[Federal Register Volume 64, Number 16 (Tuesday, January 26, 1999)] [Notices] [Page 3926] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 99-1505] ----------------------------------------------------------------------- DEPARTMENT OF AGRICULTURE Rural Business-Cooperative Service Suspension of Direct and Guaranteed Loans for Hog Production
Agency
Rural Business-Cooperative Service, USDA.
Action
Notice.
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Summary
The swine industry is currently in crisis due to over supply and low prices. The Secretary is concerned that, during this period of low prices, the availability of certain RBS credit programs may facilitate additional production capacity that will prolong the current hog price depression. Additional capacity is also likely to damage the prospects for long-term financial recovery in the industry. Continued financial stress on hog farmers may force and accelerate concentration of the production, processing, and marketing of hogs into fewer hands. This notice temporarily suspends direct Rural Economic Development Loan and Business and Industry Guaranteed Loan financing for the construction of specialized facilities used for the production of hogs.
For Further Information Contact
William F. Hagy III, Deputy Administrator, Business Programs, Rural Business-Cooperative Service, 1400 Independence Avenue, SW., Washington, D.C. 20250-3220, telephone (202) 720-7287.
Dates
January 26, 1999. This notice will be in effect until rescinded by the National Office.
Supplementary Information
State Offices shall direct all questions regarding this notice to the Deputy Administrator, Business Programs. Any application for a direct or guaranteed loan for the construction or expansion of a specialized hog production facility will be accepted but held in abeyance until the suspension is lifted. A specialized hog production facility is defined as any building or enclosure and related equipment specifically to house, raise, or feed hogs of any size, age, or market class. The loan processing time frames will not apply to these applications while the suspension is in effect. The State Office will notify both the applicant and the lender that the application is being held. All guaranteed lenders should be notified of the suspension. Direct and guaranteed loan applications for purchase, refinancing, maintenance, or repair of facilities currently in production will continue to be processed. Direct and guaranteed loan applications that were received by Rural Development State Offices on or before the date of this notice will be processed through to completion and will not be affected by this temporary suspension. In all other cases, applications will only be processed when the Government's interest will be imperiled if the application is not processed.
Dated: January 14, 1999. William F. Hagy III, Acting Administrator, Rural Business-Cooperative Service. [FR Doc. 99-1505 Filed 1-25-99; 8:45 am] BILLING CODE 3410-XY-P