[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: 7CFR1753.16]

[Page 381]
 
                          TITLE 7--AGRICULTURE
 
    CHAPTER XVII--RURAL UTILITIES SERVICE, DEPARTMENT OF AGRICULTURE
 
PART 1753--TELECOMMUNICATIONS SYSTEM CONSTRUCTION POLICIES AND PROCEDURES--Table of Contents
 
                     Subpart B--Engineering Services
 
Sec. 1753.16  Architectural services.

    (a) The borrower shall be responsible for selecting an architect to 
perform the architectural services required in the design and 
construction of buildings.
    (b)(1) The borrower shall use Form 220 when contracting for 
architectural services for major construction, except that the borrower 
may use either Form 220 or Form 217 if the building is an unattended 
central office building.
    (2) The borrower and the architect negotiate the fees for services 
under Form 220.
    (3) Reasonable modifications or additions to the terms and 
provisions in Form 220 may be made, subject to RUS approval, to obtain 
the specific services needed for a building.
    (4)(i) Three copies of Form 220, executed by the borrower and the 
architect, shall be sent to GFR to be forwarded to RUS for approval. RUS 
will review the contract terms and conditions. RUS will not approve the 
contract if, in RUS's judgment:
    (A) Unacceptable modifications have been made to the contract form.
    (B) The contract will not accomplish loan purposes.
    (C) The architectural service fees are unreasonable.
    (D) The contract presents unacceptable loan security risk to RUS.
    (ii) If RUS approves the contract, RUS will send one copy to the 
architect and one copy to the borrower.
    (5) Loan funds will not be available to pay for the preliminary 
architectural services if a loan is not made for the construction 
project, or if the construction project is abandoned.
    (6) Subpart D of 7 CFR part 1753 sets forth the requirements and 
procedures to be followed by borrowers constructing central office, 
warehouse, and garage buildings with RUS loan funds.
    (c)(1) RUS telephone borrowers shall obtain two copies of a 
completed Form 284, Final Statement of Architect's Fees, when all 
services and obligations required under the architectural services 
contract have been completed. All fees shown on the statement shall be 
supported by detailed information where appropriate. For example: out-
of-pocket expense, cost plus, and per diem types of compensation shall 
be listed separately with labor, transportation, etc., itemized for each 
service involving these types of compensation.
    (2) If Form 284 and supporting data are satisfactory, the borrower 
shall approve the statement, sign both copies, and send one copy to the 
GFR.
    (3) Upon approval of Form 284 by RUS, the borrower shall promptly 
make final payment to the architect.

[54 FR 3984, Jan. 27, 1989. Redesignated at 55 FR 39397, Sept. 27, 1990, 
as amended at 59 FR 43717, Aug. 25, 1994; 64 FR 16606, Apr. 6, 1999]

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