[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: 7CFR1780.83]

[Page 1065]
 
                          TITLE 7--AGRICULTURE
 
    CHAPTER XVII--RURAL UTILITIES SERVICE, DEPARTMENT OF AGRICULTURE
 
PART 1780--WATER AND WASTE LOANS AND GRANTS--Table of Contents
 
 Subpart D--Information Pertaining to Preparation of Notes or Bonds and 
          Bond Transcript Documents for Public Body Applicants
 
Sec. 1780.83  Bond transcript documents.

    Any questions relating to Agency requirements should be discussed 
with Agency representatives. Bond counsel or local counsel, as 
appropriate, must furnish at least two complete sets of the following to 
the applicant, who will furnish one complete set to the Agency:
    (a) Copies of all organizational documents;
    (b) Copies of general incumbency certificate;
    (c) Certified copies of minutes or excerpts from all meetings of the 
governing body at which action was taken in connection with the 
authorizing and issuing of the bonds;
    (d) Certified copies of documents evidencing that the applicant has 
complied fully with all statutory requirements incident to calling and 
holding a favorable bond election, if one is necessary;
    (e) Certified copies of the resolutions, ordinances, or other 
documents such as the bond authorizing resolutions or ordinances and any 
resolution establishing rates and regulating use of facility, if such 
documents are not included in the minutes furnished;
    (f) Copies of the official Notice of Sale and the affidavit of 
publication of the Notice of Sale when State statute requires a public 
sale;
    (g) Specimen bond, with any attached coupons;
    (h) Attorney's no-litigation certificate;
    (i) Certified copies of resolutions or other documents pertaining to 
the bond award;
    (j) Any additional or supporting documents required by bond counsel;
    (k) For loans involving multiple advances of Agency loan funds, a 
preliminary approving opinion of bond counsel (or local counsel if no 
bond counsel is involved) if a final unqualified opinion cannot be 
obtained until all funds are advanced. The preliminary opinion for the 
entire issue shall be delivered at or before the time of the first 
advance of funds. It will state that the applicant has the legal 
authority to issue the bonds, construct, operate and maintain the 
facility, and repay the loan, subject only to changes occurring during 
the advance of funds, such as litigation resulting from the failure to 
advance loan funds, and receipt of closing certificates;
    (l) Final unqualified approving opinion of bond counsel, (and 
preliminary approving opinion, if required) or local counsel if no bond 
counsel is involved, including an opinion as to whether interest on 
bonds will be exempt from Federal and State income taxes. With approval 
of the State program official, a final opinion may be qualified to the 
extent that litigation is pending relating to Indian claims that may 
affect title to land or validity of the obligation. It is permissible 
for such opinion to contain language referring to the last sentence of 
section 306 (a)(1) or to section 309A (h) of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 1926 (a)(1) or 1929a (h)).