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Federal Register / Vol. 86, No. 173 / Friday, September 10, 2021 / Rules and Regulations
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Relations regarding tribal broadband.
The consultations included consultations on 1 tribal broadband specifically both at the national level and numerous regional and state level tribal consultations, 2 the USDA
ReConnect broadband program, 3
participation with Department of Commerce NTIA on the Tribal Broadband Connectivity Program, and on 4 Executive Order 13985, Advancing Racial Equity and Support for Underserved Communities Through the Federal Government 1/20/21.
Through these consultations, the USDA
compiled the following Tribal government requested Tribal Broadband Principles which were considered and used where applicable in drafting this regulation:
Require Tribal resolution. Require any new or legacy applicant for USDA
funds proposing to serve Tribal lands to have a Tribal resolution of support to qualify for eligibility.
Increase flexibility. Read any ambiguous statutory requirements and limitations as broadly as possible and in favor of Tribes in light of our trust obligations.
Narrow duplication definition.
Read duplication limitations as broadly and as flexibly as possible when working with Tribal nations to ensure their eligibility for USDA programs to serve their own lands.
All self-certification. Tribal nations must be the certifiers of whether they are being served/are underserved or other similar requirements.
Enforce compliance with Tribal laws. Include a requirement of compliance with Tribal laws and regulations in the sections of loan and grant agreements that require compliance with state and local laws.
Enforce the terms of Federal loan and grant agreements which require compliance with local including tribal laws and regulatory bodies.
Civil Rights Impact Analysis The Rural Developments Civil Rights Office reviewed this rule in accordance with USDA Regulation 43004, 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, or disability. The Rural Developments Civil Rights Office worked with the RUS program offices to compile program descriptions, data, and outreach activities strategies for the subject program. The Rural Developments Civil Rights Office assessed civil rights implications and impacts of eligibility criteria, methods of administration, and other
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requirements associated with the final rule including strategies to eliminate, alleviate, or mitigate where applicable civil rights impacts identified in the Civil Rights Impact Analysis. The Rural Developments Civil Rights Office agrees to monitor the implementation of all civil rights strategies that were instituted in connection with this final rule, evaluate their effectiveness, and take follow-up action where civil rights impacts may ensue.
Information Collection and Recordkeeping Requirements The Information Collection and Recordkeeping requirements contained in this rule have been approved under OMB Control Number 05720079 and submitted for approval under OMB
Control Number 05720154.
Background Rural Development is a mission area within the USDA comprising the Rural Utilities Service, Rural Housing Service, and Rural Business/Cooperative Service.
Rural Developments mission is to increase economic opportunity and improve the quality of life for all rural Americans. Rural Development meets its mission by providing loans, loan guarantees, grants, and technical assistance through more than 40
programs aimed at creating and improving housing, business, and infrastructure throughout rural America.
The Agricultural Improvement Act of 2018 2018 Farm Bill made mandatory changes to the Rural Telephone Loan Program administered by the Telecommunications Program of the Rural Utilities Service.
These modifications to the programs regulations will allow RUS to fully implement the requirements of the 2018
Farm Bill. RUS is also taking the opportunity to make minor changes to the program regulations that will update or correct existing regulatory citations, data speeds, and other program provisions to bring them in line with the statutory changes required by the 2018
Farm Bill.
Changes to 7 CFR part 1735 General Policies, Types of Loans, Loan RequirementsTelecommunications Program include:
Adding paragraph d to 1735.1. The addition of paragraph d provides notice to applicants that they may be eligible to receive grant assistance through Title VI which is governed by 7 CFR part 1738. The Agency determined this was the most effective way to provide this information.
The addition of a definition of Retail Broadband Service to 1735.2. The definition provides information to the
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public on what the Agency considers retail broadband service for the purposes of this part.
Clarifying, at 1735.10a2ii, that multiuse networks that provide critical transportation-related services are considered integrated interoperable emergency communications and therefore are an eligible loan purpose.
Removing the requirement for a certificate of convenience and necessity from 1735.12. While necessary when the program was implemented, the prevalence of services at this time and changes to state regulatory bodies has rendered the certificate meaningless for Agency purposes. The Agency also expanded the authority of the RUS
Administrator, at 1735.12a, to determine non-duplication of services.
Previously the Administrator only made that determination for states in which there was no regulatory body. This change will reduce the burden on applicants and aid in streamlining the application process. Clarification regarding non-duplication verification for existing borrowers is provided by the Agency, at 1735.12b.
Modifying the criteria at 1735.12c to remove specific transmission and reception rates and require coverage as described in 1735.11 for local area exchanges. These changes remove outdated terminology, create a single requirement which reduces confusion and creates consistency for all applicants.
Changing the thresholds, at 1735.21, regarding refinancing to conform to 2018 Farm Bill requirements. Prior to the 2018 Farm Bill, the Agency was only able to refinance non-RUS loans as long as no more than 40 percent of the new loan was used for refinancing. The 2018
Farm Bill removed the 40 percent cap and extended the ability to refinance 100 percent of non-RUS and RUS debt.
Refinancing limits will be published in the funding opportunity announcement opening an application window and based on amounts that are authorized for a given fiscal year. However, the Agency is considering limiting refinancing of non-RUS loans to 50
percent of the total loan amount while allowing 100 percent refinancing of existing RUS loans. Additional information was added to this section to provide information on loans eligible for refinancing as well as maximum amortizations.
Modifications to 1735.22f, g, and i to remove outdated references to year 2000 compliant systems and correct an incorrect reference that was carried forward from a previous version of the regulation, respectively.

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