rural-development · Rural Housing Service · Rule · Published 2005-01-07 · Effective 2005-04-07 · 70 FR 1325
Document
Document number
05-325
Federal Register citation
70 FR 1325
CFR reference
7 CFR 1924
Type
Rule
Action
Direct final rule.
Category
rural-development
Sub-agency
Rural Housing Service
Publication date
2005-01-07
Effective date
2005-04-07
Abstract
The Rural Housing Service is amending its regulations to change the threshold for surety requirements guaranteeing payment and performance from a $100,000 contract amount to the maximum Rural Development Single Family Housing area lending limit. This limit will vary by locality. This will liberalize the requirement for surety and take into account the increased construction cost of single family homes in Rural Development's Single Family Housing Program. This will ease the burden on small contractors for whom obtaining surety is difficult and expensive, thereby reducing costs to our single family housing borrowers.