Change to SBA Secondary Market Program, 50876-50877 [2019-20878]

Download as PDF 50876 Federal Register / Vol. 84, No. 187 / Thursday, September 26, 2019 / Notices At any time within 60 days of the filing of such proposed rule change, the Commission summarily may temporarily suspend such rule change if it appears to the Commission that such action is necessary or appropriate in the public interest, for the protection of investors, or otherwise in furtherance of the purposes of the Act. IV. Solicitation of Comments Interested persons are invited to submit written data, views, and arguments concerning the foregoing, including whether the proposed rule change is consistent with the Act. Comments may be submitted by any of the following methods: khammond on DSKJM1Z7X2PROD with NOTICES Electronic Comments • Use the Commission’s internet comment form (https://www.sec.gov/ rules/sro.shtml); or • Send an email to rule-comments@ sec.gov. Please include File Number SR– NYSEARCA–2019–65 on the subject line. Paper Comments • Send paper comments in triplicate to Secretary, Securities and Exchange Commission, 100 F Street NE, Washington, DC 20549–1090. All submissions should refer to File Number SR–NYSEARCA–2019–65. This file number should be included on the subject line if email is used. To help the Commission process and review your comments more efficiently, please use only one method. The Commission will post all comments on the Commission’s internet website (https://www.sec.gov/ rules/sro.shtml). Copies of the submission, all subsequent amendments, all written statements with respect to the proposed rule change that are filed with the Commission, and all written communications relating to the proposed rule change between the Commission and any person, other than those that may be withheld from the public in accordance with the provisions of 5 U.S.C. 552, will be available for website viewing and printing in the Commission’s Public Reference Room, 100 F Street NE, Washington, DC 20549, on official business days between the hours of 10:00 a.m. and 3:00 p.m. Copies of the filing also will be available for inspection and copying at the principal office of the Exchange. All comments received will be posted without change. Persons submitting comments are cautioned that we do not redact or edit proposed rule’s impact on efficiency, competition, and capital formation. See 15 U.S.C. 78c(f). VerDate Sep<11>2014 16:48 Sep 25, 2019 Jkt 247001 personal identifying information from comment submissions. You should submit only information that you wish to make available publicly. All submissions should refer to File Number SR–NYSEARCA–2019–65 and should be submitted on or before October 17, 2019. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.29 Jill M. Peterson, Assistant Secretary. [FR Doc. 2019–20872 Filed 9–25–19; 8:45 am] BILLING CODE 8011–01–P SMALL BUSINESS ADMINISTRATION Change to SBA Secondary Market Program U.S. Small Business Administration. ACTION: Notice of change to Secondary Market Program. AGENCY: The purpose of this Notice is to inform the public that the Small Business Administration (SBA) is making a change to its Secondary Market Loan Pooling Program. SBA is decreasing the minimum maturity ratio for both SBA Standard Pools and Weighted-Average Coupon (WAC) Pools by 100 basis points, to 94.0%. The change described in this Notice is being made to ensure that there are sufficient funds to cover the estimated cost of the timely payment guaranty for newly formed SBA 7(a) loan pools. This change will be incorporated, as needed, into the SBA Secondary Market Program Guide and all other appropriate SBA Secondary Market documents. DATES: This change will apply to SBA 7(a) loan pools with an issue date on or after October 1, 2019. ADDRESSES: Address comments concerning this Notice to John M. Wade, Chief Secondary Market Division, U.S. Small Business Administration, 409 3rd Street SW, Washington, DC 20416; or, john.wade@sba.gov. FOR FURTHER INFORMATION CONTACT: John M. Wade, Chief, Secondary Market Division at 202–205–3647 or john.wade@sba.gov. SUPPLEMENTARY INFORMATION: The Secondary Market Improvements Act of 1984, 15 U.S.C. 634(f) through (h), authorized SBA to guarantee the timely payment of principal and interest on Pool Certificates. A Pool Certificate represents a fractional undivided interest in a ‘‘Pool,’’ which is an SUMMARY: 29 17 PO 00000 CFR 200.30–3(a)(12). Frm 00060 Fmt 4703 Sfmt 4703 aggregation of SBA guaranteed portions of loans made by SBA Lenders under section 7(a) of the Small Business Act, 15 U.S.C. 636(a). In order to support the timely payment guaranty requirement, SBA established the Master Reserve Fund (MRF), which serves as a mechanism to cover the cost of SBA’s timely payment guaranty. Borrower payments on the guaranteed portions of pooled loans, as well as SBA guaranty payments on defaulted pooled loans, are deposited into the MRF. Funds are held in the MRF until distributions are made to investors (Registered Holders) of Pool Certificates. The interest earned on the borrower payments and the SBA guaranty payments deposited into the MRF supports the timely payments made to Registered Holders. From time to time, SBA provides guidance to SBA Pool Assemblers on the required loan and pool characteristics necessary to form a Pool. These characteristics include, among other things, the minimum number of guaranteed portions of loans required to form a Pool, the allowable difference between the highest and lowest gross and net note rates of the guaranteed portions of loans in a Pool, and the minimum maturity ratio of the guaranteed portions of loans in a Pool. The minimum maturity ratio is equal to the ratio of the shortest and the longest remaining term to maturity of the guaranteed portions of loans in a Pool. Based on SBA’s expectations as to the performance of future Pools, SBA has determined that SBA Pool Assemblers may increase the difference between the shortest and the longest remaining term of the guaranteed portions of loans in a Pool by 1 percentage point (i.e., decreasing the minimum maturity ratio by 100 basis points). SBA does not expect a 1 percentage point reduction in the minimum maturity ratio to have an adverse impact on either the program or the participants in the program. Pools formed over the last fiscal year were required by SBA to have a minimum maturity ratio of at least 95.0%. SBA is now lowering the requirement so that Pools formed may have a minimum maturity ratio of at least 94.0%.Therefore, effective October 1, 2019, all guaranteed portions of loans in Standard Pools and WAC Pools presented for settlement with SBA’s Fiscal Transfer Agent will be required to have a minimum maturity ratio of at least 94.0%. SBA is making this change pursuant to Section 5(g)(2) of the Small Business Act, 15 U.S.C. 634(g)(2). SBA will continue to monitor loan and pool characteristics and will provide notification of additional changes as necessary. It is important to E:\FR\FM\26SEN1.SGM 26SEN1 Federal Register / Vol. 84, No. 187 / Thursday, September 26, 2019 / Notices note that there is no change to SBA’s obligation to honor its guaranty of the amounts owed to Registered Holders of Pool Certificates and that such guaranty continues to be backed by the full faith and credit of the United States. This program change will be incorporated as necessary into SBA’s Secondary Market Guide and all other appropriate SBA Secondary Market documents. As indicated above, this change will be effective for Standard Pools and WAC Pools with an issue date on or after October 1, 2019. Dated: September 20, 2019. William M. Manger, Associate Administrator, Office of Capital Access. [FR Doc. 2019–20878 Filed 9–25–19; 8:45 am] BILLING CODE P SMALL BUSINESS ADMINISTRATION Interest Rates The Small Business Administration publishes an interest rate called the optional ‘‘peg’’ rate (13 CFR 120.214) on a quarterly basis. This rate is a weighted average cost of money to the government for maturities similar to the average SBA direct loan. This rate may be used as a base rate for guaranteed fluctuating interest rate SBA loans. This rate will be 2.13 percent for the October–December quarter of FY 2020. Pursuant to 13 CFR 120.921(b), the maximum legal interest rate for any third party lender’s commercial loan which funds any portion of the cost of a 504 project (see 13 CFR 120.801) shall be 6% over the New York Prime rate or, if that exceeds the maximum interest rate permitted by the constitution or laws of a given State, the maximum interest rate will be the rate permitted by the constitution or laws of the given State. Dianna L. Seaborn. Director, Office of Financial Assistance. [FR Doc. 2019–20942 Filed 9–25–19; 8:45 am] BILLING CODE P DEPARTMENT OF STATE khammond on DSKJM1Z7X2PROD with NOTICES [Public Notice 10880] 30-Day Notice of Proposed Information Collection: U.S. Passport Renewal Application for Eligible Individuals Notice of request for public comment and submission to OMB of proposed collection of information. ACTION: The Department of State has submitted the information collection SUMMARY: VerDate Sep<11>2014 16:48 Sep 25, 2019 Jkt 247001 described below to the Office of Management and Budget (OMB) for approval. In accordance with the Paperwork Reduction Act of 1995 we are requesting comments on this collection from all interested individuals and organizations. The purpose of this Notice is to allow 30 days for public comment. DATES: Submit comments directly to the Office of Management and Budget (OMB) up to October 28, 2019. ADDRESSES: Direct comments to the Department of State Desk Officer in the Office of Information and Regulatory Affairs at the Office of Management and Budget (OMB). You may submit comments by the following methods: • Email: oira_submission@ omb.eop.gov. You must include the DS form number, information collection title, and the OMB control number in the subject line of your message. • Fax: 202–395–5806. Attention: Desk Officer for Department of State. SUPPLEMENTARY INFORMATION: • Title of Information Collection: U.S. Passport Renewal Application for Eligible Individuals. • OMB Control Number: 1405–0020. • Type of Request: Revision of a Currently Approved Collection. • Originating Office: Bureau of Consular Affairs, Passport Services (CA/ PPT). • Form Number: DS–0082. • Respondents: Individuals or Households. • Estimated Number of Respondents: 6,451,667. • Estimated Number of Responses: 6,451,667. • Average Time per Response: 40 minutes. • Total Estimated Burden Time: 4,301,111 hours per year. • Frequency: On occasion. • Obligation to Respond: Required to Obtain a Benefit. We are soliciting public comments to permit the Department to: • Evaluate whether the proposed information collection is necessary for the proper functions of the Department. • Evaluate the accuracy of our estimate of the time and cost burden for this proposed collection, including the validity of the methodology and assumptions used. • Enhance the quality, utility, and clarity of the information to be collected. • Minimize the reporting burden on those who are to respond, including the use of automated collection techniques or other forms of information technology. Please note that comments submitted in response to this Notice are public PO 00000 Frm 00061 Fmt 4703 Sfmt 4703 50877 record. Before including any detailed personal information, you should be aware that your comments as submitted, including your personal information will be available for public review. Abstract of Proposed Collection The U.S. Passport Renewal Application for Eligible Individuals (Form DS–82) is used by eligible citizens and non-citizen nationals (hereinafter, collectively referred to as ‘‘nationals’’) of the United States who need to renew their current or recentlyexpired U.S. passport (a travel document attesting to one’s identity and U.S. nationality). Methodology Passport Services collects information from U.S. citizens and non-citizen nationals when they complete and submit the DS–82, ‘‘U.S. Passport Renewal Application for Eligible Individuals.’’ Passport applicants can either download the DS–82 from the internet or obtain the form from an Acceptance Facility/Passport Agency. The form must be completed, signed, and be submitted by mail (or in person at Passport Agencies domestically or embassies/consulates overseas). Barry J. Conway, Acting Deputy Assistant Secretary for Passport Services. [FR Doc. 2019–20910 Filed 9–25–19; 8:45 am] BILLING CODE 4710–06–P DEPARTMENT OF TRANSPORTATION Federal Aviation Administration [Docket No. FAA–2019–0755] Agency Information Collection Activities: Requests for Comments; Clearance of a Renewed Approval of Information Collection: Alternative Pilot Physical Examination and Education Requirements Federal Aviation Administration (FAA), DOT. ACTION: Notice and request for comments. AGENCY: In accordance with the Paperwork Reduction Act of 1995, the FAA invites public comments about our intention to request Office of Management and Budget (OMB) approval to renew an information collection. The Federal Aviation Administration Extension, Safety, and Security Act of 2016 was enacted on July 15, 2016. Section 2307 of FESSA, Medical Certification of Certain Small Aircraft Pilots, directed the FAA to SUMMARY: E:\FR\FM\26SEN1.SGM 26SEN1

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[Federal Register Volume 84, Number 187 (Thursday, September 26, 2019)]
[Notices]
[Pages 50876-50877]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-20878]


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SMALL BUSINESS ADMINISTRATION


Change to SBA Secondary Market Program

AGENCY: U.S. Small Business Administration.

ACTION: Notice of change to Secondary Market Program.

-----------------------------------------------------------------------

SUMMARY: The purpose of this Notice is to inform the public that the 
Small Business Administration (SBA) is making a change to its Secondary 
Market Loan Pooling Program. SBA is decreasing the minimum maturity 
ratio for both SBA Standard Pools and Weighted-Average Coupon (WAC) 
Pools by 100 basis points, to 94.0%. The change described in this 
Notice is being made to ensure that there are sufficient funds to cover 
the estimated cost of the timely payment guaranty for newly formed SBA 
7(a) loan pools. This change will be incorporated, as needed, into the 
SBA Secondary Market Program Guide and all other appropriate SBA 
Secondary Market documents.

DATES: This change will apply to SBA 7(a) loan pools with an issue date 
on or after October 1, 2019.

ADDRESSES: Address comments concerning this Notice to John M. Wade, 
Chief Secondary Market Division, U.S. Small Business Administration, 
409 3rd Street SW, Washington, DC 20416; or, [email protected].

FOR FURTHER INFORMATION CONTACT: John M. Wade, Chief, Secondary Market 
Division at 202-205-3647 or [email protected].

SUPPLEMENTARY INFORMATION: The Secondary Market Improvements Act of 
1984, 15 U.S.C. 634(f) through (h), authorized SBA to guarantee the 
timely payment of principal and interest on Pool Certificates. A Pool 
Certificate represents a fractional undivided interest in a ``Pool,'' 
which is an aggregation of SBA guaranteed portions of loans made by SBA 
Lenders under section 7(a) of the Small Business Act, 15 U.S.C. 636(a). 
In order to support the timely payment guaranty requirement, SBA 
established the Master Reserve Fund (MRF), which serves as a mechanism 
to cover the cost of SBA's timely payment guaranty. Borrower payments 
on the guaranteed portions of pooled loans, as well as SBA guaranty 
payments on defaulted pooled loans, are deposited into the MRF. Funds 
are held in the MRF until distributions are made to investors 
(Registered Holders) of Pool Certificates. The interest earned on the 
borrower payments and the SBA guaranty payments deposited into the MRF 
supports the timely payments made to Registered Holders.
    From time to time, SBA provides guidance to SBA Pool Assemblers on 
the required loan and pool characteristics necessary to form a Pool. 
These characteristics include, among other things, the minimum number 
of guaranteed portions of loans required to form a Pool, the allowable 
difference between the highest and lowest gross and net note rates of 
the guaranteed portions of loans in a Pool, and the minimum maturity 
ratio of the guaranteed portions of loans in a Pool. The minimum 
maturity ratio is equal to the ratio of the shortest and the longest 
remaining term to maturity of the guaranteed portions of loans in a 
Pool.
    Based on SBA's expectations as to the performance of future Pools, 
SBA has determined that SBA Pool Assemblers may increase the difference 
between the shortest and the longest remaining term of the guaranteed 
portions of loans in a Pool by 1 percentage point (i.e., decreasing the 
minimum maturity ratio by 100 basis points). SBA does not expect a 1 
percentage point reduction in the minimum maturity ratio to have an 
adverse impact on either the program or the participants in the 
program. Pools formed over the last fiscal year were required by SBA to 
have a minimum maturity ratio of at least 95.0%. SBA is now lowering 
the requirement so that Pools formed may have a minimum maturity ratio 
of at least 94.0%.Therefore, effective October 1, 2019, all guaranteed 
portions of loans in Standard Pools and WAC Pools presented for 
settlement with SBA's Fiscal Transfer Agent will be required to have a 
minimum maturity ratio of at least 94.0%. SBA is making this change 
pursuant to Section 5(g)(2) of the Small Business Act, 15 U.S.C. 
634(g)(2).
    SBA will continue to monitor loan and pool characteristics and will 
provide notification of additional changes as necessary. It is 
important to

[[Page 50877]]

note that there is no change to SBA's obligation to honor its guaranty 
of the amounts owed to Registered Holders of Pool Certificates and that 
such guaranty continues to be backed by the full faith and credit of 
the United States.
    This program change will be incorporated as necessary into SBA's 
Secondary Market Guide and all other appropriate SBA Secondary Market 
documents. As indicated above, this change will be effective for 
Standard Pools and WAC Pools with an issue date on or after October 1, 
2019.

    Dated: September 20, 2019.
William M. Manger,
Associate Administrator, Office of Capital Access.
[FR Doc. 2019-20878 Filed 9-25-19; 8:45 am]
 BILLING CODE P
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