Federal Register / Vol. 60, No. 104 / Wednesday, May 31, 1995 / Rules and Regulations 28319

Colorado Area III potato producers and

handlers may be classified as small

entities.

The budget of expenses for the 1995-

96 fiscal period was prepared by the

Colorado Potato Administrative

Committee, Northern Colorado Office

(Area III), the agency responsible for

local administration of the marketing

order, and submitted to the Department

for approval. The members of the

Committee are producers and handlers

of Colorado Area III potatoes. They are

familiar with the Committee’s needs and

with the costs for goods and services in

their local area and are thus in a

position to formulate an appropriate

budget. The budget was formulated and

discussed in a public meeting. Thus, all

directly affected persons have had an

opportunity to participate and provide

input.

The assessment rate recommended by

the Committee was derived by dividing

anticipated expenses by expected

shipments of Colorado Area III potatoes.

Because that rate will be applied to

actual shipments, it must be established

at a rate that will provide sufficient

income to pay the Committee’s

expenses.

In Colorado, both a State and a

Federal marketing order operate

simultaneously. The State order

authorizes promotion, including paid

advertising, which the Federal order

does not. All expenses in this category

are financed under the State order. The

jointly operated programs consume

about equal administrative time and the

two orders continue to split

administrative costs equally.

The Committee met on April 13, 1995,

and unanimously recommended a 1995-

96 budget of $27,362.50, $3,037.50 more

than the previous year. Budget items for

the 1995-96 Federal portion of the

administrative budget which have

increased compared to those budgeted

for 1994-95 (in parentheses) are: Audit,

$450 ($400), medical insurance, $685

($620), office equipment, $4,500

($2,000), payroll tax, $902.50 ($880),

Federal meetings, $500 ($400), and $300

for other salary for which no funding

was recommended last year.

The Committee also unanimously

recommended an assessment rate of

$0.02 per hundredweight, the same as

last season. This rate, when applied to

anticipated potato shipments of

1,200,500 hundredweight, will yield

$24,010 in assessment income. This,

along with $1,500 in interest income,

$1,200 in rent from the sublease of

office space to the State inspection

service, and $652.50 from the

Committee’s authorized reserve will be

adequate to cover budgeted expenses.

Funds in the reserve at the end of the

1995-96 fiscal period, estimated at

$35,195, will be within the maximum

permitted by the order of two fiscal

periods’ expenses.

While this action will impose some

additional costs on handlers, the costs

are in the form of uniform assessments

on all handlers. Some of the additional

costs may be passed on to producers.

However, these costs will be offset by

the benefits derived by the operation of

the marketing order. Therefore, the

Administrator of the AMS has

determined that this action will not

have a significant economic impact on

a substantial number of small entities.

After consideration of all relevant

material presented, including the

information and recommendation

submitted by the Committee and other

available information, it is hereby found

that this rule, as hereinafter set forth,

will tend to effectuate the declared

policy of the Act.

Pursuant to 5 U.S.C. 553, it is also

found and determined upon good cause

that it is impracticable, unnecessary,

and contrary to the public interest to

give preliminary notice prior to putting

this rule into effect because: (1) The

Committee needs to have sufficient

funds to pay its expenses which are

incurred on a continuous basis; (2) the

fiscal period begins on July 1, 1995, and

the marketing order requires that the

rate of assessment for the fiscal period

apply to all assessable potatoes handled

during the fiscal period; (3) handlers are

aware of this action which was

unanimously recommended by the

Committee at a public meeting and is

similar to other budget actions issued in

past years; and (4) this interim final rule

provides a 30-day comment period, and

all comments timely received will be

considered prior to finalization of this

rule.

List of Subjects in 7 CFR Part 948

Marketing agreements, Potatoes,

Reporting and recordkeeping

requirements.

For the reasons set forth in the

preamble, 7 CFR part 948 is amended as

follows:

PART 948—IRISH POTATOES GROWN

IN COLORADO

1. The authority citation for 7 CFR

part 948 continues to read as follows:

Authority: 7 U.S.C. 601–674.

2. A new § 948.213 is added to read

as follows:

Note: This section will not appear in the

Code of Federal Regulations.

§ 948.213 Expenses and assessment rate.

Expenses of $27,362.50 by the

Colorado Potato Administrative

Committee, Northern Colorado Office

(Area III) are authorized, and an

assessment rate of $0.02 per

hundredweight of assessable potatoes is

established for the fiscal period ending

June 30, 1996. Unexpended funds may

be carried over as a reserve.

Dated: May 24, 1995.

Sharon Bomer Lauritsen,

Deputy Director, Fruit and Vegetable Division.

[FR Doc. 95–13237 Filed 5–30–95; 8:45 am]

BILLING CODE 3410–02–P

Rural Housing and Community

Development Service

Rural Business and Cooperative

Development Service

Rural Utilities Service

Consolidated Farm Service Agency

7 CFR Parts 1955, 1962, and 1965

Administrative Changes to Provide

Authority to Approve Releases of

Liability in Connection with Voluntary

Liquidations

AGENCIES: Rural Housing and

Community Development Service, Rural

Business and Cooperative Development

Service, Rural Utilities Service, and

Consolidated Farm Service Agency,

USDA.

ACTION: Final rule.

SUMMARY: The Consolidated Farm

Service Agency (CFSA) is the successor

to the Farmers Home Administration

pursuant to Section 226 of the

Department of Agriculture

Reorganization Act of 1994 (Pub. L.

103–354, October 13, 1994). The CFSA

amends its Property Management,

Chattel Property, and Real Property

regulations to conform with changes

made to its debt settlement regulations

in April 1993. These conforming

changes are made to give State Directors

release of liability authority for

borrowers whose total indebtness is less

than one million dollars. The intended

effect is to expedite the processing of

requests from borrowers who are unable

to repay all of their CFSA debts.

EFFECTIVE DATE: May 31, 1995.

FOR FURTHER INFORMATION CONTACT:

Edward R. Yaxley, Jr., Senior Loan

Officer, Farm Credit Programs Loan

Servicing and Property Management

Division, Consolidated Farm Service

Agency, USDA, room 5449, South

Agriculture Building, 14th and

Independence Avenue SW.,
28320 Federal Register / Vol. 60, No. 104 / Wednesday, May 31, 1995 / Rules and Regulations

Washington, DC 20250, telephone (202)

720–4572.

SUPPLEMENTARY INFORMATION:

Classification

This action is not subject to the

provisions of Executive Order 12866

because it involves only internal agency

management and it has no impact on

CFSA borrowers or other members of

the public. This action is not published

for notice and comment under the

Administrative Procedure Act since the

changes only involve internal

processing of documents by CFSA

employees which will expedite the

administrative review process for

releases of liability, permitting more

timely debt relief to CFSA borrowers,

and consequently reducing the Agency’s

portfolio of inactive uncollectible

accounts. It is published so that CFSA

borrowers will be aware of the authority

of State Directors to execute releases

from liability for certain debts.

Paperwork Reduction Act

The information collection

requirements contained in these

regulations 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 057–0109 and

057–0086. This final rule does not

revise or impose any new information

collection requirement from those

previously approved by OMB.

Background

The CFSA amends its Property

Management, Chattel Property, and Real

Property regulations to conform with

changes made to its debt settlement

regulations on April 21, 1993 (58 FR

21344). These conforming changes are

made to give State Directors release of

liability authority for borrowers whose

total indebtness (including principal,

interest and other charges) is less than

one million dollars. This action only

involves internal processing of

documents by CFSA employees which

will expedite the administrative review

process for releases of liability,

permitting more timely debt relief to

CFSA borrowers, and consequently

reducing the Agency’s portfolio of

inactive uncollectible accounts. It is

helpful to CFSA borrowers to know the

authority levels for releases of liability

by State Directors. The procedure for the

release in all cases is set forth in 7 CFR

part 1956, subpart B.

CFSA amends subpart A of part 1955:

(1) Section 1955.10(f)(2) to give State

Directors authority to accept and

process offers to convey real property

when the unsatisfied CFSA indebtness

is less than $1,000,000.

(2) Section 1955.20(b)(2) to give State

Directors authority to accept and

process offers to convey chattel property

when the unsatisfied CFSA indebtness

is less than $1,000,000.

CFSA amends subpart A of part 1962:

(1) Section 1962.34(h) to give State

Directors authority to approve the

transfer and assumption of CFSA

accounts to eligible and ineligible

transferees and release the transferors of

liability when the CFSA debt secured by

chattels minus their market value is less

than $1,000,000.

CFSA amends subpart A of part 1965:

(1) Section 1965.26(f)(5)(ii) to give

State Directors authority to approve

release of liability for borrowers whose

outstanding CFSA debt after a cash sale

of real property is less than $1,000,000.

(2) Section 1965.27(f) to give State

Directors authority to approve the

transfer and assumption of CFSA

accounts to eligible and ineligible

transferees and release the transferors of

liability when the CFSA debt secured by

real property minus its market value is

less than $1,000,000.

Programs Affected

The programs are listed in the Catalog

of Federal Domestic Assistance (CFDA)

under:

10.404 Emergency Loans

10.406 Farm Operating Loans

10.407 Farm Ownership Loans

10.410 Low Income Housing Loans

10.411 Rural Housing Site Loans

10.415 Rural Rental Housing Loans

10.416 Soil and Water Loans

10.417 Very Low-Income Housing Repair

Loans and Grants

Environmental Impact Statement

This document has been reviewed in

accordance with 7 CFR part 1940,

subpart G, ‘‘Environmental Program.’’

CFSA 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 of 1969, Pub.

L. 91–190, an Environmental Impact

Statement is not required.

List of Subjects

7 CFR Part 1955

Foreclosure, Government acquired

property.

7 CFR Part 1962

Crops, Government property,

Livestock, Loan programs—Agriculture,

Rural areas.

7 CFR Part 1965

Foreclosure, Loan programs—

Agriculture, Rural areas.

Therefore, chapter XVIII, title 7, Code

of Federal Regulations is amended as

follows:

PART 1955—PROPERTY

MANAGEMENT

1. The authority citation for part 1955

continues to read as follows:

Authority: 7 U.S.C. 1989; 42 U.S.C. 1480;

5 U.S.C. 301; 7 CFR 2.23 and 2.70.

Subpart A—Liquidation of Loans

Secured by Real Estate and

Acquisition of Real and Chattel

Property

2. Section 1955.10 is amended by

revising the third and the last sentences

of paragraph (f)(2)(ii) to read as follows:

§ 1955.10 Voluntary conveyance of real

property by the borrower to the

Government.

* * * * *

(f) * * *

(2) * * *

(ii) * * * When the Agency debt less

the market value and prior liens is $1

million or more (including principal,

interest and other charges), release of

liability must be approved by the

Administrator or designee; otherwise,

the State Director must approve the

release of liability. All cases requiring a

release of liability will be submitted for

review in accordance with exhibit A of

subpart B of part 1956 of this chapter

(available in any CFSA office).

* * * * *

3. Section 1955.20 is amended by

revising the third sentence of paragraph

(b)(2) to read as follows:

§ 1955.20 Acquisition of chattel property.

* * * * *

(b) * * *

(2) * * * When the Agency debt less

the market value and prior liens is $1

million or more (including principal,

interest and other charges), release of

liability must be approved by the

Administrator or designee; otherwise,

the State Director must approve the

release of liability. * * *

* * * * *

PART 1962—PERSONAL PROPERTY

4. The authority citation for part 1962

continues to read as follows:

Authority: 7 U.S.C. 1989; 42 U.S.C. 1480;

5 U.S.C. 301; 7 CFR 2.23; 7 CFR 2.70.
Federal Register / Vol. 60, No. 104 / Wednesday, May 31, 1995 / Rules and Regulations 28321

Subpart A—Servicing and Liquidation

of Chattel Security

5. Section 1962.34 is amended by

revising the second sentence of

paragraph (h) to read as follows:

§ 1962.34 Transfer of chattel security and

EO property and assumption of debts.

* * * * *

(h) * * * When the Agency debt less

the market value and prior liens is $1

million or more (including principal,

interest and other charges), release of

liability must be approved by the

Administrator or designee; otherwise,

the State Director must approve the

release of liability. * * *

PART 1965—REAL PROPERTY

6. The authority citation for part 1965

continues to read as follows:

Authority: 7 U.S.C. 1989; 42 U.S.C. 1480;

5 U.S.C. 301; 7 CFR 2.23; 7 CFR 2.70.

Subpart A—Servicing of Real Estate

Security for Farmer Program Loans

and Certain Note-Only Cases

7. Section 1965.26 is amended by

revising the first sentence of paragraph

(f)(5)(ii) to read as follows:

§ 1965.26 Liquidation action.

* * * * *

(f) * * *

(5) * * *

(ii) When the Agency debt less the

market value and prior liens is $1

million or more (including principal,

interest and other charges), release of

liability must be approved by the

Administrator or designee; otherwise,

the State Director must approve the

release of liability. * * *

* * * * *

8. Section 1965.27 is amended by

revising the second sentence of

paragraph (f) to read as follows:

§ 1965.27 Transfer of real estate security.

* * * * *

(f) * * * When the Agency debt less

the market value and prior liens is $1

million or more (including principal,

interest and other charges), release of

liability must be approved by the

Administrator or designee; otherwise,

the State Director must approve the

release of liability. * * *

* * * * *

Dated: May 3, 1995.

Eugene Moos,

Under Secretary, Farm and Foreign

Agricultural Services.

Dated: May 3, 1995.

Michael V. Dunn,

Acting Under Secretary, Rural Economic and

Community Development.

[FR Doc. 95–13243 Filed 5–30–95; 8:45 am]

BILLING CODE 3410–07–V

7 CFR Part 1956

Reporting Discharged Debts to the

Internal Revenue Service

AGENCIES: Rural Housing and

Community Development Service, Rural

Business and Cooperative Development

Service, Rural Utilities Service, and

Consolidated Farm Service Agency,

USDA.

ACTION: Final rule.

SUMMARY: The Rural Housing and

Community Development Service

(RHCDS), Rural Business and

Cooperative Development Service

(RBCDS), Rural Utilities Service (RUS),

and Consolidated Farm Service Agency

(CFSA), amends their debt settlement

regulations. The intended effect is to

remove debt settlement regulations

concerning the Internal Revenue Service

(IRS) requirement that certain agency

discharges of indebtedness be reported

to the IRS. This action is necessary to

remove strictly internal procedural

requirements from the debt settlement

regulation.

EFFECTIVE DATE: May 31, 1995.

FOR FURTHER INFORMATION CONTACT:

Debra A. Deters, Accountant, Operations

Division, Rural Housing and

Community Development Service,

USDA, Finance Office, Room 3529, 1520

Market Street, St. Louis, Missouri

63103, Telephone (314) 539–2492.

SUPPLEMENTARY INFORMATION:

Classification

This final rule has been determined to

be not-significant for purposes of

Executive Order 12866 because it has no

adverse impact on borrowers or other

members of the public and involves

only internal Agency management.

Since this rule relates only to internal

agency procedures, notice of proposed

rulemaking and opportunity for

comment are not required. For the same

reason, this rule is exempt from the

provisions of Executive Order No.

12778, 56 FR 55195 (1991), and the

Regulatory Flexibility Act, Pub. L. No.

96–354. This rule is being made

effective immediately upon publication

in the Federal Register since it concerns

internal management and public loans,

grants, benefits, or contracts. These

subjects are exempted from 5 U.S.C. 553

requirements. The Agencies are

amending their debt settlement

regulations to remove internal

procedures for reporting discharges of

indebtedness to the Internal Revenue

Service (IRS). These procedures will be

covered by internal instructions

consistent with IRS policy.

Paperwork Reduction Act

The information collection

requirements contained in these

regulations have been previously

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 0575–

0118 and 0575–0124 in accordance with

the Paperwork Reduction Act of 1980

(44 U.S.C. 3507). This rule does not

revise or impose any new information

collection requirement from those

approved by OMB.

Environmental Impact Statement

This document has been reviewed in

accordance with 7 CFR part 1940,

subpart G, ‘‘Environmental Program.’’ It

is the determination of RHCDS, RBCDS,

RUS, and CFSA 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 of 1969, Pub. L. 91–190, an

Environmental Impact Statement is not

required.

Intergovernmental Consultation

1. This activity is not subject to

Executive Order (EO) 12372 which

requires intergovernmental consultation

with State and local officials and is not

listed in the Catalog of Federal Domestic

Assistance, however, affected programs

10.411, 10.416, and 10.437 are subject to

the provisions of EO 12372.

Program Affected

These changes affect the following

USDA programs listed in the Catalog of

Federal Domestic Assistance under

numbers:

10.404 Emergency Loans

10.406 Farm Operating Loans

10.407 Farm Ownership Loans

10.411 Rural Housing Site