Date: Wednesday, Aug. 18, 2020 | Time: 1:30 p.m. EST
USDA is seeking public comment on a series of regulatory reforms known collectively as the OneRD Guarantee Loan Initiative. Under the initiative, USDA will eliminate duplicative processes and launch a single platform for four key loan programs:
- Water and Waste Disposal Loan Guarantees Program;
- Community Facilities Guaranteed Loan Program;
- Business and Industry Guaranteed Loan Program; and
- Rural Energy for America Guaranteed Loan Program.
USDA also will standardize requirements for credit reviews, loan processing, loan servicing and loss claims. These measures will make the application process simpler and faster for lenders. Among the reforms, USDA intends to:
- Launch a common loan note guarantee application and consistent forms for lenders to use across the four programs;
- Issue loan note guarantees to lenders within 48 hours after they provide documentation to prove the requirements of the conditional commitment have been met;
- Provide guarantee percentage and fee requirements to lenders through a single annual notice at the beginning of each fiscal year;
- Allow lenders to obtain approval for a loan guarantee prior to the beginning of construction projects. A one-time fee and other requirements may apply; and
- Provide automatic approval to lenders in good standing who are supervised or created by state or federal regulatory agencies to participate in all four programs. This expands the base of eligible lenders for the four guaranteed loan programs. Non-regulated lenders may seek approval to participate through a single certification process that will be valid for five years.
REGISTER NOW FOR TOMORROW'S LISTENING SESSION: https://attendee.gotowebinar.com/register/421458608196427019.