Revision to Electric Program Operating Policies and Procedures, 17271-17276 [2024-05076]
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17271
Rules and Regulations
Federal Register
Vol. 89, No. 48
Monday, March 11, 2024
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 Parts 1710, 1717, 1721, 1726,
and 1730
[Docket No. RUS–23–ELECTRIC–0024]
RIN 0572–AC64
Revision to Electric Program Operating
Policies and Procedures
Rural Utilities Service, U.S.
Department of Agriculture (USDA).
ACTION: Final rule; request for comment.
AGENCY:
The Rural Utilities Service
(RUS), a Rural Development (RD)
agency of the United States Department
of Agriculture (USDA), is issuing a final
rule with request for comments. The
intent of this rulemaking is to provide
more flexibility for the RUS Electric
Program borrowers to complete
emergency repairs while maintaining
the ability to receive RUS financing, to
delete unnecessary and outdated
requirements imposed on electric
borrowers and applicants and provide
flexibility in selecting construction
procurement methods that better
support applicant needs in awarding
construction contracts. These changes
will reduce agency travel costs by
extending the time between the required
review period for operations and
maintenance reviews, reduce the
number of reviews for RUS Electric
Program staff, and increase customer
satisfaction and service.
DATES: This final rule is effective June
10, 2024.
Comments must be submitted on or
before May 10, 2024.
ADDRESSES: You may submit comments,
identified by Docket Number (RUS–23–
ELECTRIC–0024) or the RIN # (0572–
AC64).
• Federal eRulemaking Portal: Follow
instructions for sending comments. In
the ‘‘Search Documents’’ box, enter the
Docket Number (RUS–23–ELECTRIC–
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0024) or the RIN # (0572–AC64)
provided in this rule, and click the
‘‘Search’’ button. To submit a comment,
choose the ‘‘Comment’’ button
associated with the rule. Information on
using Regulations.gov, including
instructions for accessing documents,
submitting comments, and viewing the
docket after the close of the comment
period, is available under the ‘‘FAQ’’
link at the bottom of the home page.
Other Information: Additional
information about RD and its programs
is available on the internet at
www.rd.usda.gov/programs-services.
Instructions: All submissions received
must include the agency name and
docket number or Regulatory
Information Number (RIN) for this
rulemaking. All comments received will
be posted without change to
www.regulations.gov, including any
personal information provided.
FOR FURTHER INFORMATION CONTACT:
Mark Bartholomew, Rural Utilities
Service Electric Program, Rural
Development, United States Department
of Agriculture, 1400 Independence
Avenue SW, STOP 1560, Washington,
DC 20250; 704–544–4612
mark.bartholomew@usda.gov.
SUPPLEMENTARY INFORMATION:
I. Background
Rural Development (RD) is a mission
area within the U.S. Department of
Agriculture (USDA) comprising the
Rural Utilities Service (RUS), Rural
Housing Service, and Rural BusinessCooperative Service. RD’s mission is to
increase economic opportunity and
improve the quality of life for all rural
Americans. RD meets its mission by
providing loans, loan guarantees, grants,
and technical assistance through
numerous programs aimed at creating
and improving housing, business, and
infrastructure throughout rural America.
RUS loan, loan guarantee, and grant
programs act as a catalyst for economic
and community development. By
financing improvements to rural
electric, water and waste, and
telecommunications and broadband
infrastructure, RUS also plays a
significant role in improving other
measures of quality of life in rural
America, including public health and
safety, environmental protection, and
cultural and historic preservation. The
RUS Electric Program provides funding
to maintain, expand, upgrade, and
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modernize America’s rural electric
infrastructure. The loans and loan
guarantees finance the construction or
improvement of electric distribution,
transmission, and generation facilities
in rural areas.
This rulemaking is part of the RUS
Electric Program’s continuing effort to
improve customer service for its
borrowers and to create a more efficient
work process for its staff. This
rulemaking will continue to streamline
RUS Electric Program procedures and
revise regulations, including removing
unnecessary and outdated regulation
references, and simplifying policies and
procedures to increase flexibilities for
borrowers and applicants.
The goal of these proposed changes is
to provide more flexibility for RUS
Electric Program borrowers in (1)
completing emergency repairs while
maintaining the ability to receive RUS
financing, (2) selecting construction
procurement methods that better
support their needs in awarding
construction contracts, and (3) delete
unnecessary and outdated requirements
imposed on electric borrowers and
applicants. RUS expects that these
actions will enhance RUS and customer
efficiency, thereby increasing customer
satisfaction and service.
The proposed changes will improve
customer experience and customer
service and allow RUS to better focus on
feasibility and security issues while
lessening the burdens on the RUS
Electric Program borrowers. In addition,
the changes will provide flexibility in
making business decisions, and reduces
the number of reviews for RUS Electric
Program staff. These actions should not
impose additional costs on applicants or
on electric borrowers as the proposed
changes increase flexibility for the
Borrowers under existing requirements.
These changes will positively affect the
RUS Electric borrower experience and
enhance RUS customer service by
simplifying policies and procedures to
increase flexibilities for electric
borrowers and applicants, minimizing
the regulatory impact of applying for
loans made or guaranteed by RUS, and
facilitating lending for construction of
rural electric infrastructure.
II. Summary of Changes to Rule
7 CFR 1710.250 General
The construction work plans and
related studies coverages are modified
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to include acts of sabotage, willful
attacks, accidents, or acts of force
majeure as additional events that qualify
for emergency repairs before a
construction work plan amendment is
prepared by the borrower. These
modifications will provide borrowers
increased flexibility and options to
proceed with emergency repair work
without losing eligibility for RUS
financing.
7 CFR 1710.500
Initial Contact
This change is to correct a citation
and is being made to ensure applicants
and borrowers are directed to the correct
section in the regulation.
7 CFR 1710.501
Documents
Loan Application
This change amends the paragraph by
removing paragraphs (a)(9) and (13).
These deletions will remove
certifications that are no longer required
to be submitted by applicants. The
certifications being removed are part of
the Financial Assistance General
Certifications and Representations in
the System for Award Management that
must be completed when applying for
an award and updated annually. The
remaining paragraphs in § 1710.501(a)
will be redesignated accordingly as part
of this amendment.
7 CFR 1717.156 Transitional
Assistance Affecting Preexisting Loans
Transitional assistance affecting
preexisting loans, is amended to replace
two incorrect citations in the paragraph.
These corrections will ensure borrowers
know the correct regulation citation to
review.
7 CFR 1721.1
Advances
Paragraphs (b) and (c) are modified to
increase the limit for minor projects and
projects requiring a contract or work
order number. This change is being
made to adjust for inflation over time
and will provide greater flexibility for
borrowers to complete more projects
under this process which allows the
borrowers to complete needed
infrastructure improvements in a
timelier fashion.
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7 CFR 1726.14
Definitions
The definition of ‘‘Minor
modification’’ is amended to increase
the project cost and the definition of
‘‘Multiparty unit price quotations’’ is
being deleted. This change will provide
borrowers more flexibility to utilize
purchase orders or other construction
contracts for smaller projects without
having to use RUS’ standard contract
forms.
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7 CFR 1726.51 Procurement Methods
To Award Contracts for Distribution
Line Construction
Paragraph (b)(1) is modified to
increase limits, increase Net Utility
Plant (NUP) percentages, and delete the
‘‘not to exceed’’ limitations. These
changes are being made to provide
Electric Program borrowers greater
flexibility in determining the
procurement method that best meets
their needs to award construction
contracts.
7 CFR 1726.77 Substation and
Transmission Line Construction
Paragraph (b)(1) is modified to
increase limits, increase Net Utility
Plant (NUP) percentages, and delete the
‘‘not to exceed’’ limitations. Paragraph
(c) is changed to increase contract
approval amounts and delete the ‘‘not to
exceed’’ limitations. These changes are
being made to provide Electric Program
borrowers greater flexibility in
determining the procurement method
that best meets their needs to award
construction contracts. It will also
reduce the number of construction
contracts that need to be reviewed and
approved by RUS Staff.
7 CFR 1726.125
Facilities
Generating Plant
Paragraph (c) is amended to remove
an incorrect citation that does not exist
in the regulation.
7 CFR 1726.150
Buildings
Headquarters
A sentence in paragraph (b) is
amended to delete the ‘‘not to exceed’’
limitation and increase the percent of
NUP from three percent to four percent.
These changes are being made to
provide borrowers greater flexibility in
determining the procurement method
that best meets their needs to award
construction contracts.
7 CFR 1726.176 Communication and
Control Facilities
Paragraph (b) limitations for Load
control systems, communications
systems, and SCADA systems is
modified to increase limits, increase
NUP percentages and delete the ‘‘not to
exceed’’ limitations. These changes are
being made to provide Electric Program
borrowers greater flexibility in
determining the procurement method
that best meets their needs to award
construction contracts. It will also
reduce the number of construction
contracts that need to be reviewed and
approved by RUS Staff.
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7 CFR 1726.204
Quotations
Multiparty Unit Price
This section is removed and reserved
as a conforming change to a prior
streamlining effort. Multiparty Unit
Price Quotations are no longer
specifically sited or used in the
regulations.
7 CFR 1730.24
Evaluation
RUS Review and
This section is modified to increase
the Operations and Maintenance review
period from normally every three years
to normally every four years. This
change is being made to better match
the four-year construction work plan
(CWP) period. The Agency will also see
savings from reduced travel time due to
increasing the review period.
7 CFR 1730.100
OMB Control Number
This section is updated to revise the
Office of Management and Budget
(OMB) control number.
III. Executive Orders and Acts
Executive Order 12866—Classification
This rulemaking has been determined
to be non-significant for purposes of
Executive Order (E.O.) 12866 and,
therefore, has not been reviewed by the
Office of Management and Budget
(OMB).
Congressional Review Act
Pursuant to the Congressional Review
Act (5 U.S.C. 801 et seq.), the Office of
Information and Regulatory Affairs
designated this rulemaking as not a
major rule, as defined by 5 U.S.C.
804(2).
Assistance Listing Number (Formally
Known as the Catalog of Federal
Domestic Assistance)
The Assistance Listing Number
assigned to the Rural Electrification
Loans and Loan Guarantees Program is
10.850. The Assistance Listings are
available on the internet at https://
sam.gov/.
Executive Order 12372,
Intergovernmental Review of Federal
Programs
This rulemaking is excluded from the
scope of E.O. 12372, Intergovernmental
Consultation, which may require a
consultation with State and local
officials. See the final rule related notice
entitled, ‘‘Department Programs and
Activities Excluded from E.O. 12372’’
(50 FR 47034) advising that RUS loans
and loan guarantees were not covered
by E.O. 12372.
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Paperwork Reduction Act
This rulemaking contains no new
reporting or recordkeeping burdens
under OMB control number 0572–0032
that would require approval under the
Paperwork Reduction Act of 1995 (44
U.S.C. Chapter 35).
National Environmental Policy Act
In accordance with the National
Environmental Policy Act of 1969,
Public Law 91–190, this final rule has
been reviewed in accordance with 7
CFR part 1970 (‘‘Environmental Policies
and Procedures’’). RUS has determined
that (i) this action meets the criteria
established in 7 CFR 1970.53(f); (ii) no
extraordinary circumstances exist; and
(iii) the action is not ‘‘connected’’ to
other actions with potentially
significant impacts, is not considered a
‘‘cumulative action’’ and is not
precluded by 40 CFR 1506.1. Therefore,
RUS has determined that the action
does not have a significant effect on the
human environment, and therefore
neither an Environmental Assessment
nor an Environmental Impact Statement
is required.
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Regulatory Flexibility Act
The Regulatory Flexibility Act (5
U.S.C. 601 et seq.) generally requires an
agency to prepare a regulatory flexibility
analysis of any rule subject to notice
and comment rulemaking requirements
under the Administrative Procedure Act
(APA) or any other statute. The
Administrative Procedure Act exempts
from notice and comment requirements
rules ‘‘relating to agency management or
personnel or to public property, loans,
grants, benefits, or contracts’’ (5 U.S.C.
553(a)(2)), so therefore an analysis has
not been prepared for this rule.
Executive Order 12988—Civil Justice
Reform
This rule has been reviewed under
E.O. 12988, Civil Justice Reform. In
accordance with this rule: (1) unless
otherwise specifically provided, all
State and local laws that conflict with
this rule will be preempted; (2) no
retroactive effect will be given to this
rule except as specifically prescribed in
the rule; and (3) administrative
proceedings of the National Appeals
Division of the Department of
Agriculture (7 CFR part 11) must be
exhausted before bringing suit in court
that challenges action taken under this
rule.
Unfunded Mandates Reform Act
(UMRA)
Title II of the UMRA, Public Law 104–
4, establishes requirements for Federal
Agencies to assess the effects of their
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regulatory actions on State, local, and
Tribal governments and on the private
sector. Under section 202 of the UMRA,
Federal agencies generally must prepare
a written statement, including costbenefit analysis, for proposed and Final
Rules with ‘‘Federal mandates’’ that
may result in expenditures to State,
local, or Tribal governments, in the
aggregate, or to the private sector, of
$100 million or more in any one year.
When such a statement is needed for a
rule, section 205 of the UMRA generally
requires a Federal agency to identify
and consider a reasonable number of
regulatory alternatives and adopt the
least costly, most cost-effective, or least
burdensome alternative that achieves
the objectives of the rule.
This rulemaking contains no Federal
mandates (under the regulatory
provisions of title II of the UMRA) for
State, local, and Tribal governments or
for the private sector. Therefore, this
rule is not subject to the requirements
of sections 202 and 205 of the UMRA.
Executive Order 13132—Federalism
It has been determined, under E.O.
13132, Federalism, that 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.
Executive Order 13175—Consultation
and Coordination With Indian Tribal
Governments
This executive order imposes
requirements on RUS in the
development of regulatory policies that
have Tribal implications or preempt
Tribal laws. RUS has determined that
the rule does not have a substantial
direct effect on one or more Indian
Tribe(s) or on either the relationship or
the distribution of powers and
responsibilities between the Federal
Government and Indian Tribes. Thus,
this rule is not subject to the
requirements of Executive Order 13175.
If Tribal leaders are interested in
consulting with RUS on this rule, they
are encouraged to contact USDA’s Office
of Tribal Relations or RD’s Tribal
Relations Team at: AIAN@usda.gov to
request such a consultation.
E-Government Act Compliance
RD is committed to the E-Government
Act of 2002, Public Law 107–347, which
requires Government agencies in general
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to provide the public the option of
submitting information or transacting
business electronically to the maximum
extent possible and to promote the use
of the internet and other information
technologies to provide increased
opportunities for citizen access to
government information and services,
and for other purposes.
Civil Rights Impact Analysis
RD has reviewed this rule in
accordance with USDA Regulation
4300–004, ‘‘Civil Rights Impact
Analysis,’’ to identify any major civil
rights impacts the rule might have on
program participants on the basis of age,
race, color, national origin, sex,
disability, marital or familial status.
Based on the review and analysis of the
rule and all available data, issuance of
this Final Rule is not likely to negatively
impact low and moderate-income
populations, minority populations,
women, Indian Tribes, or persons with
disability, by virtue of their age, race,
color, national origin, sex, disability, or
marital or familial status.
USDA Non-Discrimination Statement
In accordance with Federal civil
rights laws and USDA civil rights
regulations and policies, the USDA, its
Mission Areas, agencies, staff offices,
employees, and institutions
participating in or administering USDA
programs are prohibited from
discriminating based on race, color,
national origin, religion, sex, gender
identity (including gender expression),
sexual orientation, disability, age,
marital status, family/parental status,
income derived from a public assistance
program, political beliefs, or reprisal or
retaliation for prior civil rights activity,
in any program or activity conducted or
funded by USDA (not all bases apply to
all programs). Remedies and complaint
filing deadlines vary by program or
incident.
Program information may be made
available in languages other than
English. Persons with disabilities who
require alternative means of
communication to obtain program
information (e.g., Braille, large print,
audiotape, American Sign Language)
should contact the responsible Mission
Area, agency, or staff office; or the 711
Relay Service.
To file a program discrimination
complaint, a complainant should
complete a Form AD–3027, USDA
Program Discrimination Complaint
Form, which can be obtained online at
https://www.usda.gov/sites/default/
files/documents/ad-3027.pdf, from any
USDA office, by calling (866) 632–9992,
or by writing a letter addressed to
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USDA. The letter must contain the
complainant’s name, address, telephone
number, and a written description of the
alleged discriminatory action in
sufficient detail to inform the Assistant
Secretary for Civil Rights (ASCR) about
the nature and date of an alleged civil
rights violation. The completed AD–
3027 form or letter must be submitted to
USDA by:
a. Mail: U.S. Department of
Agriculture, Office of the Assistant
Secretary for Civil Rights, 1400
Independence Avenue SW, Washington,
DC 20250–9410; or
b. Fax: (833) 256–1665 or (202) 690–
7442; or
c. Email: program.intake@usda.gov.
List of Subjects
Subpart I—Application Requirements
and Procedures for Loans
3. Amend § 1710.500 by revising
paragraph (b) to read as follows:
■
7 CFR Part 1710
Electric power, Grant programs—
energy, Loan programs—energy,
Reporting and recordkeeping
requirements, Rural areas.
§ 1710.500
Initial contact.
*
*
*
*
*
(b) Before submitting an application
for an insured loan the borrower shall
ascertain from RUS the amount of
supplemental financing required, as set
forth in § 1710.110. If the borrower is
applying for either a municipal rate loan
subject to the interest rate cap or a
hardship rate loan, the application must
provide a preliminary breakdown of
residential consumers either by county,
Tribal land or by census tract. Final data
must be included with the application.
See § 1710.501(a)(7).
7 CFR Part 1717
Administrative practice and
procedure, Electric power, Electric
power rates, Electric utilities,
Intergovernmental relations,
Investments, Loan programs—energy,
Reporting and recordkeeping
requirements, Rural areas.
7 CFR Part 1721
Electric power, Grant programs—
energy, Loan programs—energy,
Reporting and recordkeeping
requirements, Rural areas.
§ 1710.501
[Amended]
4. Amend § 1710.501 by removing
paragraphs (a)(9) and (13) and
redesignating paragraphs (a)(10), (11),
(12), and (14) through (16) as paragraphs
(a)(9) through (14).
■
7 CFR Part 1726 and 1730
Electric power, Loan programs—
energy, Reporting and recordkeeping
requirements, Rural areas.
For the reasons set forth in the
preamble, RUS amends 7 CFR parts
1710, 1717, 1721, 1726, and 1730 as
follows:
PART 1717—POST-LOAN POLICIES
AND PROCEDURES COMMON TO
INSURED AND GUARANTEED
ELECTRIC LOANS
5. The authority citation for part 1717
continues to read as follows:
PART 1710—GENERAL AND PRELOAN POLICIES AND PROCEDURES
COMMON TO ELECTRIC LOANS AND
GUARANTEES
■
1. The authority citation for part 1710
continues to read as follows:
Subpart D—Mergers and
Consolidations of Electric Borrowers
Authority: 7 U.S.C. 901 et seq., 1921 et
seq., and 6941 et seq.
■
■
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willful attacks, accidents, or acts of
force majeure, a borrower may proceed
with emergency repair work before a
CWP or CWP amendment is prepared by
the borrower and approved by RUS,
without losing eligibility for RUS
financing of the repairs. The borrower
must notify RUS in writing after the
incident, of its preliminary estimates of
damages and repair costs. Not later than
120 days after the incident, the borrower
must submit to RUS for approval, a
CWP or CWP amendment detailing the
repairs.
*
*
*
*
*
6. Revise § 1717.156 to read as
follows:
Subpart F—Construction Work Plans
and Related Studies
2. Amend § 1710.250 by revising
paragraph (f) to read as follows:
■
§ 1710.250
General.
*
*
*
*
*
(f) In the case of damage caused by
storms, natural catastrophes, sabotage,
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Authority: 7 U.S.C. 901 et seq., 1921 et
seq., and 6941 et seq.
§ 1717.156 Transitional assistance
affecting preexisting loans.
The fund advance period for an
insured loan, which is the period during
which RUS may advance loan funds to
a borrower, terminates automatically
after a specific period of time. See 7 CFR
1710.602. If, on the effective date the
original fund advance period or the
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fund advance period as extended
pursuant to 7 CFR 1710.602(b), on any
preexisting RUS loan to any of the
active borrowers involved in a merger
has not terminated, such fund advance
period shall be automatically
lengthened by 2 years. However, under
no circumstances shall RUS ever make
or approve an advance, regardless of the
last day for an advance on the loan note
or any extension by the Administrator,
later than September 30 of the fifth year
after the fiscal year of obligation if such
date would result in the RUS obligating
or permitting advance of funds contrary
to the Anti-Deficiency Act. On the
borrower’s request RUS will prepare
documents necessary for the advance of
loan funds. RUS will prepare
documents for the borrower’s execution
that will reflect this extension and will
provide the legal authority for RUS to
advance funds to the successor.
PART 1721—POST-LOAN POLICIES
AND PROCEDURES FOR INSURED
ELECTRIC LOANS
7. The authority citation for part 1721
continues to read as follows:
■
Authority: 7 U.S.C. 901 et seq., 1921 et
seq., and 6941 et seq.
Subpart A—Advances
8. Amend § 1721.1 by revising
paragraph (b) and paragraph (c)
introductory text to read as follows:
■
§ 1721.1
Advances.
*
*
*
*
*
(b) Minor project. Minor project
means a project costing $250,000 or less.
Such a project qualifies for advance of
loan funds even though it may not have
been included in an RUS-approved
borrower’s CWP, amendment to such
CWP, or approved loan. Total advances
requested shall not exceed the total loan
amount. All projects for which loan
fund advances are requested must be
constructed to achieve purposes
permitted by terms of the loan contract
between the borrower and RUS.
(c) Certification. Pursuant to the
applicable provisions of the RUS loan
contract, borrowers must certify with
each request for funds to be approved
for advance that such funds are for
projects in compliance with this section
and shall also provide for those that cost
in excess of $250,000 a contract or work
order number as applicable and a CWP
cross-reference project coded
identification number. For a minor
project not included in a RUS approved
borrower’s CWP or CWP amendment,
the Borrower shall describe the project
and do one of the following to satisfy
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RUS’ environmental review
requirements in accordance with 7 CFR
part 1970:
*
*
*
*
*
§ 1726.77 Substation and transmission
line construction.
Subpart E—Buildings
*
■
11. Amend § 1726.51 by revising
paragraph (b)(1) to read as follows:
*
*
*
*
(b) * * *
(1) It is the responsibility of each
borrower to determine the procurement
method that best meets its needs to
award contracts in amounts of up to a
cumulative total of $1,000,000 or four
percent of NUP, whichever is greater,
per calendar year of substation and
transmission line construction
(including minor modifications or
improvements), exclusive of the cost of
owner furnished materials and
equipment. Borrowers may award CostPlus/Hourly contracts as part of these
borrower responsibility limits up to a
cumulative total of $500,000 or two
percent of NUP, whichever is greater,
per calendar year of substation and
transmission line construction
(including minor modifications or
improvements), exclusive of the cost of
owner furnished materials and
equipment.
*
*
*
*
*
(c) Contract approval. Individual
contracts in the amount of $1,000,000 or
more or four percent of NUP, whichever
is greater, exclusive of the cost of owner
furnished materials and equipment, are
subject to RUS approval.
§ 1726.51
Subpart D—Generation Facilities
PART 1726—ELECTRIC SYSTEM
CONSTRUCTION POLICIES AND
PROCEDURES
9. The authority citation for part 1726
continues to read as follows:
■
Authority: 7 U.S.C. 901 et seq., 1921 et
seq., and 6941 et seq.
Subpart A—General
10. Amend § 1726.14 by revising the
definition of ‘‘Minor modification or
improvement’’ and removing the
definition of ‘‘Multiparty unit price
quotations’’.
The revision reads as follows:
■
§ 1726.14
Definitions.
*
*
*
*
*
Minor modification or improvement
means a project the cost of which is
$250,000 or less, exclusive of the cost of
owner furnished materials.
*
*
*
*
*
Subpart B—Distribution Facilities
■
Distribution line construction.
ddrumheller on DSK120RN23PROD with RULES1
*
*
*
*
*
(b) * * *
(1) It is the responsibility of each
borrower to determine the procurement
method that best meets its needs to
award contracts in amounts of up to a
cumulative total of $1,000,000 or four
percent of NUP, whichever is greater,
per calendar year of distribution line
construction (including minor
modifications or improvements),
exclusive of the cost of owner furnished
materials and equipment. Borrowers
may award Cost-Plus/Hourly contracts
as part of these borrower responsibility
limits up to a cumulative total of
$500,000 or two percent of NUP,
whichever is greater, per calendar year
of distribution line construction
(including minor modifications or
improvements), exclusive of the cost of
owner furnished materials and
equipment.
*
*
*
*
*
Subpart C—Substation and
Transmission Facilities
12. Amend § 1726.77 by revising
paragraphs (b)(1) and (c) to read as
follows:
■
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13. Amend § 1726.125 by revising
paragraph (c) introductory text to read
as follows:
■
§ 1726.125
Generating plant facilities.
*
*
*
*
*
(c) Contract approval. During the
early stages of generating plant design or
project design, RUS will, in consultation
with the borrower and its consulting
engineer, identify the specific contracts
which require RUS approval based on
information supplied in the plant design
manual. The following are typical
contracts for each type of generating
project which will require RUS
approval. Although engineering services
are not covered by this part, they are
listed in this paragraph to emphasize
that RUS approval is required for all
major generating station engineering
service contracts in accordance with
applicable RUS rules. For types of
projects not shown, such as nuclear and
alternate energy projects, RUS will
identify the specific contracts which
will require RUS approval on a case-bycase basis.
*
*
*
*
*
PO 00000
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17275
14. Amend § 1726.150 by revising
paragraph (b) to read as follows:
§ 1726.150
Headquarters buildings.
*
*
*
*
*
(b) Procurement procedures. A
borrower may use Multiparty Lump
Sum Quotations to award contracts in
amounts of up to a cumulative total of
$1,500,000 or four percent of NUP,
whichever is greater, per calendar year
of headquarters construction (including
minor modifications or improvements).
The borrower shall use formal
competitive bidding for all other
headquarters contract construction
unless RUS specifically approves an
alternative method.
*
*
*
*
*
Subpart F—General Plant
15. Amend § 1726.176 by revising
paragraphs (b)(2)(i) and (b)(3) to read as
follows:
■
§ 1726.176
facilities.
Communication and control
*
*
*
*
*
(b) * * *
(2) * * *
(i) It is the responsibility of each
borrower to determine the procurement
method that best meets its needs to
award contracts not requiring RUS
approval in amounts of up to a
cumulative total of $1,000,000 or four
percent of NUP, whichever is greater,
per calendar year of communications
and control facilities construction
(including minor modifications or
improvements), exclusive of the cost of
owner furnished materials and
equipment.
*
*
*
*
*
(3) Contract approval. Individual
contracts in amounts of $1,000,000 or
more or four percent of NUP, whichever
is greater, exclusive of the cost of owner
furnished materials and equipment, are
subject to RUS approval.
Subpart G—Procurement Procedures
§ 1726.204
■
[Removed and Reserved].
16. Remove and reserve § 1726.204.
PART 1730—ELECTRIC SYSTEMS
OPERATIONS AND MAINTENANCE
17. The authority citation for part
1730 continues to read as follows:
■
Authority: 7 U.S.C. 901 et seq., 1921 et
seq., and 6941 et seq.
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Federal Register / Vol. 89, No. 48 / Monday, March 11, 2024 / Rules and Regulations
Subpart B—Operations and
Maintenance Requirements
DEPARTMENT OF TRANSPORTATION
Federal Aviation Administration
18. Revise § 1730.24 to read as
follows:
14 CFR Part 25
§ 1730.24
[Docket No. FAA–2023–2441; Special
Conditions No. 25–853–SC]
■
RUS review and evaluation.
RUS will initiate and conduct a
periodic review and evaluation of the
operations and maintenance practices of
each borrower for the purpose of
assessing loan security and determining
borrower compliance with RUS policy
as outlined in this part. This review will
normally be done at least once every
four years for all Borrowers. The
borrower will make available to RUS the
borrower’s policies, procedures, and
records related to the operations and
maintenance of its complete system.
Reports made by other inspectors (e.g.,
other Federal agencies, State inspectors,
etc.) will also be made available, as
applicable. RUS will not duplicate these
other reviews but will use their reports
to supplement its own review. RUS may
inspect facilities, as well as records, and
may also observe construction and
maintenance work in the field. Key
borrower personnel responsible for the
facilities being inspected are to
accompany RUS during such
inspections, unless otherwise
determined by RUS. RUS personnel may
prepare an independent summary of the
operations and maintenance practices of
the borrower. The borrower’s
management will discuss this review
and evaluation with its Board of
Directors.
Subpart C—Interconnection of
Distributed Resources
19. Revise § 1730.100 to read as
follows:
■
§ 1730.100
OMB control number.
The information collection
requirements in this part are approved
by the Office of Management and
Budget and assigned OMB control
number 0572–0025.
Andrew Berke,
Administrator, Rural Utilities Service.
[FR Doc. 2024–05076 Filed 3–8–24; 8:45 am]
ddrumheller on DSK120RN23PROD with RULES1
BILLING CODE 3410–15–P
VerDate Sep<11>2014
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Jkt 262001
Special Conditions: Gulfstream
Aerospace Corporation Model GVIII–
G700 and GVIII–G800 Airplanes; Flight
Envelope Protection: High-Incidence
Protection System (Non-Icing and Icing
Conditions)
Federal Aviation
Administration (FAA), DOT.
ACTION: Final special conditions; request
for comments.
AGENCY:
These special conditions are
issued for the Gulfstream Aerospace
Corporation (Gulfstream) Model GVIII–
G700 and GVIII–G800 series airplanes.
These airplanes will have a novel or
unusual design feature when compared
to the state of technology envisioned in
the airworthiness standards for
transport-category airplanes. This
design feature is a high-incidence
protection system that limits the angle
of attack at which the airplane can be
flown during normal low speed
operation. The applicable airworthiness
regulations do not contain adequate or
appropriate safety standards for this
design feature. These special conditions
contain the additional safety standards
that the Administrator considers
necessary to establish a level of safety
equivalent to that established by the
existing airworthiness standards.
DATES:
Effective date: This action is effective
on Gulfstream on March 11, 2024.
Comments due date: Send comments
on or before April 25, 2024.
ADDRESSES: Send comments identified
by Docket No. FAA–2023–2441 using
any of the following methods:
• Federal eRegulations Portal: Go to
www.regulations.gov and follow the
online instructions for sending your
comments electronically.
• Mail: Send comments to Docket
Operations, M–30, U.S. Department of
Transportation (DOT), 1200 New Jersey
Avenue SE, Room W12–140, West
Building Ground Floor, Washington, DC
20590–0001.
• Hand Delivery or Courier: Take
comments to Docket Operations in
Room W12–140 of the West Building
Ground Floor at 1200 New Jersey
Avenue SE, Washington, DC, between 9
a.m. and 5 p.m., Monday through
Friday, except Federal holidays.
• Fax: Fax comments to Docket
Operations at 202–493–2251.
SUMMARY:
PO 00000
Frm 00006
Fmt 4700
Sfmt 4700
• Docket: Background documents or
comments received may be read at
www.regulations.gov at any time.
Follow the online instructions for
accessing the docket or go to Docket
Operations in Room W12–140 of the
West Building Ground Floor at 1200
New Jersey Avenue SE, Washington,
DC, between 9 a.m. and 5 p.m., Monday
through Friday, except Federal holidays.
FOR FURTHER INFORMATION CONTACT: Troy
Brown, Performance and Environment
Unit, AIR–621A, Technical Policy
Branch, Policy and Standards Division,
Aircraft Certification Service, Federal
Aviation Administration, 1801 S Airport
Rd., Wichita, KS 67209–2190; telephone
405–666–1050; email troy.a.brown@
faa.gov.
The
anticipated delivery date for these
airplane models is imminent. Therefore,
the FAA finds, pursuant to 14 CFR
11.38(a), that prior notice and comments
would significantly delay delivery of the
affected aircraft, so notice and comment
prior to this publication are
impracticable. Therefore, the FAA is
issuing these special conditions as final,
request for comments.
SUPPLEMENTARY INFORMATION:
Privacy
Except for Confidential Business
Information (CBI) as described in the
following paragraph, and other
information as described in title 14,
Code of Federal Regulations (14 CFR)
11.35, the FAA will post all comments
received without change to
www.regulations.gov, including any
personal information you provide. The
FAA will also post a report
summarizing each substantive verbal
contact received about these special
conditions.
Confidential Business Information
Confidential Business Information
(CBI) is commercial or financial
information that is both customarily and
actually treated as private by its owner.
Under the Freedom of Information Act
(FOIA) (5 U.S.C. 552), CBI is exempt
from public disclosure. If your
comments responsive to these special
conditions contain commercial or
financial information that is customarily
treated as private, that you actually treat
as private, and that is relevant or
responsive to these special conditions, it
is important that you clearly designate
the submitted comments as CBI. Please
mark each page of your submission
containing CBI as ‘‘PROPIN.’’ The FAA
will treat such marked submissions as
confidential under the FOIA, and the
indicated comments will not be placed
in the public docket of these special
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]]>Agencies
[Federal Register Volume 89, Number 48 (Monday, March 11, 2024)]
[Rules and Regulations]
[Pages 17271-17276]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-05076]
========================================================================
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. 89, No. 48 / Monday, March 11, 2024 / Rules
and Regulations
[[Page 17271]]
DEPARTMENT OF AGRICULTURE
Rural Utilities Service
7 CFR Parts 1710, 1717, 1721, 1726, and 1730
[Docket No. RUS-23-ELECTRIC-0024]
RIN 0572-AC64
Revision to Electric Program Operating Policies and Procedures
AGENCY: Rural Utilities Service, U.S. Department of Agriculture (USDA).
ACTION: Final rule; request for comment.
-----------------------------------------------------------------------
SUMMARY: The Rural Utilities Service (RUS), a Rural Development (RD)
agency of the United States Department of Agriculture (USDA), is
issuing a final rule with request for comments. The intent of this
rulemaking is to provide more flexibility for the RUS Electric Program
borrowers to complete emergency repairs while maintaining the ability
to receive RUS financing, to delete unnecessary and outdated
requirements imposed on electric borrowers and applicants and provide
flexibility in selecting construction procurement methods that better
support applicant needs in awarding construction contracts. These
changes will reduce agency travel costs by extending the time between
the required review period for operations and maintenance reviews,
reduce the number of reviews for RUS Electric Program staff, and
increase customer satisfaction and service.
DATES: This final rule is effective June 10, 2024.
Comments must be submitted on or before May 10, 2024.
ADDRESSES: You may submit comments, identified by Docket Number (RUS-
23-ELECTRIC-0024) or the RIN # (0572-AC64).
Federal eRulemaking Portal: Follow instructions for
sending comments. In the ``Search Documents'' box, enter the Docket
Number (RUS-23-ELECTRIC-0024) or the RIN # (0572-AC64) provided in this
rule, and click the ``Search'' button. To submit a comment, choose the
``Comment'' button associated with the rule. Information on using
Regulations.gov, including instructions for accessing documents,
submitting comments, and viewing the docket after the close of the
comment period, is available under the ``FAQ'' link at the bottom of
the home page.
Other Information: Additional information about RD and its programs
is available on the internet at www.rd.usda.gov/programs-services.
Instructions: All submissions received must include the agency name
and docket number or Regulatory Information Number (RIN) for this
rulemaking. All comments received will be posted without change to
www.regulations.gov, including any personal information provided.
FOR FURTHER INFORMATION CONTACT: Mark Bartholomew, Rural Utilities
Service Electric Program, Rural Development, United States Department
of Agriculture, 1400 Independence Avenue SW, STOP 1560, Washington, DC
20250; 704-544-4612 [email protected].
SUPPLEMENTARY INFORMATION:
I. Background
Rural Development (RD) is a mission area within the U.S. Department
of Agriculture (USDA) comprising the Rural Utilities Service (RUS),
Rural Housing Service, and Rural Business-Cooperative Service. RD's
mission is to increase economic opportunity and improve the quality of
life for all rural Americans. RD meets its mission by providing loans,
loan guarantees, grants, and technical assistance through numerous
programs aimed at creating and improving housing, business, and
infrastructure throughout rural America. RUS loan, loan guarantee, and
grant programs act as a catalyst for economic and community
development. By financing improvements to rural electric, water and
waste, and telecommunications and broadband infrastructure, RUS also
plays a significant role in improving other measures of quality of life
in rural America, including public health and safety, environmental
protection, and cultural and historic preservation. The RUS Electric
Program provides funding to maintain, expand, upgrade, and modernize
America's rural electric infrastructure. The loans and loan guarantees
finance the construction or improvement of electric distribution,
transmission, and generation facilities in rural areas.
This rulemaking is part of the RUS Electric Program's continuing
effort to improve customer service for its borrowers and to create a
more efficient work process for its staff. This rulemaking will
continue to streamline RUS Electric Program procedures and revise
regulations, including removing unnecessary and outdated regulation
references, and simplifying policies and procedures to increase
flexibilities for borrowers and applicants.
The goal of these proposed changes is to provide more flexibility
for RUS Electric Program borrowers in (1) completing emergency repairs
while maintaining the ability to receive RUS financing, (2) selecting
construction procurement methods that better support their needs in
awarding construction contracts, and (3) delete unnecessary and
outdated requirements imposed on electric borrowers and applicants. RUS
expects that these actions will enhance RUS and customer efficiency,
thereby increasing customer satisfaction and service.
The proposed changes will improve customer experience and customer
service and allow RUS to better focus on feasibility and security
issues while lessening the burdens on the RUS Electric Program
borrowers. In addition, the changes will provide flexibility in making
business decisions, and reduces the number of reviews for RUS Electric
Program staff. These actions should not impose additional costs on
applicants or on electric borrowers as the proposed changes increase
flexibility for the Borrowers under existing requirements. These
changes will positively affect the RUS Electric borrower experience and
enhance RUS customer service by simplifying policies and procedures to
increase flexibilities for electric borrowers and applicants,
minimizing the regulatory impact of applying for loans made or
guaranteed by RUS, and facilitating lending for construction of rural
electric infrastructure.
II. Summary of Changes to Rule
7 CFR 1710.250 General
The construction work plans and related studies coverages are
modified
[[Page 17272]]
to include acts of sabotage, willful attacks, accidents, or acts of
force majeure as additional events that qualify for emergency repairs
before a construction work plan amendment is prepared by the borrower.
These modifications will provide borrowers increased flexibility and
options to proceed with emergency repair work without losing
eligibility for RUS financing.
7 CFR 1710.500 Initial Contact
This change is to correct a citation and is being made to ensure
applicants and borrowers are directed to the correct section in the
regulation.
7 CFR 1710.501 Loan Application Documents
This change amends the paragraph by removing paragraphs (a)(9) and
(13). These deletions will remove certifications that are no longer
required to be submitted by applicants. The certifications being
removed are part of the Financial Assistance General Certifications and
Representations in the System for Award Management that must be
completed when applying for an award and updated annually. The
remaining paragraphs in Sec. 1710.501(a) will be redesignated
accordingly as part of this amendment.
7 CFR 1717.156 Transitional Assistance Affecting Preexisting Loans
Transitional assistance affecting preexisting loans, is amended to
replace two incorrect citations in the paragraph. These corrections
will ensure borrowers know the correct regulation citation to review.
7 CFR 1721.1 Advances
Paragraphs (b) and (c) are modified to increase the limit for minor
projects and projects requiring a contract or work order number. This
change is being made to adjust for inflation over time and will provide
greater flexibility for borrowers to complete more projects under this
process which allows the borrowers to complete needed infrastructure
improvements in a timelier fashion.
7 CFR 1726.14 Definitions
The definition of ``Minor modification'' is amended to increase the
project cost and the definition of ``Multiparty unit price quotations''
is being deleted. This change will provide borrowers more flexibility
to utilize purchase orders or other construction contracts for smaller
projects without having to use RUS' standard contract forms.
7 CFR 1726.51 Procurement Methods To Award Contracts for Distribution
Line Construction
Paragraph (b)(1) is modified to increase limits, increase Net
Utility Plant (NUP) percentages, and delete the ``not to exceed''
limitations. These changes are being made to provide Electric Program
borrowers greater flexibility in determining the procurement method
that best meets their needs to award construction contracts.
7 CFR 1726.77 Substation and Transmission Line Construction
Paragraph (b)(1) is modified to increase limits, increase Net
Utility Plant (NUP) percentages, and delete the ``not to exceed''
limitations. Paragraph (c) is changed to increase contract approval
amounts and delete the ``not to exceed'' limitations. These changes are
being made to provide Electric Program borrowers greater flexibility in
determining the procurement method that best meets their needs to award
construction contracts. It will also reduce the number of construction
contracts that need to be reviewed and approved by RUS Staff.
7 CFR 1726.125 Generating Plant Facilities
Paragraph (c) is amended to remove an incorrect citation that does
not exist in the regulation.
7 CFR 1726.150 Headquarters Buildings
A sentence in paragraph (b) is amended to delete the ``not to
exceed'' limitation and increase the percent of NUP from three percent
to four percent. These changes are being made to provide borrowers
greater flexibility in determining the procurement method that best
meets their needs to award construction contracts.
7 CFR 1726.176 Communication and Control Facilities
Paragraph (b) limitations for Load control systems, communications
systems, and SCADA systems is modified to increase limits, increase NUP
percentages and delete the ``not to exceed'' limitations. These changes
are being made to provide Electric Program borrowers greater
flexibility in determining the procurement method that best meets their
needs to award construction contracts. It will also reduce the number
of construction contracts that need to be reviewed and approved by RUS
Staff.
7 CFR 1726.204 Multiparty Unit Price Quotations
This section is removed and reserved as a conforming change to a
prior streamlining effort. Multiparty Unit Price Quotations are no
longer specifically sited or used in the regulations.
7 CFR 1730.24 RUS Review and Evaluation
This section is modified to increase the Operations and Maintenance
review period from normally every three years to normally every four
years. This change is being made to better match the four-year
construction work plan (CWP) period. The Agency will also see savings
from reduced travel time due to increasing the review period.
7 CFR 1730.100 OMB Control Number
This section is updated to revise the Office of Management and
Budget (OMB) control number.
III. Executive Orders and Acts
Executive Order 12866--Classification
This rulemaking has been determined to be non-significant for
purposes of Executive Order (E.O.) 12866 and, therefore, has not been
reviewed by the Office of Management and Budget (OMB).
Congressional Review Act
Pursuant to the Congressional Review Act (5 U.S.C. 801 et seq.),
the Office of Information and Regulatory Affairs designated this
rulemaking as not a major rule, as defined by 5 U.S.C. 804(2).
Assistance Listing Number (Formally Known as the Catalog of Federal
Domestic Assistance)
The Assistance Listing Number assigned to the Rural Electrification
Loans and Loan Guarantees Program is 10.850. The Assistance Listings
are available on the internet at https://sam.gov/.
Executive Order 12372, Intergovernmental Review of Federal Programs
This rulemaking is excluded from the scope of E.O. 12372,
Intergovernmental Consultation, which may require a consultation with
State and local officials. See the final rule related notice entitled,
``Department Programs and Activities Excluded from E.O. 12372'' (50 FR
47034) advising that RUS loans and loan guarantees were not covered by
E.O. 12372.
[[Page 17273]]
Paperwork Reduction Act
This rulemaking contains no new reporting or recordkeeping burdens
under OMB control number 0572-0032 that would require approval under
the Paperwork Reduction Act of 1995 (44 U.S.C. Chapter 35).
National Environmental Policy Act
In accordance with the National Environmental Policy Act of 1969,
Public Law 91-190, this final rule has been reviewed in accordance with
7 CFR part 1970 (``Environmental Policies and Procedures''). RUS has
determined that (i) this action meets the criteria established in 7 CFR
1970.53(f); (ii) no extraordinary circumstances exist; and (iii) the
action is not ``connected'' to other actions with potentially
significant impacts, is not considered a ``cumulative action'' and is
not precluded by 40 CFR 1506.1. Therefore, RUS has determined that the
action does not have a significant effect on the human environment, and
therefore neither an Environmental Assessment nor an Environmental
Impact Statement is required.
Regulatory Flexibility Act
The Regulatory Flexibility Act (5 U.S.C. 601 et seq.) generally
requires an agency to prepare a regulatory flexibility analysis of any
rule subject to notice and comment rulemaking requirements under the
Administrative Procedure Act (APA) or any other statute. The
Administrative Procedure Act exempts from notice and comment
requirements rules ``relating to agency management or personnel or to
public property, loans, grants, benefits, or contracts'' (5 U.S.C.
553(a)(2)), so therefore an analysis has not been prepared for this
rule.
Executive Order 12988--Civil Justice Reform
This rule has been reviewed under E.O. 12988, Civil Justice Reform.
In accordance with this rule: (1) unless otherwise specifically
provided, all State and local laws that conflict with this rule will be
preempted; (2) no retroactive effect will be given to this rule except
as specifically prescribed in the rule; and (3) administrative
proceedings of the National Appeals Division of the Department of
Agriculture (7 CFR part 11) must be exhausted before bringing suit in
court that challenges action taken under this rule.
Unfunded Mandates Reform Act (UMRA)
Title II of the UMRA, Public Law 104-4, establishes requirements
for Federal Agencies to assess the effects of their regulatory actions
on State, local, and Tribal governments and on the private sector.
Under section 202 of the UMRA, Federal agencies generally must prepare
a written statement, including cost-benefit analysis, for proposed and
Final Rules with ``Federal mandates'' that may result in expenditures
to State, local, or Tribal governments, in the aggregate, or to the
private sector, of $100 million or more in any one year. When such a
statement is needed for a rule, section 205 of the UMRA generally
requires a Federal agency to identify and consider a reasonable number
of regulatory alternatives and adopt the least costly, most cost-
effective, or least burdensome alternative that achieves the objectives
of the rule.
This rulemaking contains no Federal mandates (under the regulatory
provisions of title II of the UMRA) for State, local, and Tribal
governments or for the private sector. Therefore, this rule is not
subject to the requirements of sections 202 and 205 of the UMRA.
Executive Order 13132--Federalism
It has been determined, under E.O. 13132, Federalism, that 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.
Executive Order 13175--Consultation and Coordination With Indian Tribal
Governments
This executive order imposes requirements on RUS in the development
of regulatory policies that have Tribal implications or preempt Tribal
laws. RUS has determined that the rule does not have a substantial
direct effect on one or more Indian Tribe(s) or on either the
relationship or the distribution of powers and responsibilities between
the Federal Government and Indian Tribes. Thus, this rule is not
subject to the requirements of Executive Order 13175. If Tribal leaders
are interested in consulting with RUS on this rule, they are encouraged
to contact USDA's Office of Tribal Relations or RD's Tribal Relations
Team at: [email protected] to request such a consultation.
E-Government Act Compliance
RD is committed to the E-Government Act of 2002, Public Law 107-
347, which requires Government agencies in general to provide the
public the option of submitting information or transacting business
electronically to the maximum extent possible and to promote the use of
the internet and other information technologies to provide increased
opportunities for citizen access to government information and
services, and for other purposes.
Civil Rights Impact Analysis
RD has reviewed this rule in accordance with USDA Regulation 4300-
004, ``Civil Rights Impact Analysis,'' to identify any major civil
rights impacts the rule might have on program participants on the basis
of age, race, color, national origin, sex, disability, marital or
familial status. Based on the review and analysis of the rule and all
available data, issuance of this Final Rule is not likely to negatively
impact low and moderate-income populations, minority populations,
women, Indian Tribes, or persons with disability, by virtue of their
age, race, color, national origin, sex, disability, or marital or
familial status.
USDA Non-Discrimination Statement
In accordance with Federal civil rights laws and USDA civil rights
regulations and policies, the USDA, its Mission Areas, agencies, staff
offices, employees, and institutions participating in or administering
USDA programs are prohibited from discriminating based on race, color,
national origin, religion, sex, gender identity (including gender
expression), sexual orientation, disability, age, marital status,
family/parental status, income derived from a public assistance
program, political beliefs, or reprisal or retaliation for prior civil
rights activity, in any program or activity conducted or funded by USDA
(not all bases apply to all programs). Remedies and complaint filing
deadlines vary by program or incident.
Program information may be made available in languages other than
English. Persons with disabilities who require alternative means of
communication to obtain program information (e.g., Braille, large
print, audiotape, American Sign Language) should contact the
responsible Mission Area, agency, or staff office; or the 711 Relay
Service.
To file a program discrimination complaint, a complainant should
complete a Form AD-3027, USDA Program Discrimination Complaint Form,
which can be obtained online at https://www.usda.gov/sites/default/files/documents/ad-3027.pdf, from any USDA office, by calling (866)
632-9992, or by writing a letter addressed to
[[Page 17274]]
USDA. The letter must contain the complainant's name, address,
telephone number, and a written description of the alleged
discriminatory action in sufficient detail to inform the Assistant
Secretary for Civil Rights (ASCR) about the nature and date of an
alleged civil rights violation. The completed AD-3027 form or letter
must be submitted to USDA by:
a. Mail: U.S. Department of Agriculture, Office of the Assistant
Secretary for Civil Rights, 1400 Independence Avenue SW, Washington, DC
20250-9410; or
b. Fax: (833) 256-1665 or (202) 690-7442; or
c. Email: [email protected].
List of Subjects
7 CFR Part 1710
Electric power, Grant programs--energy, Loan programs--energy,
Reporting and recordkeeping requirements, Rural areas.
7 CFR Part 1717
Administrative practice and procedure, Electric power, Electric
power rates, Electric utilities, Intergovernmental relations,
Investments, Loan programs--energy, Reporting and recordkeeping
requirements, Rural areas.
7 CFR Part 1721
Electric power, Grant programs--energy, Loan programs--energy,
Reporting and recordkeeping requirements, Rural areas.
7 CFR Part 1726 and 1730
Electric power, Loan programs--energy, Reporting and recordkeeping
requirements, Rural areas.
For the reasons set forth in the preamble, RUS amends 7 CFR parts
1710, 1717, 1721, 1726, and 1730 as follows:
PART 1710--GENERAL AND PRE-LOAN POLICIES AND PROCEDURES COMMON TO
ELECTRIC LOANS AND GUARANTEES
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1. The authority citation for part 1710 continues to read as follows:
Authority: 7 U.S.C. 901 et seq., 1921 et seq., and 6941 et seq.
Subpart F--Construction Work Plans and Related Studies
0
2. Amend Sec. 1710.250 by revising paragraph (f) to read as follows:
Sec. 1710.250 General.
* * * * *
(f) In the case of damage caused by storms, natural catastrophes,
sabotage, willful attacks, accidents, or acts of force majeure, a
borrower may proceed with emergency repair work before a CWP or CWP
amendment is prepared by the borrower and approved by RUS, without
losing eligibility for RUS financing of the repairs. The borrower must
notify RUS in writing after the incident, of its preliminary estimates
of damages and repair costs. Not later than 120 days after the
incident, the borrower must submit to RUS for approval, a CWP or CWP
amendment detailing the repairs.
* * * * *
Subpart I--Application Requirements and Procedures for Loans
0
3. Amend Sec. 1710.500 by revising paragraph (b) to read as follows:
Sec. 1710.500 Initial contact.
* * * * *
(b) Before submitting an application for an insured loan the
borrower shall ascertain from RUS the amount of supplemental financing
required, as set forth in Sec. 1710.110. If the borrower is applying
for either a municipal rate loan subject to the interest rate cap or a
hardship rate loan, the application must provide a preliminary
breakdown of residential consumers either by county, Tribal land or by
census tract. Final data must be included with the application. See
Sec. 1710.501(a)(7).
Sec. 1710.501 [Amended]
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4. Amend Sec. 1710.501 by removing paragraphs (a)(9) and (13) and
redesignating paragraphs (a)(10), (11), (12), and (14) through (16) as
paragraphs (a)(9) through (14).
PART 1717--POST-LOAN POLICIES AND PROCEDURES COMMON TO INSURED AND
GUARANTEED ELECTRIC LOANS
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5. The authority citation for part 1717 continues to read as follows:
Authority: 7 U.S.C. 901 et seq., 1921 et seq., and 6941 et seq.
Subpart D--Mergers and Consolidations of Electric Borrowers
0
6. Revise Sec. 1717.156 to read as follows:
Sec. 1717.156 Transitional assistance affecting preexisting loans.
The fund advance period for an insured loan, which is the period
during which RUS may advance loan funds to a borrower, terminates
automatically after a specific period of time. See 7 CFR 1710.602. If,
on the effective date the original fund advance period or the fund
advance period as extended pursuant to 7 CFR 1710.602(b), on any
preexisting RUS loan to any of the active borrowers involved in a
merger has not terminated, such fund advance period shall be
automatically lengthened by 2 years. However, under no circumstances
shall RUS ever make or approve an advance, regardless of the last day
for an advance on the loan note or any extension by the Administrator,
later than September 30 of the fifth year after the fiscal year of
obligation if such date would result in the RUS obligating or
permitting advance of funds contrary to the Anti-Deficiency Act. On the
borrower's request RUS will prepare documents necessary for the advance
of loan funds. RUS will prepare documents for the borrower's execution
that will reflect this extension and will provide the legal authority
for RUS to advance funds to the successor.
PART 1721--POST-LOAN POLICIES AND PROCEDURES FOR INSURED ELECTRIC
LOANS
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7. The authority citation for part 1721 continues to read as follows:
Authority: 7 U.S.C. 901 et seq., 1921 et seq., and 6941 et seq.
Subpart A--Advances
0
8. Amend Sec. 1721.1 by revising paragraph (b) and paragraph (c)
introductory text to read as follows:
Sec. 1721.1 Advances.
* * * * *
(b) Minor project. Minor project means a project costing $250,000
or less. Such a project qualifies for advance of loan funds even though
it may not have been included in an RUS-approved borrower's CWP,
amendment to such CWP, or approved loan. Total advances requested shall
not exceed the total loan amount. All projects for which loan fund
advances are requested must be constructed to achieve purposes
permitted by terms of the loan contract between the borrower and RUS.
(c) Certification. Pursuant to the applicable provisions of the RUS
loan contract, borrowers must certify with each request for funds to be
approved for advance that such funds are for projects in compliance
with this section and shall also provide for those that cost in excess
of $250,000 a contract or work order number as applicable and a CWP
cross-reference project coded identification number. For a minor
project not included in a RUS approved borrower's CWP or CWP amendment,
the Borrower shall describe the project and do one of the following to
satisfy
[[Page 17275]]
RUS' environmental review requirements in accordance with 7 CFR part
1970:
* * * * *
PART 1726--ELECTRIC SYSTEM CONSTRUCTION POLICIES AND PROCEDURES
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9. The authority citation for part 1726 continues to read as follows:
Authority: 7 U.S.C. 901 et seq., 1921 et seq., and 6941 et seq.
Subpart A--General
0
10. Amend Sec. 1726.14 by revising the definition of ``Minor
modification or improvement'' and removing the definition of
``Multiparty unit price quotations''.
The revision reads as follows:
Sec. 1726.14 Definitions.
* * * * *
Minor modification or improvement means a project the cost of which
is $250,000 or less, exclusive of the cost of owner furnished
materials.
* * * * *
Subpart B--Distribution Facilities
0
11. Amend Sec. 1726.51 by revising paragraph (b)(1) to read as
follows:
Sec. 1726.51 Distribution line construction.
* * * * *
(b) * * *
(1) It is the responsibility of each borrower to determine the
procurement method that best meets its needs to award contracts in
amounts of up to a cumulative total of $1,000,000 or four percent of
NUP, whichever is greater, per calendar year of distribution line
construction (including minor modifications or improvements), exclusive
of the cost of owner furnished materials and equipment. Borrowers may
award Cost-Plus/Hourly contracts as part of these borrower
responsibility limits up to a cumulative total of $500,000 or two
percent of NUP, whichever is greater, per calendar year of distribution
line construction (including minor modifications or improvements),
exclusive of the cost of owner furnished materials and equipment.
* * * * *
Subpart C--Substation and Transmission Facilities
0
12. Amend Sec. 1726.77 by revising paragraphs (b)(1) and (c) to read
as follows:
Sec. 1726.77 Substation and transmission line construction.
* * * * *
(b) * * *
(1) It is the responsibility of each borrower to determine the
procurement method that best meets its needs to award contracts in
amounts of up to a cumulative total of $1,000,000 or four percent of
NUP, whichever is greater, per calendar year of substation and
transmission line construction (including minor modifications or
improvements), exclusive of the cost of owner furnished materials and
equipment. Borrowers may award Cost-Plus/Hourly contracts as part of
these borrower responsibility limits up to a cumulative total of
$500,000 or two percent of NUP, whichever is greater, per calendar year
of substation and transmission line construction (including minor
modifications or improvements), exclusive of the cost of owner
furnished materials and equipment.
* * * * *
(c) Contract approval. Individual contracts in the amount of
$1,000,000 or more or four percent of NUP, whichever is greater,
exclusive of the cost of owner furnished materials and equipment, are
subject to RUS approval.
Subpart D--Generation Facilities
0
13. Amend Sec. 1726.125 by revising paragraph (c) introductory text to
read as follows:
Sec. 1726.125 Generating plant facilities.
* * * * *
(c) Contract approval. During the early stages of generating plant
design or project design, RUS will, in consultation with the borrower
and its consulting engineer, identify the specific contracts which
require RUS approval based on information supplied in the plant design
manual. The following are typical contracts for each type of generating
project which will require RUS approval. Although engineering services
are not covered by this part, they are listed in this paragraph to
emphasize that RUS approval is required for all major generating
station engineering service contracts in accordance with applicable RUS
rules. For types of projects not shown, such as nuclear and alternate
energy projects, RUS will identify the specific contracts which will
require RUS approval on a case-by-case basis.
* * * * *
Subpart E--Buildings
0
14. Amend Sec. 1726.150 by revising paragraph (b) to read as follows:
Sec. 1726.150 Headquarters buildings.
* * * * *
(b) Procurement procedures. A borrower may use Multiparty Lump Sum
Quotations to award contracts in amounts of up to a cumulative total of
$1,500,000 or four percent of NUP, whichever is greater, per calendar
year of headquarters construction (including minor modifications or
improvements). The borrower shall use formal competitive bidding for
all other headquarters contract construction unless RUS specifically
approves an alternative method.
* * * * *
Subpart F--General Plant
0
15. Amend Sec. 1726.176 by revising paragraphs (b)(2)(i) and (b)(3) to
read as follows:
Sec. 1726.176 Communication and control facilities.
* * * * *
(b) * * *
(2) * * *
(i) It is the responsibility of each borrower to determine the
procurement method that best meets its needs to award contracts not
requiring RUS approval in amounts of up to a cumulative total of
$1,000,000 or four percent of NUP, whichever is greater, per calendar
year of communications and control facilities construction (including
minor modifications or improvements), exclusive of the cost of owner
furnished materials and equipment.
* * * * *
(3) Contract approval. Individual contracts in amounts of
$1,000,000 or more or four percent of NUP, whichever is greater,
exclusive of the cost of owner furnished materials and equipment, are
subject to RUS approval.
Subpart G--Procurement Procedures
Sec. 1726.204 [Removed and Reserved].
0
16. Remove and reserve Sec. 1726.204.
PART 1730--ELECTRIC SYSTEMS OPERATIONS AND MAINTENANCE
0
17. The authority citation for part 1730 continues to read as follows:
Authority: 7 U.S.C. 901 et seq., 1921 et seq., and 6941 et seq.
[[Page 17276]]
Subpart B--Operations and Maintenance Requirements
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18. Revise Sec. 1730.24 to read as follows:
Sec. 1730.24 RUS review and evaluation.
RUS will initiate and conduct a periodic review and evaluation of
the operations and maintenance practices of each borrower for the
purpose of assessing loan security and determining borrower compliance
with RUS policy as outlined in this part. This review will normally be
done at least once every four years for all Borrowers. The borrower
will make available to RUS the borrower's policies, procedures, and
records related to the operations and maintenance of its complete
system. Reports made by other inspectors (e.g., other Federal agencies,
State inspectors, etc.) will also be made available, as applicable. RUS
will not duplicate these other reviews but will use their reports to
supplement its own review. RUS may inspect facilities, as well as
records, and may also observe construction and maintenance work in the
field. Key borrower personnel responsible for the facilities being
inspected are to accompany RUS during such inspections, unless
otherwise determined by RUS. RUS personnel may prepare an independent
summary of the operations and maintenance practices of the borrower.
The borrower's management will discuss this review and evaluation with
its Board of Directors.
Subpart C--Interconnection of Distributed Resources
0
19. Revise Sec. 1730.100 to read as follows:
Sec. 1730.100 OMB control number.
The information collection requirements in this part are approved
by the Office of Management and Budget and assigned OMB control number
0572-0025.
Andrew Berke,
Administrator, Rural Utilities Service.
[FR Doc. 2024-05076 Filed 3-8-24; 8:45 am]
BILLING CODE 3410-15-P
