[Code of Federal Regulations]
[Title 7, Volume 11]
[Revised as of January 1, 2005]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR1703.59]

[Page 54-55]
 
                          TITLE 7--AGRICULTURE
 
    CHAPTER XVII--RURAL UTILITIES SERVICE, DEPARTMENT OF AGRICULTURE
 
PART 1703--RURAL DEVELOPMENT--Table of Contents
 
      Subpart B--Rural Economic Development Loan and Grant Program
 
Sec. 1703.59  Final application processing and legal documents.

    (a) After a borrower has submitted all information the Administrator 
determines is necessary for the selected application, RUS will send the 
necessary legal documents to the borrower to execute and return to RUS. 
The legal documents will include a letter of agreement and any legal 
documents the Administrator deems appropriate, including any loan 
agreements, notes, security instruments, certifications or legal 
opinions. The letter of agreement will, among other things, constitute 
the Administrator's approval of funds for the project subject to certain 
terms and conditions as determined by the Administrator, and include a 
project description, approved purposes of the zero-interest loan and/or 
grant, the maximum amount of zero-interest loan and/or grant, 
supplemental funds to be provided to the project and certain

[[Page 55]]

agreements or commitments the borrower proposed in its application.
    (b) The Administrator has the discretion to include as an approved 
purpose the reimbursement of short-term financing and expenditures that 
were used for costs incurred on the project in accordance with 
Sec. 1703.20(a)(2).
    (c) If the borrower fails to submit within one month from the date 
of the Administrator's selection of an application all of the 
information that the Administrator determines to be necessary for RUS to 
prepare legal documents, the Administrator may consider the selection of 
the application cancelled.