Departmental 

regulations, this subpart, and the 

unauthorized grant provisions of 7 CFR 

part 1951, subpart O. 

(a) Letter of conditions. The Agency 

will provide each approved applicant a 

letter of conditions, which sets out the 

conditions under which the grant will 

be made, including, but not limited to, 

an Agency grant agreement. 

(b) Applicant’s intent to meet 

conditions. The applicant must 

complete, sign and return a ‘‘Letter of 

Intent to Meet Conditions,’’ to the 

Agency. If applicant identifies certain 

conditions that the applicant cannot 

meet, the applicant may propose 

alternate conditions to the Agency. The 

Agency must concur with any changes 

proposed by the letter of conditions by 

the applicant before the any grant will 

be made. 

§§ 4280.440–4280.442 [Reserved] 

Post Award Activities and 

Requirements 

§ 4280.443 Grant monitoring and 

servicing. 

RBDG grants will be monitored and 

serviced in accordance with the grant 

agreement, this subpart, and 2 CFR 

chapter IV. 

§§ 4280.444–4280.447 [Reserved] 

§ 4280.448 Transfers and assumptions. 

The Agency will approve transfer and 

assumption requests on grants awarded 

under this subpart on a case by case 

basis, and then only to eligible entities 

under § 4280.416. 

§§ 4280.449–4280.499 [Reserved] 

§ 4280.500 OMB control number. 

The reporting and recordkeeping 

requirements contained in this 

regulation have been approved by the 

Office of Management and Budget 

(OMB) under the provisions of 44 U.S.C. 

chapter 35 and have been assigned OMB 

control numbers 0570–0022 and 0570– 

0024 in accordance with the Paperwork 

Reduction Act of 1995. You are not 

required to respond to this collection of 

information unless it displays a valid 

OMB control number. 

PART 4284—GRANTS 

■ 7. The authority citation for part 4284 

continues to read as follows: 

Authority: 5 U.S.C. 301 and 7 U.S.C. 1989. 

Subpart F also issued under 7 U.S.C 

1932(e). 

Subpart G also issued under 7 U.S.C 

1926(a)(11). 

Subpart J also issued under 7 U.S.C 1621 

note. 

Subpart K also issued under 7 U.S.C. 1621 

note. 

Subpart G—[Removed and Reserved] 

■ 8. Subpart G, consisting of 

§§ 4284.601 through 4284.700, is 

removed and reserved. 

Dated: March 6, 2015. 

Lisa Mensah, 

Under Secretary, Rural Development. 

Dated: March 3, 2015. 

Michael Scuse, 

Under Secretary, Farm and Foreign 

Agricultural Services. 

[FR Doc. 2015–06489 Filed 3–24–15; 8:45 am] 

BILLING CODE 3410–XY–P 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Parts 944, 980, and 999 

[Doc. No. AMS–FV–14–0093; FV15–944/980/ 

999–1 IR] 

Fruit, Vegetable, and Specialty Crops— 

Import Regulations; Changes to 

Reporting Requirements To Add 

Electronic Form Filing Option 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Interim rule with request for 

comments. 

SUMMARY: This rule changes the 

reporting requirements for commodities 

exempt from import regulations under 

section 608(e) (hereinafter referred to as 

‘‘8e’’) of the Agricultural Marketing 

Agreement Act of 1937 by adding an 

option to electronically file an 

‘‘Importer’s Exempt Commodity Form’’ 

(FV–6 form). These changes are needed 

to bring the import regulations into 

conformance with the current practice 

of filing FV–6 forms electronically using 

the Marketing Order Online System 

(MOLS), an internet-based application 

that was implemented in 2008. This rule 

also changes the import regulations for 

dates and raisins by moving the FV–6 

form-filing procedures for these two 

commodities to the safeguard procedure 

regulations for specialty crops and by 

making other administrative updates. 

These changes to the import regulations 

are also required to support the 

International Trade Data System (ITDS), 

a key White House economic initiative 

that will automate the filing of import 

and export information by the trade. All 

government agencies that are 

participating in the ITDS initiative, 

including AMS, are required by U.S. 

Customs and Border Protection 

(hereinafter referred to as ‘‘CBP’’) to 

make updates to import and export 

regulations to provide for the electronic 

entry of shipment data. 

DATES: Effective March 30, 2015; 

comments received by May 26, 2015 

will be considered prior to issuance of 

a final rule. 

ADDRESSES: Interested persons are 

invited to submit written comments 

concerning this rule. Comments must be 

sent to the Docket Clerk, Marketing 

Order and Agreement Division, Fruit 

and Vegetable Program, AMS, USDA, 

1400 Independence Avenue SW., STOP 

0237, Washington, DC 20250–0237; Fax: 

(202) 720–8938; or Internet: http://

www.regulations.gov. All comments 

should reference the document number 

and the date and page number of this 


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