[Code of Federal Regulations]
[Title 7, Volume 11]
[Revised as of January 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR1744.40]

[Page 348]
 
                          TITLE 7--AGRICULTURE
 
    CHAPTER XVII--RURAL UTILITIES SERVICE, DEPARTMENT OF AGRICULTURE
 
PART 1744--POST-LOAN POLICIES AND PROCEDURES COMMON TO GUARANTEED AND INSURED TELEPHONE LOANS--Table of Contents
 
         Subpart B--Lien Accommodations and Subordination Policy
 
Sec. 1744.40  Act purposes.

    (a) Borrowers are encouraged to submit requests for accommodation of 
the Government's lien on the borrower's system in order to facilitate 
obtaining financing from private lenders for purposes provided in the RE 
Act.
    (b) The Administrator will consider requests for the subordination 
of the Government's lien on after-acquired property which will enable 
borrowers to obtain financing from private lenders for purposes provided 
in the Act: Provided, however, that property integral to the operation 
of projects financed with loans made or guaranteed by RUS shall be 
financed with funds obtained through lien accommodations instead of lien 
subordinations, unless the Administrator determines that it is in the 
Government's interest to do otherwise.

[51 FR 32430, Sept. 12, 1986, unless otherwise noted. Redesignated at 55 
FR 39396, Sept. 27, 1990. And further redesignated at 66 FR 41760, Aug. 
9, 2001]

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