Notification of Guarantee Loan Payment Deferrals for Business and Industry Loan Guarantees, Rural Energy for America Program Loan Guarantees, Community Facilities Loan Guarantees, and Water and Waste Loan Guarantees, 17721 [2020-06706]
Download as PDF
<![CDATA[
17721
Rules and Regulations
Federal Register
Vol. 85, No. 62
Tuesday, March 31, 2020
This section of the FEDERAL REGISTER
contains regulatory documents having general
applicability and legal effect, most of which
are keyed to and codified in the Code of
Federal Regulations, which is published under
50 titles pursuant to 44 U.S.C. 1510.
The Code of Federal Regulations is sold by
the Superintendent of Documents.
DEPARTMENT OF AGRICULTURE
Rural Utilities Service
7 CFR Part 1779
Rural Housing Service
7 CFR Part 3575
Rural Business-Cooperative Service
7 CFR Part 4287
Notification of Guarantee Loan
Payment Deferrals for Business and
Industry Loan Guarantees, Rural
Energy for America Program Loan
Guarantees, Community Facilities
Loan Guarantees, and Water and
Waste Loan Guarantees
Rural Business-Cooperative
Service, Rural Housing Service, and
Rural Utilities Service, USDA.
ACTION: Notification.
AGENCY:
The Rural-Business
Cooperative Service (RBCS), Rural
Housing Service (RHS), and Rural
Utilities Service (RUS) agencies of the
Rural Development mission area,
hereinafter referred to as Agency, will
temporarily allow lenders with
guaranteed loans with the Agency to
unilaterally offer payment deferrals for
the period specified in the DATES section
of this notification to their customers
who may be experiencing temporary
cash flow issues due to the Coronavirus
(COVID–19) pandemic.
DATES: This policy is effective March 31,
2020 and the temporary authorization
expires on September 30, 2020.
FOR FURTHER INFORMATION CONTACT: For
RBCS, Aaron Morris, Director, Program
Processing Division, 202–720–1501,
Aaron.Morris@usda.gov; for RHS,
Deborah Jackson, Director, Guaranteed
Loan Processing and Servicing Division,
202–720–8454, Deborah.Jackson2@
usda.gov; for RUS, James Fritz, Water
jbell on DSKJLSW7X2PROD with RULES
SUMMARY:
VerDate Sep<11>2014
16:11 Mar 30, 2020
Jkt 250001
and Environmental Programs, 413–253–
4303, James.Fritz2@usda.gov.
In
accordance with 7 CFR 4287.107
(RBCS), 7 CFR 3575.69 (RHS), and 7
CFR 1779.69 (RUS), the lender is
responsible for servicing the entire loan
and for taking all servicing actions that
a reasonably prudent lender would
perform in servicing its own portfolio of
loans that are not guaranteed. Beginning
immediately and through September 30,
2020, the USDA Business and Industry
Guaranteed Loan Program (B&I), Rural
Energy for America Program (REAP),
Community Facilities Guaranteed Loan
Program, and Water and Waste
Guaranteed Program lenders may assist
borrowers experiencing temporary cash
flow issues resulting from the COVID–
19 pandemic, by deferring payments for
a period no longer than 180 days from
the date the original payment is due.
The lender must notify the Agency in
writing of any payment deferments.
Written notification to the Agency will
meet the standard for concurrence until
September 30, 2020. After September
30, 2020, lenders must resume obtaining
Agency approval in accordance with all
applicable program regulations, forms,
and existing authorities. A response
from the Agency is not required. This
guidance applies to all borrowers that
had a current repayment status as of
January 31, 2020.
If the loan has been sold on the
secondary market, the secondary market
holder and lender must agree to the
deferment actions being taken. The
Agency will expect a written agreement
signed by both parties in these instances
prior to executing any payment deferral
action.
The Agency does not consider a loan
that is under a deferral or forbearance
agreement to be a delinquent loan.
Unpaid interest accruing during a
deferral or forbearance agreement is not
subject to the limitation of the guarantee
of accrued interest under 7 CFR
4287.145(d) (RBCS), 7 CFR 3575.3
(RHS), nor 7 CFR 1779.3 (RUS).
SUPPLEMENTARY INFORMATION:
Bette B. Brand,
Deputy Under Secretary Rural Development.
[FR Doc. 2020–06706 Filed 3–27–20; 11:15 am]
BILLING CODE 3410–XY–P
PO 00000
Frm 00001
Fmt 4700
Sfmt 4700
DEPARTMENT OF TREASURY
Office of the Comptroller of the
Currency
12 CFR Part 3
[Docket ID OCC–2018–0030; RIN 1557–
AE44]
FEDERAL RESERVE SYSTEM
12 CFR Part 217
[Regulation Q; Docket No. R–1629; RIN
7100–AF22]
FEDERAL DEPOSIT INSURANCE
CORPORATION
12 CFR Part 324
RIN 3064–AF43
Standardized Approach for Calculating
the Exposure Amount of Derivative
Contracts
Office of the Comptroller of the
Currency, Treasury; the Board of
Governors of the Federal Reserve
System; and the Federal Deposit
Insurance Corporation.
ACTION: Notification.
AGENCY:
In light of recent economic
disruptions caused by the COVID–19
virus and recent volatility in U.S.
financial markets, the Office of the
Comptroller of the Currency, the Board
of Governors of the Federal Reserve
System, and the Federal Deposit
Insurance Corporation (collectively, the
agencies) are issuing a document to
allow depository institutions and
depository institution holding
companies to implement the final rule
titled Standardized Approach for
Calculating the Exposure Amount of
Derivative Contracts (SA–CCR rule) for
the first quarter of 2020, on a best efforts
basis.
DATES: Effective March 31, 2020.
FOR FURTHER INFORMATION CONTACT:
OCC: Margot Schwadron, Director, or
Guowei Zhang, Risk Expert, Capital and
Regulatory Policy, (202) 649–6370; or
Carl Kaminski, Special Counsel, Kevin
Korzeniewski, Counsel, Daniel Perez,
Senior Attorney, Chief Counsel’s Office,
(202) 649–5490; the Office of the
Comptroller of the Currency, 400 7th
Street SW, Washington, DC 20219.
Board: Constance M. Horsley, Deputy
Associate Director, (202) 452–5239;
SUMMARY:
E:\FR\FM\31MRR1.SGM
31MRR1
]]>Agencies
[Federal Register Volume 85, Number 62 (Tuesday, March 31, 2020)]
[Rules and Regulations]
[Page 17721]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-06706]
========================================================================
Rules and Regulations
Federal Register
________________________________________________________________________
This section of the FEDERAL REGISTER contains regulatory documents
having general applicability and legal effect, most of which are keyed
to and codified in the Code of Federal Regulations, which is published
under 50 titles pursuant to 44 U.S.C. 1510.
The Code of Federal Regulations is sold by the Superintendent of Documents.
========================================================================
Federal Register / Vol. 85, No. 62 / Tuesday, March 31, 2020 / Rules
and Regulations
[[Page 17721]]
DEPARTMENT OF AGRICULTURE
Rural Utilities Service
7 CFR Part 1779
Rural Housing Service
7 CFR Part 3575
Rural Business-Cooperative Service
7 CFR Part 4287
Notification of Guarantee Loan Payment Deferrals for Business and
Industry Loan Guarantees, Rural Energy for America Program Loan
Guarantees, Community Facilities Loan Guarantees, and Water and Waste
Loan Guarantees
AGENCY: Rural Business-Cooperative Service, Rural Housing Service, and
Rural Utilities Service, USDA.
ACTION: Notification.
-----------------------------------------------------------------------
SUMMARY: The Rural-Business Cooperative Service (RBCS), Rural Housing
Service (RHS), and Rural Utilities Service (RUS) agencies of the Rural
Development mission area, hereinafter referred to as Agency, will
temporarily allow lenders with guaranteed loans with the Agency to
unilaterally offer payment deferrals for the period specified in the
DATES section of this notification to their customers who may be
experiencing temporary cash flow issues due to the Coronavirus (COVID-
19) pandemic.
DATES: This policy is effective March 31, 2020 and the temporary
authorization expires on September 30, 2020.
FOR FURTHER INFORMATION CONTACT: For RBCS, Aaron Morris, Director,
Program Processing Division, 202-720-1501, [email protected]; for
RHS, Deborah Jackson, Director, Guaranteed Loan Processing and
Servicing Division, 202-720-8454, [email protected]; for RUS,
James Fritz, Water and Environmental Programs, 413-253-4303,
[email protected].
SUPPLEMENTARY INFORMATION: In accordance with 7 CFR 4287.107 (RBCS), 7
CFR 3575.69 (RHS), and 7 CFR 1779.69 (RUS), the lender is responsible
for servicing the entire loan and for taking all servicing actions that
a reasonably prudent lender would perform in servicing its own
portfolio of loans that are not guaranteed. Beginning immediately and
through September 30, 2020, the USDA Business and Industry Guaranteed
Loan Program (B&I), Rural Energy for America Program (REAP), Community
Facilities Guaranteed Loan Program, and Water and Waste Guaranteed
Program lenders may assist borrowers experiencing temporary cash flow
issues resulting from the COVID-19 pandemic, by deferring payments for
a period no longer than 180 days from the date the original payment is
due. The lender must notify the Agency in writing of any payment
deferments. Written notification to the Agency will meet the standard
for concurrence until September 30, 2020. After September 30, 2020,
lenders must resume obtaining Agency approval in accordance with all
applicable program regulations, forms, and existing authorities. A
response from the Agency is not required. This guidance applies to all
borrowers that had a current repayment status as of January 31, 2020.
If the loan has been sold on the secondary market, the secondary
market holder and lender must agree to the deferment actions being
taken. The Agency will expect a written agreement signed by both
parties in these instances prior to executing any payment deferral
action.
The Agency does not consider a loan that is under a deferral or
forbearance agreement to be a delinquent loan. Unpaid interest accruing
during a deferral or forbearance agreement is not subject to the
limitation of the guarantee of accrued interest under 7 CFR 4287.145(d)
(RBCS), 7 CFR 3575.3 (RHS), nor 7 CFR 1779.3 (RUS).
Bette B. Brand,
Deputy Under Secretary Rural Development.
[FR Doc. 2020-06706 Filed 3-27-20; 11:15 am]
BILLING CODE 3410-XY-P
