[Code of Federal Regulations]

[Title 7, Volume 4]

[Revised as of January 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 7CFR277.8]



[Page 890]

 

                          TITLE 7--AGRICULTURE

 

    CHAPTER II--FOOD AND NUTRITION SERVICE, DEPARTMENT OF AGRICULTURE

 

PART 277_PAYMENTS OF CERTAIN ADMINISTRATIVE COSTS OF STATE AGENCIES

--Table of Contents

 

Sec. 277.8  Bonding and insurance.



    (a) General. In administering FNS program funds, State agencies 

shall observe their regular requirements and practices with respect to 

bonding and insurance. FNS will not impose additional bonding and 

insurance requirements, including fidelity bonding, above those normally 

required by the State agency.

    (b) Loan guarantees. FNS makes no guarantee of any loan or payment 

of money borrowed by a State agency for administering the program. State 

agencies shall not make any assurances to any lender or contractor that 

FNS will furnish funds for loan payments.