Emergency Memo

USDA
United States Department of Agriculture

Rural Development
Rural Housing Service

TO:

Vlad Dorjets
Senior Desk Officer
Office of Management and Budget

FROM:

Tony J. Hernandez
Administrator
Rural Housing Services

1400 Independence
Ave SW
Stop 0787, Rm 0175
Washington, DC
20250
Voice 202.720.1500
Fax 202.690.0471

SUBJECT: Request for Emergency Approval of a New Relending Provision
For the Community Facilities Direct Loan Program

Rural Development (RD) is requesting emergency review and approval of a new
Relending Provision for the Community Facilities Direct Loan Program.
The Community Facilities relending initiative is part of the Uplift America effort to
increase partnerships with mission driven community development lenders that have
strong relationships with private philanthropies with a strong track record of
reaching high and persistent poverty areas and investing in essential community
facilities. This will add a relending provision to allow the Community Facilities
direct loan program to make loans to lending institutions referred to as re-lenders to
relend the loan funds to eligible applicants for eligible projects. The interim rule
also identifies what types of lending institutions are eligible to participate as relenders.
Without emergency approval to swiftly implement and accept applications for
relending, RD will not be able to implement this high priority initiative in Fiscal
Year (FY) 2016. Due to the timing of the development of this interim rule and the
associated notice of solicitation of application, RD has been unable to implement the
relending provision until late in the fiscal year.
RD considers it imperative to begin accepting applications this fiscal year from
applicants to strengthen investments in high and persistent poverty areas. These relenders will bring together the critical financial, project development and technical
expertise, resources and innovation to help underserved areas develop and improve
essential community facilities in rural America.
Given the recent increase in program funding, this re-lending provision gives CF a
new tool and the ability to provide loan funds to a network of lenders who already
have existing relationships and presence serving high and persistent poverty areas.

USDA is an equal opportunity provider and employer.
If you wish to file a Civil Rights program complaint of discrimination, complete the USDA Program Discrimination Complaint Form, found
online at http://www.ascrusda.govicomplaint_filing_cust.html, or at any USDA office, or call (866) 632-9992 to request the form. You may
also write a letter containing all of the information requested in the form. Send your completed complaint form or letter to us by mail at U.S.
Department of Agriculture, Director, Office of Adjudication, 1400 Independence Avenue, S.W., Washington, D.C. 20250-9410, by fax
(202) 690-7442 or email at [email protected].

In compliance with OMB regulations (5 CFR Part 1320), which implement the Paperwork
Reduction Act of 1995 (Pub. L. 104-13), the information collection and recordkeeping
requirements that may be imposed by this action are submitted to OMB for emergency review
and approval.
Attached are the Supporting Statements and spreadsheet.