Page:United States Statutes at Large Volume 116 Part 1.djvu/369

 PUBLIC LAW 107-171—MAY 13, 2002 116 STAT. 343 criteria and a commercial lending institution agrees to serve as escrow agent. "(b) DATE OF COM]\ i^NCEMENT OF PROGRAM. —Not later than October 1, 2002, the Secretary shall make a determination on whether guarantees of contract land sales present a risk that is comparable with the risk presented in the case of guarantees to commercial lenders.". Deadline. Subtitle B—Operating Loans SEC. 5101. DIRECT LOANS. Section 311(c) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1941(c)) is amended— (1) in paragraph (1)— (A) in the matter that precedes subparagraph (A), by striking "paragraph (3)" and inserting "paragraphs (3) and (4)"; and (B) in subparagraph (A), by striking "who has not" and all that follows through "5 years"; and (2) by adding at the end the following: "(4) WAIVERS. — "(A) FARM AND RANCH OPERATIONS ON TRIBAL LANDS. — The Secretary shall waive the limitation under paragraph (1)(C) or (3) for a direct loan made under this subtitle to a farmer or rancher whose farm or ranch land is subject to the jurisdiction of an Indian tribe and whose loan is secured by 1 or more security instruments that are subject to the jurisdiction of an Indian tribe if the Secretary determines that commercial credit is not generally available for such farm or ranch operations. "(B) OTHER FARM AND RANCH OPERATIONS.—On a caseby-case determination not subject to administrative appeal, the Secretary may grant a borrower a waiver, 1 time only for a period of 2 years, of the limitation under paragraph (1)(C) or (3) for a direct operating loan if the borrower demonstrates to the satisfaction of the Secretary that— "(i) the borrower has a viable farm or ranch operation; "(ii) the borrower applied for commercial credit from at least 2 commercial lenders; "(iii) the borrower was unable to obtain a commercial loan (including a loan guaranteed by the Secretary); and "(iv) the borrower successfully has completed, or will complete within 1 year, borrower training under section 359 (from which requirement the Secretary shall not grant a waiver under section 359(f)).". SEC. 5102. SUSPENSION OF LIMITATION ON PERIOD FOR WHICH BOR- ROWERS ARE ELIGIBLE FOR GUARANTEED ASSISTANCE. During the period beginning January 1, 2002, and ending December 31, 2006, section 319(b) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1949(b)) shall have no force or effect. 7 USC 1949 note. Effective date. Termination date.

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