1570 Federal Register / Vol. 66, No. 6 / Tuesday, January 9, 2001 / Rules and Regulations

DEPARTMENT OF AGRICULTURE

Farm Service Agency

Rural Housing Service

Rural Business-Cooperative Service

Rural Utilities Service

7 CFR Parts 1910 and 1941

RIN 0560–AF71

Implementation of Low-Documentation

Direct Operating Loan (Lo-Doc)

Regulations

AGENCIES: Farm Service Agency, Rural

Business-Cooperative Service, Rural

Housing Service and Rural Utilities

Service, USDA.

ACTION: Interim rule with request for

comments.

SUMMARY: This rule amends the

regulations governing the Farm Service

Agency’s direct operating loan (OL)

program by simplifying the application

process for certain farmers requesting

assistance of $50,000 or less and for

certain recurring OL applicants. By

making FSA’s direct OL program

application process more consistent

with standard industry practices, loan

processing will be more efficient and

less time consuming. This will decrease

the time-frame for family-size farmers to

receive their credit, thereby allowing

them to conduct their farming

operations in a more timely manner.

DATES: Effective January 9, 2001.

Comments on this rule and the

information collections must be

received on or before March 12, 2001 to

be given full consideration.

ADDRESSES: Submit written comments

to the Farm Service Agency, U.S.

Department of Agriculture, Farm Loan

Programs Loan Making Division,

Attention: Director, Room 5438-S, 1400

Independence Avenue, SW, STOP 0522,

Washington, DC 20250–0522. All

written comments received in

connection with this rule will be

available for public inspection 8:15

a.m.–4:45 p.m., Eastern Standard Time,

except holidays, at 1400 Independence

Avenue, SW, Washington, DC 20250–

0522.

FOR FURTHER INFORMATION CONTACT:

Michael Hinton, Branch Chief, Farm

Service Agency; telephone: 202–720–

1472; Facsimile: 202–690–1117; E-mail:

Mike—Hinton@wdc.fsa.usda.gov.

SUPPLEMENTARY INFORMATION:

Executive Order 12866

This rule has been determined to be

significant and was reviewed by the

Office of Management and Budget under

Executive Order 12866.

Regulatory Flexibility Act

This rule will not have a significant

economic impact on a substantial

number of small entities as defined in

the Regulatory Flexibility Act, Public

Law 96–534, as amended (5 U.S.C. 601)

and does not impact small entities to a

greater extent than large entities. Large

entities are subject to these rules to the

same extent as small entities. Therefore,

a regulatory flexibility analysis was not

performed.

Environmental Impact Statement

It is the determination of the issuing

agency that this action is not a major

Federal action significantly affecting the

environment. Therefore, in accordance

with the National Environmental Policy

Act of 1969, Public Law 91–190, and 7

CFR part 1940, subpart G, an

Environmental Impact Statement is not

required.

Executive Order 12988

This rule has been reviewed in

accordance with E.O. 12988, Civil

Justice Reform. In accordance with this

rule: (1) All State and local laws and

regulations that are in conflict with this

rule will be preempted; (2) no

retroactive effect will be given to this

rule; and (3) administrative proceedings

in accordance with 7 CFR parts 11 and

780 must be exhausted before bringing

suit in court challenging action taken

under this rule unless those regulations

specifically allow bringing suit at an

earlier time.

Executive Order 12372

For reasons set forth in the Notice to

7 CFR part 3015, subpart V (48 FR

29115, June 24, 1983,) the programs and

activities within this rule are excluded

from the scope of Executive Order

12372, which requires

intergovernmental consultation with

State and local officials.

Unfunded Mandates

Title II of the Unfunded Mandates

Reform Act of 1995 (UMRA), Public

Law 104–4, requires Federal agencies to

assess the effects of their regulatory

actions on state, local, and tribal

governments or the private sector.

Agencies generally must prepare a

written statement, including a cost

benefit analysis, for proposed and final

rules with ‘‘Federal mandates’’ that may

result in expenditures of $100 million or

more in any 1 year for State, local, or

tribal governments, in the aggregate, or

to the private sector. UMRA generally

requires agencies to consider

alternatives and adopt the more cost

effective or least burdensome alternative

that achieves the objectives of the rule.

The rule contains no Federal

mandates, as defined under title II of the

UMRA, 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

UMRA.

Executive Order 13132

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 the States

is not required.

Paperwork Reduction Act

This interim rule does not impose any

new information collection or

recordkeeping requirements; however,

the provisions of the rule do eliminate

the need for some information

previously collected and result in a

revision to the number of estimated

respondents from whom information

will be collected. Therefore, the Agency

is revising the information collection

currently approved in support of the

Direct Operating Loan program under

the Office of Management and Budget

(OMB) control number 0560–0178. OMB

emergency clearance has been obtained

to allow continued use of the affected

regulations and forms under OMB

control number 0560–0178.

SUPPLEMENTARY INFORMATION:

Title: Receiving and Processing

Applications.

OMB Control Number: 0560–0178.

Expiration Date of Approval: April 30,

2000.

Type of Request: Revision and

Extension of Currently Approved

Information Collection.

Abstract: The information collected

under OMB Control Number 0560–0178

is used in processing applications for

direct FLP loans. Specifically, the

Agency uses the information in making

eligibility and financial feasibility

determinations for direct operating,

farm ownership, and emergency loans,

as authorized under the Consolidated

Farm and Rural Development Act. The

specific information collected is

business and entity supporting

documentation on organizational

structure and financial information,

Federal Register / Vol. 66, No. 6 / Tuesday, January 9, 2001 / Rules and Regulations 1571

documentation of farm experience and

training, verification that the applicant

is unable to obtain credit elsewhere,

historical financial and production

records, and copies of any lease

agreements or legal descriptions of real

estate they own. The Lo-Doc application

process will decrease collections

required from applicants requesting

operating loans of $50,000 or less, or

recurring annual operating loans. LoDoc will decrease the burden on both

FSA employees and customers.

Specifically, for Lo-Doc application

processing only the entity supporting

documentation information from this

collection may be required.

Estimate of Burden: Public reporting

burden for this collection of information

is estimated to average 1.7 hours per

response.

Respondents: Individuals or

households, businesses or other for

profit, and farms.

Estimated Number of Respondents:

34,970.

Estimated Number of Responses:

73,708.

Estimated Total Annual Burden on

Respondents: 119,412.

Comments are sought on these

requirements including: (a) Whether the

collection of information is necessary

for the proper performance of the

functions of the agency, including

whether the information will have

practical utility, (b) the accuracy of the

agency’s estimate of burden including

the validity of the methodology and

assumptions used; (c) ways to enhance

the quality, utility and clarity of the

information to be collected; (d) ways to

minimize the burden of the collection of

information on those who are to

respond, including through the use of

appropriate automated, electronic,

mechanical, or other technological

collections techniques or other forms of

information technology.

These comments should be sent to the

Desk Officer for Agriculture, Office of

Information and Regulatory Affairs,

Office of Management and Budget,

Washington, DC 20503 and to Michael

Hinton, USDA, FSA, Farm Loan

Programs, Loan Making Division, 1400

Independence Avenue, SW, STOP 0522,

Washington DC 20250–0522. Comments

regarding paperwork burden will be

summarized and included in the request

for OMB approval of the information

collection. All comments will also

become a matter of public record.

Discussion of the Interim Rule

Stress in the farm economy has

significantly increased demand for FSA

farm loans. The Agency must take steps

to focus resources on larger, more

complex cases that pose the highest risk

to the government. The changes in

documentation requirements will

reduce the time for loan officials to

review application information and

make the necessary determinations.

Decreasing the time required for FSA

employees to reach both eligibility and

feasibility determinations on lower risk

loans increases the time available to

concentrate on larger, higher risk loan

applicants.

In fiscal year 1999, FSA made more

than 16,000 direct OL’s to farmers for a

total of nearly $800 million. According

to recent studies of FSA offices

nationwide, the average FSA OL

applicant expends 14.05 hours to

complete the application to be

submitted to FSA. Once this complete

application is submitted to FSA another

39.55 hours is expended by FSA

employees to reach both eligibility and

feasibility determinations on each OL

application.

Approximately 10,500, or 65 percent,

of these applications are for loans of

$50,000 or less. This group of applicants

represents only 26 percent of the total

direct OL dollars loaned in fiscal year

1999 and only 20 percent of the total

FSA direct OL delinquency in dollars.

These figures reflect the substantially

lower risk involved with FSA direct

OL’s under $50,000 as compared to

those FSA loans above this amount. The

Lo-Doc loan regulations will primarily

affect this group of FSA current and

potential customers.

Reducing the application burden on

both potential FSA customers and FSA

employees will result in more timely

assistance, so applicants will receive

their FSA operating funds earlier in the

production year. The most critical time

period for farming operations

nationwide is from pre-planting through

planting seasons. This is also the peak

demand period for operating capital in

many types of farming operations.

Without this proposed reduction in the

application process many farmers

would receive assistance so late in the

year their production would be

adversely affected, or they would

otherwise go without credit for an

extended period of time. For two years

the farm economy has been in a

continuing state of crisis due to excess

supplies, weak foreign markets, and

regional weather disasters. With the

current financial difficulties facing

agriculture, it is imperative that

producers receive operating credit early

in the spring season. Historical records

reflect that the Agency approves the

majority of OL’s in the months of March

and April. In order to meet the needs of

farmers, the Agency is publishing this

rule as an interim rule effective on date

of publication. A delayed effective date,

or publication of a proposed rule would

adversely impact farmers as Lo-Doc

OL’s would not be available for the

current operating season. Farmers

eligible for FSA farm loans are unable

to obtain credit elsewhere at reasonable

rates and terms. Therefore, the Lo-Doc

program needs to be effective upon

publication. FSA, however, will accept

comments for a 60 day comment period

after publication to determine if the

program should be subsequently

modified.

General Changes

FSA is revising its direct OL program

regulations to reduce the application

requirements for certain operating loan

requests of $50,000 or less and for

certain annual OL requests from

recurring applicants.

Under current regulations, the

application requirements are the same

for all OL requests regardless of the

amount of the loan or whether it is an

initial or subsequent loan for the

applicant. For example, an applicant

requesting an OL of $5,000 is required

to submit the same amount of

information as an applicant requesting a

$200,000 OL. An FSA customer who has

received several OL loans is required to

submit the same information as a new

applicant requesting an initial OL. This

excess paperwork is time-consuming for

both the farmer and the FSA employee,

who could be helping less experienced

farmers whose loans pose a higher risk

to the Government. Less experienced

farmers normally need more personal

attention to make financial progress and

be successful in graduating to

commercial credit.

Loan applicants and Agency field

personnel have identified several

application requirements that are

repetitive or do not significantly

contribute to the Agency’s ability to

make a credit decision, such as always

requiring verifications of employment

and verifying the same debt in

numerous ways. The Agency is

amending its regulation to eliminate

requirements that are repetitive or do

not contribute significantly to a sound

credit decision in light of the financial

risk involved.

In addition, application requirements

and loan purpose requirements are

being amended as follows:

Application Requirements

Certain loan applicants submitting

requests for operating loans of $50,000

or less will only be required to submit

the following: a signed and dated FSA

410–1, ‘‘Request for Direct Loan

1572 Federal Register / Vol. 66, No. 6 / Tuesday, January 9, 2001 / Rules and Regulations

Assistance,’’ a check or money order for

credit report and lien filing fees, a Farm

and Home Plan for the next operating

cycle, acreage and lease information,

and conservation compliance

information. Additionally, applicants

which are entities will be required to

submit a list of owners, personal

financial statements from the owners,

and copies of the entities legal

documents.

The FSA 440–32,‘‘Statement of Debts

and Collateral’’ form will no longer be

required because several weeks often

pass before creditors return them to

FSA, thereby increasing the time

required for determination of feasibility.

Most of the information supplied by

creditors on this form can be obtained

by FSA from credit reports. The

required use of the verification of

employment form will also be

eliminated. Employment, salary, and

wage information is quickly and easily

verified by credit reports, current

payroll statements or IRS Forms W–2.

Certain recurring applicants

requesting annual OL assistance will be

required to submit a signed and dated

FSA 410–1, a check or money order for

credit report and lien filing fees, a Farm

and Home Plan for the next operating

cycle, and any information that has

changed from the previous loan

application, including acreage and lease

information, and conservation

compliance documentation.

For all applicants who apply under

the Lo-Doc process, the Agency reserves

the right to request additional

information that would be required of a

loan applicant under the normal

process. The Agency will not require

information beyond Lo-Doc

requirements as a matter of course, but

will request supporting documentation

when information submitted deviates

from local norms, conflicts with other

available information, or otherwise

creates the need for further

documentation.

Qualification Requirements

Lo-Doc applicants requesting a loan of

$50,000 or less must meet current

eligibility requirements for FSA direct

OL’s listed in section 1941.12. In

addition, the applicant must be current

on all loan payments to FSA and all

other creditors, must not have received

primary loan servicing or disaster setaside on any FSA debt within the past

5 years, and must owe FSA less than

$100,000, including the new loan. These

additional requirements are necessary to

sufficiently lower the risk from an FSA

credit standpoint to make a sound credit

decision based on the reduced

documentation.

Lo-Doc applicants requesting a

recurring annual OL assistance must

meet all current eligibility requirements

for FSA direct operating loans as listed

in § 1941.12 and, must have at least 2

years of annual OL history with FSA

where the loans were timely repaid, be

current on payments to all other

creditors, and have not received primary

loan servicing or disaster set-aside on

any FSA debt within the past 5 years.

Applicants who cannot meet the

criteria for these new application

procedures may receive a regular OL

provided they meet the current

requirements in § 1941.12.

Loan Purposes

Lo-Doc OL’s for $50,000 or less can be

used for any authorized operating

expense allowed in § 1941.16, except

paragraph (i) for refinancing debts. This

limitation is necessary because the need

for refinancing is an indication of

financial stress and, thus, a greater

credit risk than other OL loan purposes.

The Agency must perform additional

analysis on those cases to help

borrowers become successful and better

understand the risk associated with

each request.

Lo-Doc OL’s issued to recurring

applicants requesting annual OL

assistance can only be used for any

authorized annual operating expense

allowed in paragraphs (c) and (h) of

§ 1941.16. Because these applicants

have demonstrated that they are good

operators who have repaid their annual

operating loans, the Agency is reducing

the paperwork requirements for them to

obtain subsequent annual operating

credit. Also, if they want operating

credit for purposes other than annual

operating they may qualify for the LoDoc OL under $50,000 loan purposes.

For applicants that do not qualify under

either of the Lo-Doc programs, the

Agency feels that there is sufficient risk

to warrant the Agency’s continued

collection of the same application

materials currently required.

List of Subjects

7 CFR Part 1910

Agriculture, Credit, Loan programshousing and community development,

Low and moderate income housing, Sex

discrimination.

7 CFR Part 1941

Agriculture, Crops, Livestock, Loan

programs-rural areas, Youth.

Accordingly, 7 CFR chapter XVIII is

amended as follows:

PART 1910—GENERAL

1. The authority citation for part 1910

continues to read as follows:

Authority: 5 U.S.C. 301; 7 U.S.C. 1989; 42

U.S.C. 1480.

Subpart A—Receiving and Processing

Applications

2. Amend § 1910.1 to add a new

paragraph (f) to read as follows:

§ 1910.1 General.

* * * * *

(f) As used in this subpart, the

abbreviation ‘‘Lo-Doc’’ means LowDocumentation and the abbreviation

‘‘OL’’ means Operating Loan.

3. Amend § 1910.4 as follows:

a. Revise the third sentence from the

end of paragraph (b);

b. Redesignate paragraphs (c) through

(k) as paragraphs (d) through (l); and

c. Add a new paragraph (c).

The addition and the revision read as

follows:

§ 1910.4 Processing Applications.

* * * * *

(b) * * * A complete Farm Loan

Programs application requires

fulfillment of both the applicant and

FSA responsibilities, except as provided

in paragraph (c) of this section. ***

(c) Low-Documentation (Lo-Doc)

Operating Loans:

(1) To qualify for loan processing

under Lo-Doc provisions, an applicant

must:

(i) Be current on all payments to all

creditors including FSA (if an FSA

borrower);

(ii) Have not received primary loan

servicing or disaster set-aside on any

FSA debt within the past 5 years; and

(iii) Meet one of the following criteria:

(A) The loan requested is $50,000 or

less and the total outstanding FSA

operating loan debt at the time of loan

closing will be less than $100,000; or

(B) The loan is requested to pay

annual operating expenses and the

applicant is an existing FSA borrower

who has received and repaid as

scheduled, at least two previous annual

operating loans from the agency.

(2) A complete Lo-Doc OL application

will consist of the items listed in

paragraphs (b)(1), (b)(2), (b)(9), (b)(10),

and (b)(16) of this section. The Agency

may require a Lo-Doc applicant to

submit any other information listed

under paragraph (b) of this section as

needed to make a determination on the

loan application.

* * * * *

Federal Register / Vol. 66, No. 6 / Tuesday, January 9, 2001 / Rules and Regulations 1573

PART 1941—OPERATING LOANS

4. The authority citation for part 1941

continues to read as follows:

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

Subpart A—Operating Loan Policies,

Procedures, and Authorizations.

5. Revise the introductory paragraph

of § 1941.16 to read as follows:

§ 1941.16 Loan purposes.

An applicant who obtained a writedown under direct or guaranteed loan

authorities is restricted to the purposes

listed under paragraphs (c), (g), and (h)

of this section. An applicant who

qualifies for a Low-Documentation

operating loan under

§ 1910.4(c)(1)(iii)(A) of subpart A of part

1910 may use loan funds for all

authorized loan purposes except

paragraph (i) of this section. An

applicant who qualifies for a Lo-Doc

loan under § 1910.4(c)(1)(iii)(B) 7 CFR

may only use the loan funds for

purposes listed under paragraphs (c)

and (h) of this section. All other eligible

applicants may request OL funds for any

of the following purposes:

* * * * *

Signed in Washington, D.C., on December

21, 2000.

August Schumacher,

Under Secretary for Farm and Foreign

Agricultural Services.

[FR Doc. 01–101 Filed 1–8–01; 8:45 am]

BILLING CODE 3410–05–U

NUCLEAR REGULATORY

COMMISSION

10 CFR Parts 34, 36, and 39

RIN 3150–AG21

New Dosimetry Technology;

Confirmation of Effective Date

AGENCY: Nuclear Regulatory

Commission.

ACTION: Direct final rule; confirmation of

effective date.

SUMMARY: The Nuclear Regulatory

Commission (NRC) is confirming the

effective date of January 8, 2001, for the

direct final rule that appeared in the

Federal Register of October 24, 2000 (65

FR 63750). This direct final rule

amended the NRC’s regulations that

govern radiological safety to allow

licensees to use any type of personnel

dosimeter that requires processing to

determine the radiation dose, provided

that the processor of the dosimeter is

accredited under the National Voluntary

Laboratory Accreditation Program

(NVLAP), operated by the National

Institutes of Standards and Technology.

DATES: The effective date of January 8,

2001, is confirmed for this direct final

rule.

ADDRESSES: Documents related to this

rulemaking, including comments

received, may be examined at the NRC

Public Document Room, 11555

Rockville Pike, Rockville, MD. These

same documents may also be viewed

and downloaded electronically via the

rulemaking website (http://

ruleforum.llnl.gov). For information

about the interactive rulemaking

website, contact Ms. Carol Gallagher

(301) 415–5905; e-mail CAG@nrc.gov.

FOR FURTHER INFORMATION CONTACT:

Betty Ann Torres, Office of Nuclear

Material Safety and Safeguards, U.S.

Nuclear Regulatory Commission,

Washington, DC 20555. Telephone (301)

415–0191 (E-mail: bat@nrc.gov).

SUPPLEMENTARY INFORMATION: On

October 24, 2000 (65 FR 63750), the

NRC published in the Federal Register

a direct final rule amending its

regulations to allow licensees to use any

type of personnel dosimeter that is

processed by an accredited NVLAP

processor. In the direct final rule, the

NRC stated that if no significant adverse

comments were received, the direct

final rule would become final on the

date noted above. The NRC did not

receive any comments that warranted

withdrawal of this direct final rule.

Therefore, this rule will become

effective as scheduled.

Dated at Rockville, Maryland, this 3rd day

of January, 2001.

For the Nuclear Regulatory Commission.

Michael T. Lesar,

Acting Chief, Rules and Directives Branch,

Division of Administration Services, Office

of Administration.

[FR Doc. 01–600 Filed 1–8–01; 8:45 am]

BILLING CODE 7590–01–P

NUCLEAR REGULATORY

COMMISSION

10 CFR Part 72

RIN 3150–AG58

List of Approved Spent Fuel Storage

Casks: HI–STAR 100 Revision;

Confirmation of Effective Date

AGENCY: Nuclear Regulatory

Commission.

ACTION: Direct final rule; confirmation of

effective date.

SUMMARY: The Nuclear Regulatory

Commission (NRC) is confirming the

effective date of December 26, 2000, for

the direct final rule that appeared in the

Federal Register of October 11, 2000 (65

FR 60339). This direct final rule

amended the NRC’s regulations on the

HI–STAR 100 cask system in seven

areas and includes changes to the

Certificate of Compliance and Technical

Specifications. The seven areas involve:

revision of the existing fuel

specification tables; addition of

pressurized water reactor Burnable

Poison Rod Assemblies and Thimble

Plug Devices; addition of two new

classes of fuel to the fuel specification

tables; addition of a new damaged fuel

container; addition of thoria rods in

canisters; addition of antimonyberyllium neutron sources [i.e., reactor

startup sources], and clarifications,

editorial corrections, and other minor

changes to cask design information and

drawings. In addition, the amendment

includes two minor changes to HI–

STAR 100 listing in the regulations.

This document confirms the effective

date.

DATES: The effective date of December

26, 2000 is confirmed for this direct

final rule.

ADDRESSES: Documents related to this

rulemaking, including comments

received, may be examined at the NRC

Public Document Room, 11555

Rockville Pike, Rockville, MD. These

same documents may also be viewed

and downloaded electronically via the

rulemaking website (http://

ruleforum.llnl.gov). For information

about the interactive rulemaking

website, contact Ms. Carol Gallagher

(301) 415–5905; e-mail CAG@nrc.gov.

FOR FURTHER INFORMATION CONTACT:

Gordon Gundersen, Office of Nuclear

Material Safety and Safeguards, U.S.

Nuclear Regulatory Commission,

Washington, DC 20555. Telephone (301)

415–6195 (E-mail: GEG1@nrc.gov).

SUPPLEMENTARY INFORMATION: On

October 11, 2000 (65 FR 60339), the

NRC published in the Federal Register

a direct final rule amending its

regulations in 10 CFR 72 on the HI–

STAR 100 cask system in seven areas

and includes changes to the Certificate

of Compliance and Technical

Specifications. The seven areas involve:

revision of the existing fuel

specification tables; addition of

pressurized water reactor Burnable

Poison Rod Assemblies and Thimble

Plug Devices; addition of two new

classes of fuel to the fuel specification

tables; addition of a new damaged fuel

container; addition of thoria rods in

canisters; addition of antimonyberyllium neutron sources [i.e., reactor

startup sources], and clarifications,