Integration of National Bank and Federal Savings Association Regulations: Licensing Rules, 34039-34043 [C2-2015-11229]
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Federal Register / Vol. 80, No. 114 / Monday, June 15, 2015 / Rules and Regulations
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analyzed by a third-party, ISO 9001
conformant, testing entity for
determination of the biobased content.
In situations where a new product for
which certification is sought is
composed of the same biobased
ingredients and has the same biobased
content as a product that has already
been certified, the manufacturer may, in
lieu of having the new product tested,
self-declare the biobased content of the
new product by referencing the tested
biobased content of the original certified
product. Certification of the original
product must have been obtained by
either the manufacturer of the new
product or by the supplier of the
biobased ingredients used in the new
product.
(c) * * * Paragraph (c)(5) of this
section presents the procedures for
revising the information provided under
paragraphs (c)(1) through (4) of this
section after a notice of certification has
been issued.
*
*
*
*
*
(5) If at any time, during the
application process or after a product
has been certified, any of the
information specified in paragraphs
(c)(1) through (4) of this section
changes, the applicant must notify
USDA of the change within 30 days.
Such notification must be provided in
writing to USDA.
(d) * * *
(1) The effective date of certification
is the date on which the applicant
receives a notice of certification from
USDA. Except as specified in
paragraphs (d)(2)(i) through (d)(2)(v) of
this section, certifications will remain in
effect as long as the product is
manufactured and marketed in
accordance with the approved
application and the requirements of this
subpart.
(2) * * *
(iv) All certifications are subject to
USDA periodic auditing activities, as
described in § 3202.10(d). If a
manufacturer or vendor of a certified
biobased product fails to participate in
such audit activities or if such audit
activities reveal biobased content
violations, as specified in § 3202.8(b)(1),
the certification will be subject to
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suspension and revocation according to
the procedures specified in § 3202.8(c).
(v) If USDA discovers that a
certification has been issued for an
ineligible biobased product as a result of
errors on the part of USDA during the
approval process, USDA will notify the
product’s manufacturer or vendor in
writing that the certification is revoked
effective 30 days from the date of the
notice.
■ 5. Section 3202.8 is amended by
revising paragraph (c)(3) to read as
follows:
§ 3202.8
Violations.
*
*
*
*
*
(c) * * *
(3) Other remedies. In addition to the
suspension or revocation of the
certification to use the label, depending
on the nature of the violation, USDA
may pursue suspension or debarment of
the entities involved in accordance with
2 CFR part 417 and 48 CFR subpart 9.4.
USDA further reserves the right to
pursue any other remedies available by
law, including any civil or criminal
remedies, against any entity that
violates the provisions of this part.
■ 6. Section 3202.10 is amended by
adding paragraph (d) to read as follows:
§ 3202.10
Oversight and monitoring.
*
*
*
*
*
(d) Audits. USDA expects to conduct
audits of the voluntary labeling program
on an ongoing basis with audit activities
conducted every other calendar year (biannually). Audit activities will include
three stages and will be conducted in
sequential order as follows:
(1) Stage 1 auditing includes
contacting all participants via email and
requesting that they complete a
‘‘Declaration of Conformance Form.’’
Program participants are asked to
confirm that they still manufacture the
product and that the formulation and
manufacturing processes remain the
same. Participants are also asked to list
all active products and advise the USDA
of any complaints regarding the claim of
the biobased content. The first Stage 1
auditing activity was completed in 2012
and the second Stage 1 audit will be
conducted in 2018.
(2) Stage 2 auditing consists of a
random sampling of certified products
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34039
to confirm the accuracy of biobased
content percentages claimed. The
participants whose products are
selected will be required to submit
product samples to be tested by
independent testing labs at USDA
expense. The first Stage 2 auditing
activity began in 2014 and is scheduled
to be completed during 2015 and the
second Stage 2 audit will be conducted
in 2020.
(3) Stage 3 auditing requires
manufacturers of products that have
been certified for 5 years or more to
have their products re-tested at their
expense to confirm that the biobased
content remains at or above the level at
which the product was originally
certified. The first Stage 3 auditing
activity is scheduled to be completed
during 2016 and the second Stage 3
audit will be conducted in 2022.
Dated: June 5, 2015.
Gregory L. Parham,
Assistant Secretary for Administration, U.S.
Department of Agriculture.
[FR Doc. 2015–14417 Filed 6–12–15; 8:45 am]
BILLING CODE 3410–TX–P
DEPARTMENT OF THE TREASURY
Office of the Comptroller of the
Currency
12 CFR Parts 4, 5, 7, 14, 24, 32, 34, 100,
116, 143, 144, 145, 146, 150, 152, 159,
160, 161, 162, 163, 174, 192, 193
[Docket ID OCC–2014–0007]
RIN 1557–AD80
Integration of National Bank and
Federal Savings Association
Regulations: Licensing Rules
Correction
In rule document 2015–11229
beginning on page 28346 in the issue of
Monday, May 18, 2015, make the
following correction:
Appendix 1 to Part 24 [Corrected]
On pages 28475 through 28477, in
Appendix 1 to Part 24, the form should
appear as follows:
BILLING CODE 1505–01–D
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Federal Register / Vol. 80, No. 114 / Monday, June 15, 2015 / Rules and Regulations
Form Part24
Page 3
Section 2 -All Requests
1.
Please indicate how the bank's investment is consistent with Part 24 requirements for public welfare
investments, under 12 CFR 24.3.
a.
Check at least one of the following that applies to the bank's investment:
The investment primarily benefits low- and moderate-income individuals.
The investment primarily benefits low- and moderate-income areas.
D
The investment primarily benefits other areas targeted by a governmental entity for redevelopment.
D
The investment would receive consideration under 12 CFR 25.23 as a "qualified investment"
for purposes of the Community Reinvestment Act.
2.
D
D
Please indicate how the bank's investment is consistent with Part 24 requirements for investment
limits under 12 CFR 24.4 by responding to the following questions.
a.
Dollar amount of the bank's investment that is the subject of this submission: _ _ _ _ _ _ _ _ __
b.
Percentage of the bank's capital and surplus represented by the bank's investment that is the subject of this
%.
submission:
c.
Percentage of the bank's capital and surplus represented by the aggregate outstanding Part 24 investments and
%.
commitments, including this investment:
d.
Does this investment expose the bank to unlimited liability?
Yes
No
3.
0
0
(This investment cannot be made under Part 24.)
Please attach a brief description of the bank's investment. (See 12 CFR 24.5(a)(3)(i) and (b)(2)(i)).
Include the following information in the description.
The name of the community and economic development entity (CEDE) into which the bank's investment has
been (or will be) made.
b.
The type of bank investment (equity, debt, or other).
c.
The activity or activities of the CEDE in which the bank has invested (or will invest). (See examples of qualifying
investment activities described in 12 CFR 24.6 (a), (b), (c), and (d).)
d.
How the investment is structured so that it does not expose the bank to unlimited liability, such as by describing
the structure of the CEDE (e.g., CDC subsidiary, multi-bank CDC, multi-investor CDC, limited partnership,
limited liability company, community development bank, community development financial institution, community
development entity, community development venture capital fund, community development lending consortia,
community development closed-end mutual funds, non-diversified closed-end investment companies, or any
other CEDE) and by providing any other relevant information.
e.
The geographic area served by the CEDE.
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a.
34041
Federal Register / Vol. 80, No. 114 / Monday, June 15, 2015 / Rules and Regulations
Form Part 24
Page 4
f.
g.
4.
The total funding or other support by community development partners involved in the project (e.g., government
or public agencies, nonprofits, other investors), if known.
Supplemental information (e.g., prospectus, annual report, Web address that contains information about the
CEDE in which the investment is or will be made), if available.
Evidence of qualification is readily available for examination purposes.
The bank maintains information concerning this investment in a form readily accessible and available for examination
that supports the certifications contained in this form and demonstrates that the investment meets the standards set out
in 12 CFR 24.3, including, where applicable, the criteria of 12 CFR 25.23.
Yes
D NoD
5. Certification
The undersigned hereby certifies that the foregoing information in this form is accurate and complete. It is further certified
that the undersigned is authorized to file this form on Part 24 investments for the bank.
Name:
Title:
---------------------------------------------------------------------------------------
Signature:
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Date:
34042
Federal Register / Vol. 80, No. 114 / Monday, June 15, 2015 / Rules and Regulations
Form Part24
Page 5
CD-1 (Expiration Date: 07/31/2016}
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THE SpACE BELOW MAY BE USED TO DESCRIBE THE BANK'S CD INVESTMENT AS REQUESTED IN
SECTION 2, QUESTION 3,
Federal Register / Vol. 80, No. 114 / Monday, June 15, 2015 / Rules and Regulations
[FR Doc. C2–2015–11229 Filed 6–12–15; 8:45 am]
BILLING CODE 1505–01–C
SMALL BUSINESS ADMINISTRATION
13 CFR Part 120
[Docket No. SBA–2013–0002]
RIN 3245–AG53
Microloan Program Expanded
Eligibility and Other Program Changes
U.S. Small Business
Administration (SBA).
ACTION: Final rule.
AGENCY:
This rule finalizes the
proposed rule that the U.S. Small
Business Administration (‘‘SBA’’)
issued for the Microloan Program to
accomplish the goals of expanding the
pool of eligible microborrowers,
increasing minimum microloan
production standards, removing the
requirement that Intermediaries deposit
funds only in interest bearing accounts,
and allowing Microloan Program
Intermediaries to use credit unions as
depositories for their Microloan
Revolving Funds (MRFs) and Loan Loss
Reserve Funds (LLRFs). The rule also
includes technical amendments that
conform the regulations to current
statutory authority.
DATES: This rule is effective July 15,
2015.
SUMMARY:
FOR FURTHER INFORMATION CONTACT:
Grady Hedgespeth, Director, Office of
Economic Opportunity: ATTN: Daniel
Upham, Chief, Microenterprise
Development Division, Office of
Economic Opportunity, Small Business
Administration, 409 3rd Street SW.,
Washington, DC 20416, telephone 202–
205–7001.
SUPPLEMENTARY INFORMATION:
wreier-aviles on DSK5TPTVN1PROD with RULES
I. Background
Section 7(m) of the Small Business
Act (15 U.S.C. 636(m)) (‘‘Act’’)
authorizes SBA’s Microloan Program,
which assists small businesses that need
small amounts of financial assistance.
Under the program, SBA makes direct
loans to Intermediaries, as defined in
§ 120.701(e), that use the loan proceeds
to make microloans to eligible
borrowers. SBA is also authorized to
make grants to Intermediaries to be used
for marketing, management, and
technical assistance.
On March 17, 2014, SBA published a
proposed rule in the Federal Register in
order to clarify certain program
requirements that have caused
confusion and in response to feedback
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from existing Intermediaries. The
changes proposed by SBA included: (1)
revising the definition of insured
depository institution in § 120.701(d) to
specifically include Federally-insured
credit unions; (2) amending § 120.707(a)
to allow Intermediaries to make loans to
businesses with an Associate, as defined
in § 120.10, who is currently on
probation or parole, except in limited
circumstances; (3) removing the
requirement that Deposit Accounts, as
defined in § 120.701(a), be interestbearing; and (4) increasing the
minimum number of microloans
Intermediaries are required to close and
fund each year. The proposed rule also
included a technical amendment to
conform the regulations to current
statutory authority. The comment
period was open until May 16, 2014.
A summary of the comments received
on the four proposed changes follows.
There were no comments on the
technical amendment. The final rule
also includes two additional technical
amendments that remove provisions
with expired statutory authority, as
further described below.
II. Summary of Comments Received
SBA received 19 written comments on
the proposed rule during the comment
period. Three of the comments
addressed issues unrelated to the
proposed rule changes; the remaining 16
comments were carefully considered.
Commenters included several trade
associations/advocacy groups and
Intermediaries currently participating in
the Microloan program. In general,
commenters were supportive of the
proposed changes. A section-by-section
discussion of the comments received
and the changes made follows.
A. Use of Federally-Insured Credit
Unions. SBA received six comments
regarding the proposal to revise the
definition of insured depository
institution in § 120.701(d) to specifically
include Federally-insured credit unions.
This change would clarify that
Federally-insured credit unions are
approved depositories for Microloan
Revolving Funds and Loan Loss Reserve
Funds. Five of the commenters,
including two national advocacy
groups, fully supported the revision,
citing the need for Intermediaries to be
able to use financial institutions that
best meet their needs. One commenter
opposed the change based on an overall
opinion that credit unions have a
competitive advantage over banks.
SBA agrees that Microloan Program
Intermediaries should be allowed to use
the type of depository institution that
best meets their needs, as long as the
institution is federally insured.
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Proposed § 120.701(d) is adopted
without change.
B. Expanded Eligibility. SBA received
ten comments regarding the proposal to
allow Intermediaries to make loans to
businesses with an Associate who is
currently on probation or parole, most
of which were supportive of the change.
One commenter indicated that SBA
should better define a ‘‘crime involving
fraud or dishonesty.’’ An industry
organization requested that SBA clarify
that the change would allow
Intermediaries to choose to make loans
to businesses with an Associate on
probation or parole, but would not
require Intermediaries to make such
loans. The organization also indicated
that one of its members felt that these
particular microloans may call for a
high level of collateralization. The
organization also asked why this
allowance was being made only for the
Microloan program, and not for SBA’s
guaranteed business loan programs (7(a)
and 504). Another commenter stated the
need for a high level of trust in the
borrower by the Intermediary.
Expanding eligibility for the
Microloan Program will allow for
increased creation of new businesses
and will reduce the Federal barriers to
successful reentry of formerly
incarcerated individuals, who often
have difficulty finding steady
employment. The Agency developed
this revision to the Microloan Program
eligibility requirements as a result of a
regulatory review conducted in
connection with SBA’s participation on
the Federal Interagency Reentry
Council. SBA’s Microloan Program
offers an opportunity for formerly
incarcerated individuals who meet the
Intermediaries’ lending criteria to
receive financing and technical
assistance to start their own businesses.
Risk to the taxpayer is mitigated
because the Intermediary makes lending
decisions locally, and provides
microborrowers with training and
technical assistance to help them learn
to manage, market, and grow their small
businesses. Furthermore, unlike in
SBA’s 7(a) and 504 programs,
microloans are not guaranteed by SBA.
Intermediaries are responsible for
ensuring that their borrowers repay, and
Intermediaries are obligated to repay
their loans to SBA regardless of the
performance of the microloans funded
using those loan proceeds.
SBA agrees that a clarified definition
of ‘‘crime involving fraud or
dishonesty’’ should be provided and
will do so via updates to the Microloan
Program Standard Operating Procedures
(SOP 52 00), which provides details
regarding Microloan Program
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]]>Agencies
[Federal Register Volume 80, Number 114 (Monday, June 15, 2015)]
[Rules and Regulations]
[Pages 34039-34043]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: C2-2015-11229]
=======================================================================
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DEPARTMENT OF THE TREASURY
Office of the Comptroller of the Currency
12 CFR Parts 4, 5, 7, 14, 24, 32, 34, 100, 116, 143, 144, 145, 146,
150, 152, 159, 160, 161, 162, 163, 174, 192, 193
[Docket ID OCC-2014-0007]
RIN 1557-AD80
Integration of National Bank and Federal Savings Association
Regulations: Licensing Rules
Correction
In rule document 2015-11229 beginning on page 28346 in the issue of
Monday, May 18, 2015, make the following correction:
Appendix 1 to Part 24 [Corrected]
On pages 28475 through 28477, in Appendix 1 to Part 24, the form
should appear as follows:
BILLING CODE 1505-01-D
[[Page 34040]]
[GRAPHIC] [TIFF OMITTED] TR15JN15.001
[[Page 34041]]
[GRAPHIC] [TIFF OMITTED] TR15JN15.002
[[Page 34042]]
[GRAPHIC] [TIFF OMITTED] TR15JN15.003
[[Page 34043]]
[FR Doc. C2-2015-11229 Filed 6-12-15; 8:45 am]
BILLING CODE 1505-01-C
