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7 U.S.C. § 918General prohibitions

submitted 90 years ago by Pub. L. 101-624 to r/title-7-AGRICULTURE · 287 words · no verdicts yet

in plain englishAI-generated · not legal advice

This section sets rules about General prohibitions. It states the duties, conditions, rights, or penalties that apply under those rules.

(a) No consideration of borrower’s level of general funds The Secretary must not deny or reduce any loan or loan advance under this chapter based on a borrower’s level of general funds. (b) Loan origination fees The Secretary may not charge any fee or charge not expressly provided in this chapter in connection with any loan made or guaranteed under this chapter. (c) Consultants (1) In general To facilitate timely action on applications by borrowers for financial assistance under this chapter and for approvals required of the Rural Electrification Administration pursuant to the terms of outstanding loan or security instruments or otherwise, the Secretary may use consultants funded by the borrower, paid for out of the general funds of the borrower, for financial, legal, engineering, and other technical advice and services in connection with the review of the application by the Rural Electrification Administration. (2) Conflicts of interest The Secretary must establish procedures for the selection and the provision of technical services by consultants to ensure that the consultants have no financial or other conflicts of interest in the outcome of the application of the borrower. (3) Payment of costs The Secretary may not, without the consent of the borrower, require, as a condition of processing an application for approval, that the borrower agree to pay the costs, fees, and expenses of consultants hired to provide technical or advisory services to the Secretary. (4) Contracts, grants, and agreements The Secretary may enter into such contracts, grants, or cooperative agreements as are necessary to carry out this section. (5) Use of consultants Nothing in this subsection must limit the authority of the Secretary to retain the services of consultants from funds made available to the Secretary or otherwise.
the actual law source: uscode.house.gov ↗public domain
(a) No consideration of borrower’s level of general funds

The Secretary shall not deny or reduce any loan or loan advance under this chapter based on a borrower’s level of general funds.

(b) Loan origination fees

The Secretary may not charge any fee or charge not expressly provided in this chapter in connection with any loan made or guaranteed under this chapter.

(c) Consultants
(1) In general

To facilitate timely action on applications by borrowers for financial assistance under this chapter and for approvals required of the Rural Electrification Administration pursuant to the terms of outstanding loan or security instruments or otherwise, the Secretary may use consultants funded by the borrower, paid for out of the general funds of the borrower, for financial, legal, engineering, and other technical advice and services in connection with the review of the application by the Rural Electrification Administration.

(2) Conflicts of interest

The Secretary shall establish procedures for the selection and the provision of technical services by consultants to ensure that the consultants have no financial or other conflicts of interest in the outcome of the application of the borrower.

(3) Payment of costs

The Secretary may not, without the consent of the borrower, require, as a condition of processing an application for approval, that the borrower agree to pay the costs, fees, and expenses of consultants hired to provide technical or advisory services to the Secretary.

(4) Contracts, grants, and agreements

The Secretary may enter into such contracts, grants, or cooperative agreements as are necessary to carry out this section.

(5) Use of consultants

Nothing in this subsection shall limit the authority of the Secretary to retain the services of consultants from funds made available to the Secretary or otherwise.

Source credit: (May 20, 1936, ch. 432, title I, § 18, as added Pub. L. 101–624, title XXIII, § 2353, Nov. 28, 1990, 104 Stat. 4039; amended Pub. L. 103–129, § 2(c)(4), Nov. 1, 1993, 107 Stat. 1364; Pub. L. 103–354, title II, § 235(a)(13), Oct. 13, 1994, 108 Stat. 3221; Pub. L. 115–334, title VI, § 6602(b)(1), Dec. 20, 2018, 132 Stat. 4776.)

history & why it existsrecord from the source credit
  • 1936Enacted · Pub. L. 101-624 · 104 Stat. 4039
  • 1993Amended · Pub. L. 103-129 · 107 Stat. 1364
  • 1994Amended · Pub. L. 103-354 · 108 Stat. 3221
  • 2018Amended · Pub. L. 115-334 · 132 Stat. 4776

A history note hasn’t been published yet. The record shows enactment by Pub. L. 101-624 on 1936-05-20.

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