Economic Development Investments for Certified Development Companies, 2129-2131 [2016-00731]
Download as PDF
2129
Federal Register / Vol. 81, No. 10 / Friday, January 15, 2016 / Proposed Rules
TABLE 5 TO § 431.97—MINIMUM COOLING EFFICIENCY STANDARDS FOR DOUBLE-DUCT AIR-CONDITIONING AND HEATING
EQUIPMENT
Equipment type
Cooling capacity
Small Double-Duct Commercial ≥65,000 Btu/h and
Packaged Air Conditioning and
<135,000 Btu/h.
Heating Equipment (Air-Cooled).
≥240,000 Btu/h and
<300,000 Btu/h.
EER = 11.2 ..
January 1, 2010.
All Other Types of Heating
Electric Resistance Heating or No Heating.
All Other Types of Heating
Electric Resistance Heating or No Heating.
EER = 11.0 ..
EER = 11.0 ..
January 1, 2010.
January 1, 2010.
EER = 10.8 ..
EER = 11.0 ..
January 1, 2010.
January 1, 2010.
All Other Types of Heating
Electric Resistance Heating or No Heating.
All Other Types of Heating
Electric Resistance Heating or No Heating.
EER = 10.8 ..
EER = 10.6 ..
January 1, 2010.
January 1, 2010.
EER = 10.4 ..
EER = 10.0 ..
January 1, 2010.
January 1, 2010.
All Other Types of Heating
Electric Resistance Heating or No Heating.
All Other Types of Heating
AC
HP
Very Large Double-Duct Commercial Packaged Air Conditioning
and Heating Equipment (AirCooled).
Compliance
date: equipment
manufactured
starting on. . .
Electric Resistance Heating or No Heating.
AC
HP
Large Commercial Double-Duct ≥135,000 Btu/h and
Packaged Air Conditioning and
<240,000 Btu/h.
Heating Equipment (Air-Cooled).
Efficiency
level
EER = 9.8 ....
EER = 9.5 ....
January 1, 2010.
January 1, 2010.
EER = 9.3 ....
January 1, 2010.
Sub-category
AC
HP
Heating type
TABLE 6 TO § 431.97—MINIMUM HEATING EFFICIENCY STANDARDS FOR DOUBLE-DUCT AIR-COOLED AIR CONDITIONING
AND HEATING EQUIPMENT
[Heat pumps]
Equipment type
Cooling capacity
Small Commercial Packaged Air Conditioning
and Heating Equipment (Air-Cooled).
Large Commercial Packaged Air-Conditioning
and Heating Equipment (Air-Cooled).
Very Large Commercial Packaged Air Conditioning and Heating Equipment (Air-Cooled).
≥65,000 Btu/h and
<135,000 Btu/h
≥135,000 Btu/h and
<240,000 Btu/h
≥240,000 Btu/h and
<300,000 Btu/h
Compliance date:
Equipment manufactured
starting on . . .
Heating type
Efficiency
level 1
Electric Resistance
Heating or No Heating.
All Other Types of
Heating.
Electric Resistance
Heating or No Heating.
All Other Types of
Heating
Electric Resistance
Heating or No Heating.
All Other Types of
Heating.
COP = 3.3 ....
January 1, 2010.
COP = 3.3 ....
January 1, 2010.
COP = 3.2 ....
January 1, 2010.
COP = 3.2 ....
January 1, 2010.
COP = 3.2
January 1, 2010.
COP = 3.2
January 1, 2010.
tkelley on DSK3SPTVN1PROD with PROPOSALS
1 For units tested using the relevant AHRI Standards, all COP values must be rated at 47 °F outdoor dry-bulb temperature for air-cooled
equipment.
(c) Each packaged terminal air
conditioner (PTAC) and packaged
terminal heat pump (PTHP)
manufactured starting on January 1,
1994, but before October 8, 2012 (for
standard size PTACs and PTHPs) and
before October 7, 2010 (for non-standard
size PTACs and PTHPs) must meet the
applicable minimum energy efficiency
standard level(s) set forth in Table 7 of
this section. Each standard size PTAC
and PTHP manufactured starting on
October 8, 2012, and each non-standard
size PTAC and PTHP manufactured
VerDate Sep<11>2014
16:51 Jan 14, 2016
Jkt 238001
starting on October 7, 2010, must meet
the applicable minimum energy
efficiency standard level(s) set forth in
Table 6 of this section.
*
*
*
*
*
[FR Doc. 2015–33069 Filed 1–14–16; 8:45 am]
BILLING CODE 6450–01–P
PO 00000
SMALL BUSINESS ADMINISTRATION
13 CFR Part 120
RIN 3245–AG76
Economic Development Investments
for Certified Development Companies
U.S. Small Business
Administration.
ACTION: Advance notice of proposed
rulemaking.
AGENCY:
The U.S. Small Business
Administration (SBA) is soliciting
SUMMARY:
Frm 00019
Fmt 4702
Sfmt 4702
E:\FR\FM\15JAP1.SGM
15JAP1
2130
Federal Register / Vol. 81, No. 10 / Friday, January 15, 2016 / Proposed Rules
comments on whether Certified
Development Companies (CDCs) should
be required to invest specific amounts
in local economic development
activities (other than lending through
the CDC program) and to reserve
specific amounts for their future
operations. SBA is also soliciting input
into what types of activities may qualify
as economic development activities.
DATES: Comments must be submitted on
or before March 15, 2016.
ADDRESSES: You may submit comments,
identified by RIN 3245–AG76, by any of
the following methods: (1) Federal
Rulemaking Portal: https://
www.regulations.gov. Follow the
instructions for submitting comments;
or (2) Mail/Hand Delivery/Courier: U.S.
Small Business Administration, Attn:
Linda Reilly, Acting Director, Office of
Financial Assistance, 409 Third Street
SW., 8th Floor, Washington, DC 20416.
All comments will be posted on
www.regulations.gov. If you wish to
submit confidential business
information (CBI) as defined in the User
Notice at www.regulations.gov, you
must submit such information to the
U.S. Small Business Administration,
Attn: Linda Reilly, Acting Director,
Office of Financial Assistance, 409
Third Street SW., 8th Floor,
Washington, DC 20416, or send an email
to linda.reilly@sba.gov. Highlight the
information that you consider to be CBI
and explain why you believe SBA
should hold this information as
confidential. SBA will review your
information and determine whether it
will make the information public.
FOR FURTHER INFORMATION CONTACT:
Linda Reilly, Acting Director, Office of
Financial Assistance, U.S. Small
Business Administration, 409 3rd Street
SW., 8th Floor, Washington, DC 20416,
telephone number (202) 205–9949 or
linda.reilly@sba.gov.
SUPPLEMENTARY INFORMATION:
tkelley on DSK3SPTVN1PROD with PROPOSALS
I. Background
The Certified Development Company
(CDC) program, also referred to as the
504 Loan Program, is authorized
pursuant to Title V of the Small
Business Investment Act of 1958, 15
U.S.C. 695 et seq. The 504 Loan Program
is an SBA financing program established
to target companies in their growth
cycle to create jobs, expand the tax base,
and improve American communities.
Specifically, the core mission of the 504
Loan Program is to provide long-term
fixed asset financing (504 Loans) to
small businesses for the purchase or
improvement of land, buildings, and
major equipment purchases, in an effort
VerDate Sep<11>2014
16:51 Jan 14, 2016
Jkt 238001
to facilitate the creation of jobs and local
economic development.
Under the 504 Loan Program, loans
are made to small business applicants
by CDCs, which are SBA’s communitybased partners for providing 504 Loans.
With the exception of several for-profit
CDCs grandfathered into the 504 Loan
Program, a CDC is a nonprofit
corporation that promotes economic
development within its community
through 504 Loans. CDCs are certified
and regulated by the SBA, and work
with SBA and participating lenders
(typically banks) to provide financing to
small businesses with the goal of
facilitating the creation and retention of
jobs and local economic development.
There are over 260 CDCs nationwide
each with a defined Area of Operations
covering a specific geographic area. The
Area of Operations for most CDCs is the
state in which they are incorporated.
Under 13 CFR 120.825, CDCs are
required to be able to sustain their
operations continuously with reliable
sources of funds, such as income from
services rendered and contributions
from government or other sponsors.
This regulation also provides that any
funds generated from loan activity in
the 504 Loan Program that remain after
payment of staff and overhead expenses
(such funds referred to herein as
‘‘remaining funds’’) must be retained by
the CDC as a reserve for future
operations or for investment in other
local economic development activity in
the CDC’s Area of Operations. In
addition, on March 21, 2014, SBA
issued a Final Rule (79 FR 15641) that
requires each CDC’s Board of Directors
to ensure that the CDC establishes and
maintains adequate reserves for
operations (13 CFR 120.823(d)(9)) and
invests in economic development in
each State in its Area of Operations
where the CDC has outstanding 504
Loans (13 CFR 120.823(d)(10)).
Accordingly, in reading 13 CFR
120.823(d)(9) and (10) and 120.825
together, each CDC’s Board of Directors
must ensure that any remaining funds
are either retained as a reserve or
invested in the CDC’s community, but
the current rules do not require the CDC
to retain or invest any specific amounts
or percentages.
CDCs have requested that SBA
provide guidance on the acceptable
types and amounts of investments that
should apply to the remaining funds. To
address the issue raised by the CDCs,
SBA is considering whether to issue a
future Proposed Rulemaking that would
require CDCs to set aside a certain
amount of their revenues for investing
in other local economic development
activities. SBA is also considering
PO 00000
Frm 00020
Fmt 4702
Sfmt 4702
whether the rulemaking should address
minimum and/or maximum
requirements with respect to the size of
the reserve that a CDC retains for its
future operations. As stated above, 13
CFR 120.825 requires a CDC ‘‘to be able
to sustain its operations continuously,
with reliable sources of funds,’’ and a
minimum reserve requirement would
assist CDCs in complying with this
provision. Excessive reserves, however,
could limit the amount a CDC would
have available for investing in local
economic development activities. To
develop a proposed rule to address
these issues, SBA needs additional
information and invites interested
parties to provide it by responding to
the questions set forth below.
Finally, SBA is considering providing
guidance, through an agency directive
(e.g., Standard Operating Procedure,
Procedural or Policy Notice), on what
constitutes acceptable types of
investment in other local economic
development activities under 13 CFR
120.825, and is soliciting comments on
how to define investments in economic
development activity.
II. Comments Requested
To assist SBA in addressing the above
issues, SBA requests comments from
interested parties on the following
questions:
1. What percentage of the CDC’s 504
Loan Program revenues do remaining
funds typically represent at the end of
the CDC’s fiscal year?
2. Should SBA require CDCs to use a
certain amount or percentage of their
remaining funds to invest in other local
economic development activity in the
CDC’s Area of Operations? Please
provide reasons for your response.
3. If the answer to question 2 is yes,
how should the amount required to be
invested in other local economic
development activity in the CDC’s Area
of Operations be calculated? Some
possibilities could include a percentage
of the original loan amount of the CDC’s
504 portfolio, a percentage of the
current outstanding loan amount of the
CDC’s 504 portfolio, a percentage of the
annual fees received by the CDC as a
result of its 504 lending, or a percentage
of the CDC’s remaining funds. Should
the percentage vary depending upon the
dollar value of the CDC’s portfolio or
other factors? If so, describe how the
percentage should vary and upon what
factors.
4. Should SBA require CDCs to retain
a minimum amount as a reserve for
future operations if there are any
remaining funds? If not, why not?
5. If the answer to question 4 is yes,
how should the amount of a CDC’s
E:\FR\FM\15JAP1.SGM
15JAP1
tkelley on DSK3SPTVN1PROD with PROPOSALS
Federal Register / Vol. 81, No. 10 / Friday, January 15, 2016 / Proposed Rules
required reserve be calculated? Some
possibilities could include a percentage
of the original loan amount of the CDC’s
504 portfolio, a percentage of the
current outstanding loan amount of the
CDC’s 504 portfolio, a percentage of the
annual fees received by the CDC as a
result of its 504 lending, or a percentage
of the CDC’s remaining funds. Another
approach would be to calculate the
required reserve as a dollar amount
equal to at least six months, but no more
than 12 months, of staff and overhead
expenses of the CDC.
6. Should SBA limit the amount that
CDCs may retain as a reserve for future
operations? If not, why not? If yes, what
would be a reasonable maximum
amount to allow as a reserve?
7. Should a CDC be able to decide that
the reserve option would be a more
prudent use of its remaining funds than
economic development investments to
ensure that it has the ability to ‘‘sustain
its operations continuously’’? Why or
why not?
8. Should SBA require CDCs to first
apply any remaining funds to the
reserve for future operations before
using any remaining funds for
investments? Please provide reasons for
your response.
9. What requirements, if any, should
apply to a CDC’s remaining funds if it
voluntarily decertifies or is removed
from the 504 Loan Program? Should the
CDC be required to invest these funds in
local economic development activities
prior to decertification or removal?
10. What types of economic
development activities should be
included in the definition of
‘‘acceptable investments in economic
development’’? Are there any activities
that should not be included in the
definition? Examples of such acceptable
investments in economic development
could include loans, grants or other
forms of direct financial support that are
issued by the CDC for: (1) Other federal,
state or local lending programs, such as
microlending or revolving loan funds;
(2) Small Business Development
Centers; (3) business incubators; (4)
industrial development; and (5) other
non-profit economic development
entities. Should the definition include
business or technical procurement
assistance provided by the CDC or paid
for by the CDC?
Interested parties are invited to
provide any other comments that they
may have relating to the issues
described in this Advance Notice of
Proposed Rulemaking. We ask that you
provide a brief justification for any
suggested changes.
VerDate Sep<11>2014
16:51 Jan 14, 2016
Jkt 238001
Dated: January 7, 2016.
Maria Contreras-Sweet,
Administrator.
[FR Doc. 2016–00731 Filed 1–14–16; 8:45 am]
BILLING CODE 8025–01–P
DEPARTMENT OF TRANSPORTATION
Federal Aviation Administration
14 CFR Part 39
[Docket No. FAA–2015–2134; Directorate
Identifier 2015–CE–012–AD]
RIN 2120–AA64
Airworthiness Directives; B/E
Aerospace Protective Breathing
Equipment Part Number 119003–11
Federal Aviation
Administration (FAA), DOT.
ACTION: Supplemental notice of
proposed rulemaking (NPRM);
reopening of comment period.
AGENCY:
We are revising an earlier
proposed airworthiness directive (AD)
for certain B/E Aerospace protective
breathing equipment (PBE) that is
installed on airplanes. The NPRM
proposed inspecting the PBE to
determine if the pouch has the proper
vacuum seal and replacing if necessary.
The NPRM was prompted by reports of
a compromise in the vacuum seal of the
pouch that contains the PBE. This
action revises the NPRM by requiring
replacement of the PBE following newly
issued service information regardless of
inspection results. We are proposing
this supplemental NPRM (SNPRM) to
correct the unsafe condition on these
products. Since these actions impose an
additional burden over that proposed in
the NPRM, we are reopening the
comment period to allow the public the
chance to comment on these proposed
changes.
DATES: We must receive comments on
this SNPRM by February 29, 2016.
ADDRESSES: You may send comments,
using the procedures found in 14 CFR
11.43 and 11.45, by any of the following
methods:
• Federal eRulemaking Portal: Go to
https://www.regulations.gov. Follow the
instructions for submitting comments.
• Fax: 202–493–2251.
• Mail: U.S. Department of
Transportation, Docket Operations, M–
30, West Building Ground Floor, Room
W12–140, 1200 New Jersey Avenue SE.,
Washington, DC 20590.
• Hand Delivery: U.S. Department of
Transportation, Docket Operations, M–
30, West Building Ground Floor, Room
W12–140, 1200 New Jersey Avenue SE.,
SUMMARY:
PO 00000
Frm 00021
Fmt 4702
Sfmt 4702
2131
Washington, DC 20590, between 9 a.m.
and 5 p.m., Monday through Friday,
except Federal holidays.
For service information identified in
this proposed rule, contact B/E
Aerospace, Inc., Commercial Aircraft
Products Group, 10800 Pflumm Road,
Lenexa, Kansas 66215; telephone: (913)
338–9800; fax: (913) 338–8419; Internet:
www.beaerospace.com. You may review
this referenced service information at
the FAA, Small Airplane Directorate,
901 Locust, Kansas City, Missouri
64106. For information on the
availability of this material at the FAA,
call (816) 329–4148.
Examining the AD Docket
You may examine the AD docket on
the Internet at https://
www.regulations.gov by searching for
and locating Docket No. FAA–2015–
2134; or in person at the Docket
Management Facility between 9 a.m.
and 5 p.m., Monday through Friday,
except Federal holidays. The AD docket
contains this proposed AD, the
regulatory evaluation, any comments
received, and other information. The
street address for the Docket Office
(telephone: 800–647–5527) is in the
ADDRESSES section. Comments will be
available in the AD docket shortly after
receipt.
FOR FURTHER INFORMATION CONTACT:
David Enns, Aerospace Engineer,
Wichita Aircraft Certification Office,
FAA, 1801 S. Airport Road, Room 100,
Wichita, Kansas 67209; telephone: (316)
946–4147; fax: (316) 946–4107; email:
david.enns@faa.gov.
SUPPLEMENTARY INFORMATION:
Comments Invited
We invite you to send any written
relevant data, views, or arguments about
this proposed AD. Send your comments
to an address listed under the
ADDRESSES section. Include ‘‘Docket No.
FAA–2015–2134; Directorate Identifier
2015–CE–012–AD’’ at the beginning of
your comments. We specifically invite
comments on the overall regulatory,
economic, environmental, and energy
aspects of this proposed AD. We will
consider all comments received by the
closing date and may amend this
proposed AD because of those
comments.
We will post all comments we
receive, without change, to https://
www.regulations.gov, including any
personal information you provide. We
will also post a report summarizing each
substantive verbal contact we receive
about this proposed AD.
E:\FR\FM\15JAP1.SGM
15JAP1
Agencies
[Federal Register Volume 81, Number 10 (Friday, January 15, 2016)]
[Proposed Rules]
[Pages 2129-2131]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-00731]
=======================================================================
-----------------------------------------------------------------------
SMALL BUSINESS ADMINISTRATION
13 CFR Part 120
RIN 3245-AG76
Economic Development Investments for Certified Development
Companies
AGENCY: U.S. Small Business Administration.
ACTION: Advance notice of proposed rulemaking.
-----------------------------------------------------------------------
SUMMARY: The U.S. Small Business Administration (SBA) is soliciting
[[Page 2130]]
comments on whether Certified Development Companies (CDCs) should be
required to invest specific amounts in local economic development
activities (other than lending through the CDC program) and to reserve
specific amounts for their future operations. SBA is also soliciting
input into what types of activities may qualify as economic development
activities.
DATES: Comments must be submitted on or before March 15, 2016.
ADDRESSES: You may submit comments, identified by RIN 3245-AG76, by any
of the following methods: (1) Federal Rulemaking Portal: https://www.regulations.gov. Follow the instructions for submitting comments;
or (2) Mail/Hand Delivery/Courier: U.S. Small Business Administration,
Attn: Linda Reilly, Acting Director, Office of Financial Assistance,
409 Third Street SW., 8th Floor, Washington, DC 20416. All comments
will be posted on www.regulations.gov. If you wish to submit
confidential business information (CBI) as defined in the User Notice
at www.regulations.gov, you must submit such information to the U.S.
Small Business Administration, Attn: Linda Reilly, Acting Director,
Office of Financial Assistance, 409 Third Street SW., 8th Floor,
Washington, DC 20416, or send an email to linda.reilly@sba.gov.
Highlight the information that you consider to be CBI and explain why
you believe SBA should hold this information as confidential. SBA will
review your information and determine whether it will make the
information public.
FOR FURTHER INFORMATION CONTACT: Linda Reilly, Acting Director, Office
of Financial Assistance, U.S. Small Business Administration, 409 3rd
Street SW., 8th Floor, Washington, DC 20416, telephone number (202)
205-9949 or linda.reilly@sba.gov.
SUPPLEMENTARY INFORMATION:
I. Background
The Certified Development Company (CDC) program, also referred to
as the 504 Loan Program, is authorized pursuant to Title V of the Small
Business Investment Act of 1958, 15 U.S.C. 695 et seq. The 504 Loan
Program is an SBA financing program established to target companies in
their growth cycle to create jobs, expand the tax base, and improve
American communities. Specifically, the core mission of the 504 Loan
Program is to provide long-term fixed asset financing (504 Loans) to
small businesses for the purchase or improvement of land, buildings,
and major equipment purchases, in an effort to facilitate the creation
of jobs and local economic development.
Under the 504 Loan Program, loans are made to small business
applicants by CDCs, which are SBA's community-based partners for
providing 504 Loans. With the exception of several for-profit CDCs
grandfathered into the 504 Loan Program, a CDC is a nonprofit
corporation that promotes economic development within its community
through 504 Loans. CDCs are certified and regulated by the SBA, and
work with SBA and participating lenders (typically banks) to provide
financing to small businesses with the goal of facilitating the
creation and retention of jobs and local economic development. There
are over 260 CDCs nationwide each with a defined Area of Operations
covering a specific geographic area. The Area of Operations for most
CDCs is the state in which they are incorporated.
Under 13 CFR 120.825, CDCs are required to be able to sustain their
operations continuously with reliable sources of funds, such as income
from services rendered and contributions from government or other
sponsors. This regulation also provides that any funds generated from
loan activity in the 504 Loan Program that remain after payment of
staff and overhead expenses (such funds referred to herein as
``remaining funds'') must be retained by the CDC as a reserve for
future operations or for investment in other local economic development
activity in the CDC's Area of Operations. In addition, on March 21,
2014, SBA issued a Final Rule (79 FR 15641) that requires each CDC's
Board of Directors to ensure that the CDC establishes and maintains
adequate reserves for operations (13 CFR 120.823(d)(9)) and invests in
economic development in each State in its Area of Operations where the
CDC has outstanding 504 Loans (13 CFR 120.823(d)(10)). Accordingly, in
reading 13 CFR 120.823(d)(9) and (10) and 120.825 together, each CDC's
Board of Directors must ensure that any remaining funds are either
retained as a reserve or invested in the CDC's community, but the
current rules do not require the CDC to retain or invest any specific
amounts or percentages.
CDCs have requested that SBA provide guidance on the acceptable
types and amounts of investments that should apply to the remaining
funds. To address the issue raised by the CDCs, SBA is considering
whether to issue a future Proposed Rulemaking that would require CDCs
to set aside a certain amount of their revenues for investing in other
local economic development activities. SBA is also considering whether
the rulemaking should address minimum and/or maximum requirements with
respect to the size of the reserve that a CDC retains for its future
operations. As stated above, 13 CFR 120.825 requires a CDC ``to be able
to sustain its operations continuously, with reliable sources of
funds,'' and a minimum reserve requirement would assist CDCs in
complying with this provision. Excessive reserves, however, could limit
the amount a CDC would have available for investing in local economic
development activities. To develop a proposed rule to address these
issues, SBA needs additional information and invites interested parties
to provide it by responding to the questions set forth below.
Finally, SBA is considering providing guidance, through an agency
directive (e.g., Standard Operating Procedure, Procedural or Policy
Notice), on what constitutes acceptable types of investment in other
local economic development activities under 13 CFR 120.825, and is
soliciting comments on how to define investments in economic
development activity.
II. Comments Requested
To assist SBA in addressing the above issues, SBA requests comments
from interested parties on the following questions:
1. What percentage of the CDC's 504 Loan Program revenues do
remaining funds typically represent at the end of the CDC's fiscal
year?
2. Should SBA require CDCs to use a certain amount or percentage of
their remaining funds to invest in other local economic development
activity in the CDC's Area of Operations? Please provide reasons for
your response.
3. If the answer to question 2 is yes, how should the amount
required to be invested in other local economic development activity in
the CDC's Area of Operations be calculated? Some possibilities could
include a percentage of the original loan amount of the CDC's 504
portfolio, a percentage of the current outstanding loan amount of the
CDC's 504 portfolio, a percentage of the annual fees received by the
CDC as a result of its 504 lending, or a percentage of the CDC's
remaining funds. Should the percentage vary depending upon the dollar
value of the CDC's portfolio or other factors? If so, describe how the
percentage should vary and upon what factors.
4. Should SBA require CDCs to retain a minimum amount as a reserve
for future operations if there are any remaining funds? If not, why
not?
5. If the answer to question 4 is yes, how should the amount of a
CDC's
[[Page 2131]]
required reserve be calculated? Some possibilities could include a
percentage of the original loan amount of the CDC's 504 portfolio, a
percentage of the current outstanding loan amount of the CDC's 504
portfolio, a percentage of the annual fees received by the CDC as a
result of its 504 lending, or a percentage of the CDC's remaining
funds. Another approach would be to calculate the required reserve as a
dollar amount equal to at least six months, but no more than 12 months,
of staff and overhead expenses of the CDC.
6. Should SBA limit the amount that CDCs may retain as a reserve
for future operations? If not, why not? If yes, what would be a
reasonable maximum amount to allow as a reserve?
7. Should a CDC be able to decide that the reserve option would be
a more prudent use of its remaining funds than economic development
investments to ensure that it has the ability to ``sustain its
operations continuously''? Why or why not?
8. Should SBA require CDCs to first apply any remaining funds to
the reserve for future operations before using any remaining funds for
investments? Please provide reasons for your response.
9. What requirements, if any, should apply to a CDC's remaining
funds if it voluntarily decertifies or is removed from the 504 Loan
Program? Should the CDC be required to invest these funds in local
economic development activities prior to decertification or removal?
10. What types of economic development activities should be
included in the definition of ``acceptable investments in economic
development''? Are there any activities that should not be included in
the definition? Examples of such acceptable investments in economic
development could include loans, grants or other forms of direct
financial support that are issued by the CDC for: (1) Other federal,
state or local lending programs, such as microlending or revolving loan
funds; (2) Small Business Development Centers; (3) business incubators;
(4) industrial development; and (5) other non-profit economic
development entities. Should the definition include business or
technical procurement assistance provided by the CDC or paid for by the
CDC?
Interested parties are invited to provide any other comments that
they may have relating to the issues described in this Advance Notice
of Proposed Rulemaking. We ask that you provide a brief justification
for any suggested changes.
Dated: January 7, 2016.
Maria Contreras-Sweet,
Administrator.
[FR Doc. 2016-00731 Filed 1-14-16; 8:45 am]
BILLING CODE 8025-01-P