81 FR 10063 - Direct Farm Ownership Microloan; Correction

DEPARTMENT OF AGRICULTURE
Farm Service Agency

Federal Register Volume 81, Issue 39 (February 29, 2016)

In a final rule that was published and effective on January 21, 2016, we added Direct Farm Ownership Microloan (DFOML) to the existing Direct Loan Program. The final rule resulted in inadvertently omitting paragraphs that were previously in the Farm Loan Programs general eligibility requirements. The inadvertently removed paragraphs specified alternatives for demonstrating managerial ability. This document corrects that omission by revising the section in the regulations to reinsert that text.

[Federal Register Volume 81, Number 39 (Monday, February 29, 2016)]
[Rules and Regulations]
[Page 10063]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-04271]


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DEPARTMENT OF AGRICULTURE

Farm Service Agency

7 CFR Part 764

RIN 0560-AI33


Direct Farm Ownership Microloan; Correction

AGENCY: Farm Service Agency, USDA.

ACTION: Correcting amendments.

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SUMMARY: In a final rule that was published and effective on January 
21, 2016, we added Direct Farm Ownership Microloan (DFOML) to the 
existing Direct Loan Program. The final rule resulted in inadvertently 
omitting paragraphs that were previously in the Farm Loan Programs 
general eligibility requirements. The inadvertently removed paragraphs 
specified alternatives for demonstrating managerial ability. This 
document corrects that omission by revising the section in the 
regulations to reinsert that text.

DATES: Effective date: February 29, 2016.

FOR FURTHER INFORMATION CONTACT: Russ Clanton; telephone: (202) 690-
0214. Persons with disabilities or who require alternative means for 
communication should contact the USDA Target Center at (202) 720-2600 
(voice).

SUPPLEMENTARY INFORMATION:

Background

    The Farm Service Agency (FSA) published a final rule in the Federal 
Register on January 21, 2016 (81 FR 3289-3293), adding DFOML to the 
existing Direct Loan Program. The final rule changes to 7 CFR part 764 
resulted in inadvertently omitting two paragraphs that were previously 
in 7 CFR 764.101(i)(4), ``General Eligibility Requirements,'' which 
specified alternatives for demonstrating managerial ability for 
microloans (MLs) for Operating Loan (OL) purposes.
    The only changes the final rule intended to make in section 764.101 
were to clarify that the references to MLs in paragraphs (i)(3) and (4) 
were only for MLs for OL purposes. In making the change to paragraph 
(i)(4), we should have specified that the change was only to the 
introductory text of paragraph (i)(4) because the phrase ``introductory 
text'' was not specified, it resulted in paragraphs (i)(4)(i) through 
(ii) being inadvertently omitted from the CFR when the changes were 
made as specified in the final rule. Therefore, this document corrects 
the regulation by reinserting the previously published text for 
paragraphs (i)(4)(i) through (ii).

List of Subjects in 7 CFR Part 764

    Agriculture, Disaster assistance, Loan programs-agriculture, 
Agricultural commodities, Livestock.

    For reasons discussed above, FSA amends 7 CFR part 764 as follows:

PART 764--DIRECT LOAN MAKING

0
1. The authority citation for part 764 continues to read as follows:

    Authority:  5 U.S.C. 301 and 7 U.S.C. 1989.


0
2. Add Sec.  764.101(i)(4)(i) and (ii) to read as follows:


Sec.  764.101  General eligibility requirements.

* * * * *
    (i) * * *
    (4) * * *
    (i) Certification of a past participation with an agriculture-
related organization, such as, but not limited to, 4-H Club, FFA, 
beginning farmer and rancher development programs, or Community Based 
Organizations, that demonstrates experience in a related agricultural 
enterprise; or
    (ii) A written description of a self-directed apprenticeship 
combined with either prior sufficient experience working on a farm or 
significant small business management experience. As a condition of 
receiving the loan, the self-directed apprenticeship requires that the 
applicant seek, receive, and apply guidance from a qualified person 
during the first cycle of production and marketing typical for the 
applicant's specific operation. The individual providing the guidance 
must be knowledgeable in production, management, and marketing 
practices that are pertinent to the applicant's operation, and agree to 
form a developmental partnership with the applicant to share knowledge, 
skills, information, and perspective of agriculture to foster the 
applicant's development of technical skills and management ability.
* * * * *

Val Dolcini,
Administrator, Farm Service Agency.
[FR Doc. 2016-04271 Filed 2-26-16; 8:45 am]
 BILLING CODE 3410-05-P