3256 Federal Register / Vol. 63, No. 14 /Thursday, January 22, 1998 /Rules and Regulations

DEPARTMENT OF AGRICULTURE

Rural Housing Service

Rural Business-Cooperative Service

Rural Utilities Service

Farm Service Agency

7 CFR Part 2003

Functional Organization of the Rural

Development Mission Area; Correction

AGENCIES: Rural Housing Service; Rural

Business-Cooperative Service; Rural

Utilities Service; Farm Service Agency;

USDA.

ACTION: Final rule; correcting

amendments.

SUMMARY: This document contains

corrections to the final regulations

which were published Wednesday,

December 24, 1997 (62 FR 67258–65).

The regulations provided the function

statements for organizational units

within the Rural Development mission

area, the Rural Housing Service, Rural

Business-Cooperative Service, and the

Rural Utilities Service.

EFFECTIVE DATE: January 22, 1998.

FOR FURTHER INFORMATION CONTACT:

Timothy J. Ryan, Assistant

Administrator for Human Resources,

Rural Development, STOP 0730, 1400

Independence Avenue, SW.,

Washington, D.C. 20250–0730;

Telephone: (202) 690–9860.

SUPPLEMENTARY INFORMATION:

Background

The final regulations that are the

subject of these corrections amend the

issuing agencies regulations to reflect

the reorganization of the Department of

Agriculture. The Department of

Agriculture Reorganization Act of 1994

(Pub. L. 103–354)(1994 Act), enacted on

October 13, 1994, abolished the Farmers

Home Administration (FmHA). The

Office of the Assistant Administrator,

Farm Loan Programs, and all of its

subordinate organizational units have

been transferred to the Farm Service

Agency (FSA). The remainder of the

FmHA organizational units have been

transferred in accordance with the 1994

Act to one of the following newly

created agencies which make up the

Rural Development mission area (Rural

Development): the Rural Housing

Service, the Rural Business-Cooperative

Service, and the Rural Utilities Service.

The Rural Utilities Service also includes

the organizational units of the former

Rural Electrification Administration.

The rule only covers the Rural

Development agencies.

Need for Correction

As published, the final regulations

contain errors which may cause

inconvenience and confusion for the

public.

List of Subjects in 7 CFR Part 2003

Organizations and functions

(government agencies).

PART 2003—ORGANIZATION

Accordingly, 7 CFR part 2003 is

corrected by making the following

correcting amendments:

1. The authority citation for Part 2003

continues to read as follows:

Authority: 5 U.S.C. 301, 7 U.S.C. 901 et

seq., 7 U.S.C. 1989, 7 U.S.C. 6941 et seq., 42

U.S.C. 1480 et seq.

§ 2003.10 [Corrected]

2. In the table in § 2003.10(c) the

location for the USDA Rural

Development State Office in Texas is

revised to read ‘‘Temple, TX’’.

3. In the table in § 2003.10(c) after the

entry for Texas, an additional State

entry is added to read ‘‘Utah’’, and an

additional location entry is added to

read ‘‘Salt Lake City, UT’’.

Dated: January 14, 1998.

Jill Long Thompson,

Under Secretary, Rural Development.

[FR Doc. 98–1512 Filed 1–21–98; 8:45 am]

BILLING CODE 3410–XT–P

DEPARTMENT OF THE TREASURY

Internal Revenue Service

26 CFR Part 1

[TD 8757]

RIN 1545–AV46

Obligations of States and Political

Subdivisions

AGENCY: Internal Revenue Service (IRS),

Treasury.

ACTION: Final and temporary

regulations.

SUMMARY: This document contains final

and temporary regulations that provide

guidance to state and local governments

that issue bonds for output facilities.

This document also contains temporary

regulations that provide guidance to

certain nongovernmental persons that

are engaged in the local furnishing of

electric energy or gas using facilities

financed with state or local government

bonds. These temporary regulations

reflect changes made by the Tax Reform

Act of 1986 and the Small Business Job

Protection Act of 1996. The temporary

regulations will affect State and local

government issuers of obligations and

nongovernmental persons engaged in

the local furnishing of electric energy or

gas after the effective date of these

regulations.

The text of these temporary

regulations also serves as the text of the

proposed regulations set forth in the

notice of proposed rulemaking on this

subject in the Proposed Rules section of

this issue of the Federal Register.

DATES: These regulations are effective

January 22, 1998.

For dates of applicability, see

§§ 1.141–15T, 1.142(f)(4)–1T(g), and

1.150–5T(b) of these regulations.

FOR FURTHER INFORMATION CONTACT:

Concerning the regulations, Allan Seller

(202) 622–3980 (not a toll-free number).

SUPPLEMENTARY INFORMATION:

Background

This document amends the Income

Tax Regulations (26 CFR part 1) under

section 141 by providing special rules

for state and local bonds issued for

output facilities. This document also

amends the Income Tax Regulations

under section 142(f)(4) by providing

rules for nongovernmental persons

engaged in local furnishing of electric

energy or gas using facilities financed

with state or local bonds to make the

election provided in that section.

Proposed regulations §§ 1.141–7 and

1.141–8, published on December 30,

1994, (59 FR 67658) addressed the

application of the private activity bond

tests under section 141(b)(2) to output

contracts for output facilities and the

application of the $15 million limit

under section 141(b)(4) to output facility

financings. These sections (the 1994

proposed output regulations) are

withdrawn. Public comments submitted

on the 1994 proposed output

regulations, however, have been taken

into account in formulating these

temporary regulations.

Explanation of Provisions

A. Section 1.141–7T Special Rules for

Output Facilities

1. Basis for Special Rules for Output

Facilities

The 1994 proposed output regulations

contain special rules for applying the

private business tests to output

contracts. Among the reasons for special

rules for output facilities are that

governmentally-owned utilities are

often under an open-ended obligation to

assure service to their customers and

that general public customers are

ordinarily required to make continuing

payments for service. Output facilities

also require special rules because the