What is the OneRD Guarantee Loan Initiative?
USDA is removing unnecessary regulations to increase private investment in rural businesses and rural economic development projects and to improve customer service within four flagship loan guarantee programs. The Agency plans to implement a standard set of requirements, processes and forms for four Rural Development programs including the Water and Waste Disposal Guaranteed Loan Program, Community Facilities Guaranteed Loan Program, Business and Industry Loan Guarantee Program, and the Rural Energy for America Guaranteed Loan Program.
Contact OneRDGuarantee@usda.gov for more information.
USDA is conducting a series of virtual listening sessions to seek feedback on the OneRD Guarantee Loan Initiative Final Rule before it becomes effective in October.
Stakeholders will receive an overview of the policy and regulatory changes included in this regulation. Written comments must be submitted at www.regulations.gov.
OneRD Guarantee Loan Initiative Listening Session
Wednesday, Aug. 19, 2020 at 1:30 PM EDT
To register, visit: https://attendee.gotowebinar.com/register/421458608196427019
Under the OneRD Guarantee Loan Initiative, USDA is removing regulatory barriers to make it easier for private lenders to use USDA programs to invest in rural businesses and grassroots rural economic development efforts.
OneRD, One Process
USDA will standardize requirements for credit reviews, loan processing, loan servicing and loss claims across the four lending programs to help improve the customer experience for rural lenders.
Common Application and Consistent Forms
A common loan note guarantee application and consistent forms for the four loan guarantee programs will be available to use on October 1, 2020. The Agency is building an online application portal to launch in late 2020.
Speed and Transparency
USDA intends to issue lenders loan note guarantees within 48 hours after they provide documentation to prove the requirements of the conditional commitment have been met. To improve transparency, USDA will provide guarantee percentage and fee requirements to lenders through a single annual notice at the beginning of each fiscal year.
Single-Point Lender Approval
Through one application, USDA will 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 loan guarantee programs. Non-regulated lenders may seek approval to participate through a single certification process that will be valid for five years.
Additional Options for Lenders
USDA will 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.
Lender Help Desk
As USDA’s four flagship guarantee loan programs are streamlined under the OneRD Guarantee Loan Initiative, a core team of program experts are available to help you prepare for the new policies and procedures included in the final rule.
Questions may be submitted to OneRDGuarantee@usda.gov. A specialist will be available to respond Monday through Friday from 7:00 a.m. to 7:00 p.m. Eastern Time. You may direct questions to one or more of the following program experts:
Rural Energy for America Program Loan Guarantees & Business and Industry Guaranteed Loan Program
- David Chestnut: Specializes in program management and policy
- Deb Yocum: Specializes in program management and policy
- Brenda Griffin: Specializes in loan processing
- David Lewis: Specializes in loan servicing
- Kelly Bogle: Specializes in processing, data systems and procedures
Community Facilities Guaranteed Loan Program
- Karla Peiffer
Water and Waste Disposal Loan Guarantees Program
- Darrel Lipscomb
- Hal Nielson
Comment on the Final Rule
You may submit comments, identified by docket number RUS-19-Agency-0030 and Regulatory Information Number (RIN) number 0572-AC43, through www.regulations.gov. All submissions received must include the Agency name and docket number or RIN for this rulemaking. All comments received will be posted without change to www.regulations.gov, including any personal information provided. For access to the docket to read background documents or comments received, go to https://www.regulations.gov.Submit a Comment
Frequently Asked Questions
Below are frequently asked questions that we have addressed. This list will grow as new questions are asked and answers are given
Q: Which programs are included under the OneRD Guarantee Loan Initiative?
- Water and Waste Disposal Loan Guarantees Program;
- Community Facilities Guaranteed Loan Program;
- Business and Industry Guaranteed Loan Program; and
- Rural Energy for America Program Loan Guarantees.
Q:What are the major changes in this final rule?
- Visit the OneRD Guarantee Loan Initiative Fact Sheet for an overview of changes included in the final rule.
Q: When will changes in the regulation take effect?
- Changes will take effect on Oct. 1, 2020.
Q: Whom do I contact for more information?
Q: How do I submit comments on this final rule?
- You may submit written comments, identified by docket number RUS-19-Agency-0030 and Regulatory Information Number (RIN) number 0572-AC43, through https://www.regulations.gov. All submissions received must include the Agency name and docket number or RIN for this rulemaking. All comments received will be posted without change, including any personal information provided. For access to the docket to read background documents or comments received, go to https://www.regulations.gov.
Q: Whom may I contact to ask questions about this regulation?
- You may submit clarifying questions about this regulation to OneRDGuarantee@usda.gov. A core team of program experts will be available to respond Monday through Friday from 7 a.m. to 7 p.m. Eastern Time. Written feedback about the regulation must be submitted to https://www.regulations.gov.
Q: If I provide a comment during a virtual listening session, will it be considered a formal comment?
- No. Feedback provided at listening sessions will be captured and reviewed. However, to submit a formal comment, you must submit written comments to https://www.regulations.gov.
Q: If I provide a comment about the regulation to OneRDGuarantee@usda.gov, will it be considered a formal comment?
- No. Written comments must be submitted to https://www.regulations.gov.
Q: Will the Agency release another regulation about the OneRD Guarantee Loan Initiative after the comment period?
- The Agency will review all comments and determine whether a follow-up regulation is necessary.
Q: Will this regulation affect my Fiscal Year 2020 guarantee loan application?
- No. Changes in this regulation do not take effect until Oct. 1. 2020 and do not affect applications filed prior to Oct. 1, 2020.
Q: When will the application windows open for the four programs under OneRD Guaranteed Loan Initiative?
- The application window for each program under the OneRD Guarantee Loan Initiative opens Oct. 1, 2020, when the regulation takes effect.
Q: When will forms and other materials to help me apply for loan guarantee programs under this initiative become available?
- Forms and other application resources will be uploaded to www.rd.usda.gov/onerdguarantee on Oct. 1, 2020, when the regulation takes effect.
Q: Will USDA provide training to lenders to help prepare for the new policies and procedures under the OneRD Guarantee Loan Initiative?
- Yes. USDA will host training sessions for lenders after the regulation’s comment period. Training sessions will be announced at a later date and posted to www.rd.usda.gov/onerdguarantee.
Tools and Resources
Below are resources including presentations, factsheets and other information documents.