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Code · REGISTER · 2006-10-04 · DEPARTMENT OF TRANSPORTATION · Notices

Notices. Notice

15,377 words·~70 min read·/register/2006/10/04/06-8479·

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

BILLING CODE 4910-EX-P DEPARTMENT OF TRANSPORTATION National Highway Traffic Safety Administration [Docket No. NHTSA-2006-25975; Notice 1] American Honda Motor Co., Inc., Receipt of Petition for Decision of Inconsequential Noncompliance American Honda Motor Co., Inc. (Honda) has determined that the certification labels for certain Pilot trucks that it produced in 2006 do not comply with S5.3 of 49 CFR 571.120, Federal Motor Vehicle Safety Standard (FMVSS) No. 120, “Tire selection and rims for motor vehicles other than passenger cars.
” Honda has filed an appropriate report pursuant to 49 CFR part 573, “Defect and Noncompliance Reports.” Pursuant to 49 U.S.C. 30118(d) and 30120(h), Honda has petitioned for an exemption from the notification and remedy requirements of 49 U.S.C. Chapter 301 on the basis that this noncompliance is inconsequential to motor vehicle safety. This notice of receipt of Honda's petition is published under 49 U.S.C. 30118 and 30120 and does not represent any agency decision or other exercise of judgment concerning the merits of the petition.
Affected are a total of approximately 23,000 model year 2006 and 2007 Honda Pilot trucks produced between February 17, 2006 and August 10, 2006. S5.3.2 of FMVSS No. 120 requires that the vehicles shall show the size designation appropriate for the tires. The noncompliant vehicles have certification labels stating that the rim size is 6 inches, when in fact the rim size is 16 inches. Honda has corrected the problem that caused these errors so that they will not be repeated in future production.
Honda believes that the noncompliance is inconsequential to motor vehicle safety and that no corrective action is warranted. Honda presents the following basis for its petition: First, most vehicle owners, dealers, and tire service technicians would refer to the vehicles' existing tires and/or the separate Tire Placard to determine the appropriate size for a replacement tire rather than to the Certification Label. Second, if the vehicle owner, dealer or tire service technician read the incorrect rim size on the Certification Label, it would be obvious that a full size vehicle could not use 6 inch wheels.
Third, the tire size is listed correctly on the Certification Label. Fourth, the owner's manual contains the correct rim size information. Fifth, the correct rim size is cast into the wheel itself. Interested persons are invited to submit written data, views, and arguments on this petition. Comments must refer to the docket and notice number cited at the beginning of this notice and be submitted by any of the following methods. *Mail:* Docket Management Facility, U.S. Department of Transportation, Nassif Building, Room PL-401, 400 Seventh Street, SW., Washington, DC 20590-0001. *Hand Delivery:* Room PL-401 on the plaza level of the Nassif Building, 400 Seventh Street, SW., Washington, DC.
It is requested, but not required, that two copies of the comments be provided. The Docket Section is open on weekdays from 10 a.m. to 5 p.m. except Federal Holidays. Comments may be submitted electronically by logging onto the Docket Management System Web site at *http://dms.dot.gov* . Click on “Help” to obtain instructions for filing the document electronically. Comments may be faxed to 1-202-493-2251, or may be submitted to the Federal eRulemaking Portal: go to *http://www.regulations.gov* .
Follow the online instructions for submitting comments. The petition, supporting materials, and all comments received before the close of business on the closing date indicated below will be filed and will be considered. All comments and supporting materials received after the closing date will also be filed and will be considered to the extent possible. When the petition is granted or denied, notice of the decision will be published in the **Federal Register** pursuant to the authority indicated below. *Comment closing date:* November 3, 2006.
Authority (49 U.S.C. 30118, 30120: Delegations of authority at CFR 1.50 and 501.8). Issued on: September 29, 2006. Daniel C. Smith, Associate Administrator for Enforcement. [FR Doc. E6-16404 Filed 10-3-06; 8:45 am] BILLING CODE 4910-59-P DEPARTMENT OF THE TREASURY Community Development Financial Institutions Fund Funding Opportunity Title: Revised Notice of Funds Availability
(NOFA)Inviting Applications for the FY 2007 Funding Round of the Native American CDFI Assistance
(NACA)Program *Announcement Type:* Initial announcement of funding opportunity. *Catalog of Federal Domestic Assistance
(CFDA)Number:* 21.020. DATES: Applications for the FY 2007 Funding Round of the NACA Program must be received by 5 p.m. ET on January 30, 2007. EXECUTIVE SUMMARY: On December 21, 2005, the Community Development Financial Institutions Fund (the Fund) published a NOFA in the **Federal Register** (70 FR 75872) in connection with two consecutive funding rounds of the NACA Program:
(i)The FY 2006 Funding Round and
(ii)the FY 2007 Funding Round. Through this revised NOFA, the Fund announces revised dates for the FY 2007 Funding Round. Because the FY 2006 Funding Round is now complete, this revised NOFA is being issued for the FY 2007 Funding Round only. Parties interested in the FY 2007 Funding Round should review and refer to this revised NOFA, disregarding the December 21, 2005 NOFA, as the FY 2007 Funding Round dates in the December 21, 2005 NOFA have been changed. I. Funding Opportunity Description A. Through the NACA Program, the Fund provides Financial Assistance
(FA)awards to Community Development Financial Institutions (CDFIs) that have at least 50 percent of their activities directed toward serving Native American, Alaska Native and/or Native Hawaiian communities (Native CDFIs) in order to build their capacity to better address the community development and capital access needs of their Target Market(s) and to expand into new Investment Areas, Low-Income Targeted Populations, or Other Targeted Populations. Through the NACA Program, the Fund provides Technical Assistance
(TA)grants to entities that propose to become Native CDFIs, and to Native organizations, Tribes and Tribal organizations (Sponsoring Entities) that propose to create Native CDFIs, in order to build their capacity to better address the community development and capital access needs of their Target Market(s), to expand into new Investment Areas, Low-Income Targeted Populations, or Other Targeted Populations, or to create Native CDFIs. B. The regulations governing the CDFI Program, found at 12 CFR part 1805 (the Interim Rule), provide relevant guidance on evaluation criteria and other requirements of the NACA Program. The Fund encourages Applicants to review the Interim Rule. Detailed application content requirements are found in the applicable funding application and related guidance materials. Each capitalized term in this NOFA is more fully defined in the Interim Rule, the application or the guidance materials. C. The Fund reserves the right to fund, in whole or in part, any, all, or none of the applications submitted in response to this NOFA. The Fund reserves the right to re-allocate funds from the amount that is anticipated to be available under this NOFA to other Fund programs, particularly if the Fund determines that the number of awards made under this NOFA is fewer than projected. II. Award Information A. Funding Availability 1. FY 2007 Funding Round Through the FY 2007 Funding Round, and subject to funding availability, the Fund expects that it may award approximately $3.5 million in appropriated funds through the NACA Program. The Fund reserves the right to award in excess of $3.5 million in appropriated funds to Applicants in the FY 2007 Funding Round, provided that the funds are available and the Fund deems it appropriate. 2. Availability of Funds for the FY 2007 Funding Round Funds for the FY 2007 Funding Round have not yet been appropriated. If funds are not appropriated for the FY 2007 Funding Round, there will not be a FY 2007 Funding Round. Further, it is possible that if funds are appropriated for the FY 2007 Funding Round, the amount of such funds may be less than the amounts set forth above. B. Types of Awards An NACA Program Applicant may submit an application for:
(i)An FA award;
(ii)an FA award and a TA grant; or
(iii)a TA grant. 1. FA Awards The Fund may provide FA awards in the form of equity investments (including, in the case of certain Insured Credit Unions, secondary capital accounts), grants, loans, deposits, credit union shares, or any combination thereof. The Fund reserves the right, in its sole discretion, to provide an FA award in a form and amount other than that which is requested by an Applicant. The Fund reserves the right, in its sole discretion, to provide an FA award on the condition that the Applicant agrees to use a TA grant for specified capacity building purposes, even if the Applicant has not requested a TA grant. 2. TA Grants
(a)The Fund may provide TA awards in the form of grants. The Fund reserves the right, in its sole discretion, to provide a TA grant for uses and amounts other than and in addition to that which are requested by an Applicant.
(b)TA grants may be used to address a variety of needs including, but not limited to, development of strategic planning documents (such as business, strategic or capitalization plans), market analyses or product feasibility analyses, operational policies and procedures, curricula for Development Services (such as entrepreneurial training, home buyer education, financial education or training, borrower credit repair training), improvement of underwriting and portfolio management, development of outreach and training strategies to enhance product delivery, operating support to expand into a new Target Market, and tools that allow the Applicant to assess the impact of its activities in its community. Each Applicant for a TA grant through this NOFA is required to provide information in the application regarding the expected cost, timing and provider of the TA, and a narrative description of how the TA grant will enhance its capacity to provide greater community development impact, to become certified as a Native CDFI, or to create a Native CDFI, if applicable.
(c)Eligible TA grant uses include, but are not limited to:
(i)Acquiring consulting services;
(ii)acquiring/enhancing technology items, including computer hardware, software and Internet connectivity;
(iii)acquiring training for staff, management and/or board members; and
(iv)paying recurring expenses, including staff salary and other key operating expenses, that will enhance the capacity of the Applicant to serve its Target Market, and/or to become certified as a Native CDFI or to create a Native CDFI. C. Notice of Award; Assistance Agreement Each Awardee under this NOFA must sign a Notice of Award and an Assistance Agreement in order to receive a disbursement of award proceeds by the Fund. The Notice of Award and the Assistance Agreement contain the terms and conditions of the award. For further information, see Sections VI.A and VI.B of this NOFA. III. Eligibility Information A. Eligible Applicants The Interim Rule specifies the eligibility requirements that each Applicant must meet in order to be eligible to apply for assistance under this NOFA. The following sets forth additional detail and dates that relate to the submission of applications under this NOFA: 1. CDFI Certification Requirements For purposes of this NOFA, any Applicant that is a Certified Native CDFI or a Certifiable Native CDFI may apply for a FA award or a FA award and a TA grant. An Applicant that is an Emerging Native CDFI or a Sponsoring Entity may apply for a TA grant only.
(a)*Certified Native CDFIs:* For purposes of this NOFA, a Certified Native CDFI is a Certified CDFI that primarily serves (meaning, at least 50 percent of its activities are directed toward serving) a Native Community and whose certification has not expired and that has not been notified by the Fund that its certification has been terminated. Each such Applicant must include a “Certification of Material Event Form” with its NACA application by the application deadline, in accordance with the instructions on the Fund's Web site at *http://www.cdfifund.gov.* Please Note: The Fund provided a number of CDFIs with certifications expiring in 2003 through 2005 written notification that their certifications had been extended. The Fund will consider the extended certification date (the later date) to determine whether those CDFIs meet this eligibility requirement.
(b)*Certifiable Native CDFIs:* For purposes of this NOFA, a Certifiable Native CDFI is an entity that primarily serves (meaning, at least 50 percent of its activities are directed toward serving) a Native Community and from which the Fund receives a complete CDFI Certification Application by the applicable deadline of the NACA Program application, evidencing that the Applicant meets all requirements to be certified as a CDFI. Applicants may obtain the CDFI Certification Application through the Fund's Web site at *http://www.cdfifund.gov.* Applications for certification must be submitted as instructed in the application form. FA Applicants that are Certifiable Native CDFIs please note: while your organization may be conditionally selected for funding (as evidenced through the Notice of Award), the Fund will not enter into an Assistance Agreement or disburse FA award funds unless and until the Fund has certified your organization as a CDFI. If the Fund is unable to certify your organization as a CDFI based on the CDFI certification application that your organization submits to the Fund, the Notice of Award may be terminated and the award commitment may be cancelled, in the sole discretion of the Fund.
(c)*Emerging Native CDFIs:* For purposes of this NOFA, an Emerging Native CDFI is an entity that primarily serves (meaning, at least 50 percent of its activities are directed toward serving) a Native Community and that demonstrates to the satisfaction of the Fund that it has a reasonable plan to achieve CDFI certification within a reasonable timeframe. Emerging CDFIs may only apply for TA grants; they are not eligible to apply for FA awards. Each Emerging CDFI that is selected to receive a TA grant will be required, pursuant to its Assistance Agreement with the Fund, to work toward CDFI certification by a date certain.
(d)*Sponsoring Entities:* For purposes of this NOFA, a Sponsoring Entity is an entity that proposes to create a separate legal entity that will become certified as a CDFI. For purposes of this NOFA, Sponsoring Entities include:
(a)A Tribe, Tribal entity, Alaska Native Village, Village Corporation, Regional Corporation, Non-Profit Regional Corporation/Association, or Inter-Tribal or Inter-Village organization;
(b)an organization whose primary mission is to serve a Native Community including, but not limited to an Urban Indian Center, Tribally Controlled Community College, community development corporation (CDC), training or educational organization, or Chamber of Commerce, and that primarily serves (meaning, at least 50 percent of its activities are directed toward serving) a Native Community. Sponsoring Entities may only apply for TA grants; they are not eligible to apply for FA awards. Each Sponsoring Entity that is selected to receive a TA grant will be required, pursuant to its Assistance Agreement with the Fund, to create a legal entity by a date certain that will, in turn, seek CDFI certification. B. Prior Awardees Applicants must be aware that success in a prior round of any of the Fund's programs is not indicative of success under this NOFA. Prior awardees are eligible to apply under this NOFA, except as follows: 1. *$5 Million Funding Cap:* The Fund is generally prohibited from obligating more than $5 million in assistance, in the aggregate, to any one organization and its Subsidiaries and Affiliates during any three-year period. For the purposes of this NOFA, the period extends back three years from the date that the Fund signs a Notice of Award issued to an Awardee under this NOFA. 2. *Failure to meet reporting requirements:* The Fund will not consider an application submitted by an Applicant if the Applicant, or an entity that Controls the Applicant, is Controlled by the Applicant or shares common management officials with the applicant (as determined by the Fund) is a prior Fund Awardee or allocatee under any Fund program and is not current on the reporting requirements set forth in a previously executed assistance, allocation or award agreement(s) as of the applicable application deadline of this NOFA. Please note that the Fund only acknowledges the receipt of reports that are complete. As such, incomplete reports or reports that are deficient of required elements will not be recognized as having been received. 3. *Pending resolution of noncompliance:* If an Applicant is a prior Awardee or allocatee under any Fund program and if:
(i)It has submitted complete and timely reports to the Fund that demonstrate noncompliance with a previous assistance, allocation or award agreement; and
(ii)the Fund has yet to make a final determination as to whether the entity is in default of its previous assistance, allocation or award agreement, the Fund will consider the Applicant's application under this NOFA pending full resolution, in the sole determination of the Fund, of the noncompliance. Further, if another entity that Controls the Applicant, is Controlled by the Applicant or shares common management officials with the Applicant (as determined by the Fund), is a prior Fund Awardee or allocatee and if such entity:
(i)Has submitted complete and timely reports to the Fund that demonstrate noncompliance with a previous assistance, allocation or award agreement; and
(ii)the Fund has yet to make a final determination as to whether the entity is in default of its previous assistance, allocation, or award agreement, the Fund will consider the Applicant's application under this NOFA pending full resolution, in the sole determination of the Fund, of the noncompliance. 4. *Default status:* The Fund will not consider an application submitted by an Applicant that is a prior Fund Awardee or allocatee under any Fund program if, as of the applicable application deadline of this NOFA, the Fund has made a final determination that such Applicant is in default of a previously executed assistance, allocation or award agreement(s). Further, an entity is not eligible to apply for an award pursuant to this NOFA if, as of the applicable application deadline of this NOFA, the Fund has made a final determination that another entity that Controls the Applicant, is Controlled by the Applicant or shares common management officials with the Applicant (as determined by the Fund):
(i)Is a prior Fund Awardee or allocatee under any Fund program; and
(ii)has been determined by the Fund to be in default of a previously executed assistance, allocation or award agreement(s). 5. *Termination in default:* The Fund will not consider an application submitted by an Applicant that is a prior Fund Awardee or allocatee under any Fund program if:
(i)The Fund has made a final determination that such Applicant's prior award or allocation terminated in default of a previously executed assistance, allocation or award agreement(s); and
(ii)the final reporting period end date for the applicable terminated assistance, allocation or award agreement(s) falls in Calendar Year 2006. Further, an entity is not eligible to apply for an award pursuant to this NOFA if:
(i)The Fund has made a final determination that another entity that Controls the Applicant, is Controlled by the Applicant or shares common management officials with the Applicant (as determined by the Fund), is a prior Fund Awardee or allocatee under any Fund program whose award or allocation terminated in default of a previously executed assistance, allocation or award agreement(s); and
(ii)the final reporting period end date for the applicable terminated assistance, allocation or award agreement(s) falls in Calendar Year 2006. 6. *Undisbursed balances:* The Fund will not consider an application submitted by an Applicant that is a prior Fund Awardee under any Fund program if the Applicant has a balance of undisbursed funds (defined below) under said prior award(s), as of the applicable application deadline of this NOFA. Further, an entity is not eligible to apply for an award pursuant to this NOFA if another entity that Controls the Applicant, is Controlled by the Applicant or shares common management officials with the Applicant (as determined by the Fund), is a prior Fund Awardee under any Fund program, and has a balance of undisbursed funds under said prior award(s), as of the applicable application deadline of this NOFA. In a case where another entity that Controls the Applicant, is Controlled by the Applicant or shares common management officials with the Applicant (as determined by the Fund), is a prior Fund Awardee under any Fund program, and has a balance of undisbursed funds under said prior award(s), as of the applicable application deadline of this NOFA, the Fund will include the combined awards of the Applicant and such Affiliated entities when calculating the amount of undisbursed funds. For purposes of this section, “undisbursed funds” is defined as:
(i)In the case of a prior Bank Enterprise Award
(BEA)Program award(s), any balance of award funds equal to or greater than five
(5)percent of the total prior BEA Program award(s) that remains undisbursed more than three
(3)years after the end of the calendar year in which the Fund signed an award agreement with the Awardee; and
(ii)in the case of a prior CDFI Program or other Fund program award(s), any balance of award funds equal to or greater than five
(5)percent of the total prior award(s) that remains undisbursed more than two
(2)years after the end of the calendar year in which the Fund signed an assistance agreement with the Awardee. “Undisbursed funds” does not include
(i)tax credit allocation authority made available through the New Market Tax Credit
(NMTC)Program;
(ii)any award funds for which the Fund received a full and complete disbursement request from the Awardee by the applicable application deadline of this NOFA;
(iii)any award funds for an award that has been terminated, expired, rescinded or deobligated by the Fund; or
(iv)any award funds for an award that does not have a fully executed assistance or award agreement. The Fund strongly encourages Applicants requesting disbursements of “undisbursed funds” from prior awards to provide the Fund with a complete disbursement request at least 10 business days prior to the applicable application deadline of this NOFA. 7. *Exception for Applicants Impacted by Hurricanes Katrina and/or Rita:* Please note that the provisions of paragraphs 2 (Failure to meet reporting requirements) and 6 (Undisbursed balances) of this section do not apply to any Applicant that has an office located in, or that provides a significant volume of services or financing to residents of or businesses located in, a county that is within a “major disaster area” as declared by the Federal Emergency Management Agency
(FEMA)as a result of Hurricanes Katrina and/or Rita. Said requirements are waived for those Applicants under this NOFA. 8. *Contact the Fund:* Accordingly, Applicants that are prior Awardees are advised to:
(i)Comply with requirements specified in assistance, allocation and/or award agreement(s), and
(ii)contact the Fund to ensure that all necessary actions are underway for the disbursement or de-obligation of any outstanding balance of said prior award(s). All outstanding reports, disbursement or compliance questions should be directed to the Grants Manager by e-mail at *grantsmanagement@cdfi.treas.gov* ; by telephone at
(202)622-8226; by facsimile at
(202)622-6453; or by mail to CDFI Fund, 601 13th Street, NW., Suite 200 South, Washington, DC 20005. The Fund will respond to Applicants' reporting, disbursement or compliance questions between the hours of 9 a.m. and 5 p.m. ET, starting the date of the publication of this NOFA through January 26, 2007 (two business days before the application deadline). The Fund will not respond to Applicants' reporting, disbursement or compliance phone calls or e-mail inquiries that are received after 5 p.m. on said date, until after the funding application deadline. 9. *Limitation on Awards:* An Applicant may receive only one award through either the CDFI Program or the NACA Program in the same funding year. An Applicant may apply under both the CDFI Program and the NACA Program but will not be selected for funding under both. A NACA Program Applicant, its Subsidiaries or Affiliates also may apply for and receive:
(i)A tax credit allocation through the NMTC Program but only to the extent that the activities approved for CDFI Program awards are different from those activities for which the Applicant receives an NMTC Program allocation; and
(ii)an award through the BEA Program (subject to certain limitations; refer to the Interim Rule at 12 CFR 1805.102). C. Matching Funds 1. *Matching Funds Requirements in General:* Applicants responding to this NOFA must obtain non-Federal matching funds from sources other than the Federal government on the basis of not less than one dollar for each dollar of FA funds provided by the Fund (matching funds are not required for TA grants). Matching funds must be at least comparable in form and value to the FA award provided by the Fund (for example, if an Applicant is requesting an FA grant from the Fund, the Applicant must have evidence that it has obtained matching funds through grant(s) from non-Federal sources that are at least equal to the amount requested from the Fund). Funds used by an Applicant as matching funds for a prior FA award under the CDFI Program or under another Federal grant or award program cannot be used to satisfy the matching funds requirement of this NOFA. If an Applicant seeks to use as matching funds monies received from an organization that was a prior Awardee under the CDFI Program, the Fund will deem such funds to be Federal funds, unless the funding entity establishes to the reasonable satisfaction of the Fund that such funds do not consist, in whole or in part, of CDFI Program funds or other Federal funds. For the purposes of this NOFA, BEA Program awards are not deemed to be Federal funds and are eligible as matching funds. The Fund encourages Applicants to review the Interim Rule at 12 CFR 1805.500 *et seq.* and matching funds guidance materials on the Fund's Web site for further information. 2. *Matching Funds Requirements for the FY 2007 Funding Round:* Due to funding constraints and the desire to quickly deploy Fund dollars, the Fund will not consider for an FA award any Applicant that has no matching funds in-hand or firmly committed as of the application deadline under this NOFA. Specifically, a NACA Program Applicant must demonstrate that it has eligible matching funds equal to no less than 25 percent of the amount of the FA award requested in hand or firmly committed, on or after January 1, 2005 and on or before the application deadline. The Fund reserves the right to rescind all or a portion of an FA award and re-allocate the rescinded award amount to other qualified Applicant(s), if an Applicant fails to obtain in hand 100 percent of the required matching funds by March 14, 2008 (with required documentation of such receipt received by the Fund not later than March 31, 2008), or to grant an extension of such matching funds deadline for specific Applicants selected to receive FA, if the Fund deems it appropriate. For any Applicant that demonstrates that it has less than 100 percent of matching funds in hand or firmly committed as of the application deadline, the Fund will evaluate the Applicant's ability to raise the remaining matching funds by March 14, 2008. 3. *Matching Funds Terms Defined; Required Documentation.*
(a)“ *Matching funds in-hand* ” means that the Applicant has actually received the matching funds. If the matching funds are “in-hand,” the Applicant must provide the Fund with acceptable written documentation of the source, form and amount of the Matching Funds (i.e., grant, loan, and equity investment). For a loan, the Applicant must provide the Fund with a copy of the loan agreement and promissory note. For a grant, the Applicant must provide the Fund with a copy of the grant letter or agreement. For an equity investment, the Applicant must provide the Fund with a copy of the stock certificate and any related shareholder agreement. Further, if the matching funds are “in-hand,” the Applicant must provide the Fund with acceptable documentation that evidences its receipt of the matching funds proceeds, such as a copy of a check or a wire transfer statement.
(b)“ *Firmly committed matching funds* ” means that the Applicant has entered into or received a legally binding commitment from the matching funds source that the matching funds will be disbursed to the Applicant. If the matching funds are “firmly committed,” the Applicant must provide the Fund with acceptable written documentation to evidence the source, form, and amount of the firm commitment (and, in the case of a loan, the terms thereof), as well as the anticipated date of disbursement of the committed funds.
(c)The Fund may contact the matching funds source to discuss the matching funds and the documentation provided by the Awardee. If the Fund determines that any portion of the Applicant's matching funds is ineligible under this NOFA, the Fund, in its sole discretion, may permit the Applicant to offer alternative matching funds as a substitute for the ineligible matching funds; provided, however, that
(i)the Applicant must provide acceptable alternative matching funds documentation within 5 business days of the Fund's request and
(ii)the alternative matching funds documentation cannot increase the total amount of Financial Assistance requested by the Applicant. 4. *Special Rule for Insured Credit Unions.* Please note that the Interim Rule allows an Insured Credit Union to use retained earnings to serve as matching funds for an FA grant in an amount equal to:
(i)The increase in retained earnings that have occurred over the Applicant's most recent fiscal year;
(ii)the annual average of such increases that have occurred over the Applicant's three most recent fiscal years; or
(iii)the entire retained earnings that have been accumulated since the inception of the Applicant or such other financial measure as may be specified by the Fund. For purposes of this NOFA, if option
(iii)is used, the Applicant must increase its member and/or non-member shares or total loans outstanding by an amount that is equal to the amount of retained earnings that is committed as matching funds. This amount must be raised by the end of the Awardee's second performance period, as set forth in its Assistance Agreement, and will be based on amounts reported in the Applicant's Audited or Reviewed Financial Statements or NCUA Form 5300 Call Report. 5. *Severe Constraints Exception to Matching Funds Requirement; Applicability to Applicants Located in FEMA-Designated Major Disaster Areas Created by Hurricanes Katrina and/or Rita:* In the case of any Applicant that has an office that is located in, or that provides a significant volume of services or financing to residents of or businesses located in, any county that is within a “major disaster area” as declared by the Federal Emergency Management Agency
(FEMA)as a result of Hurricanes Katrina and/or Rita, and that has severe constraints on available sources of matching funds, such Applicant may be eligible for a “severe constraints waiver” (see section 1805.203 of the Interim Rule) if
(i)it can demonstrate to the satisfaction of the Fund that an Investment Area(s) or Targeted Population(s) would not be adequately served without such a waiver and
(ii)it projects to use the assistance to address issues resulting from Hurricanes Katrina and/or Rita (such as a significant volume of loan defaults) or to provide financial products, financial services, or Development Services to residents of or businesses located in any county that is within a “major disaster area” as declared by FEMA as a result of Hurricanes Katrina and/or Rita. If eligible for such a waiver, the Applicant may comply with the matching funds requirements of this NOFA as follows:
(i)The matching funds requirement for such Applicant would be reduced to 50 percent (meaning, the Applicant must match 50 percent of the Fund's FA award rather than 100 percent), or
(ii)such an Applicant may provide matching funds in alternative (meaning, non-monetary) forms if the Applicant has total assets of less than $100,000 at the time of the application deadline, serves non-metropolitan or rural areas, and is not requesting more than $25,000 in financial assistance from the Fund. In the case of item
(i)of this paragraph, the Applicant must demonstrate that it has eligible matching funds equal to no less than 25 percent of the amount of the FA award requested in- hand or firmly committed, on or after January 1, 2005 and on or before the application deadline. The Fund reserves the right to rescind all or a portion of an FA award and re-allocate the rescinded award amount to other qualified Applicant(s), if an Applicant fails to obtain in- hand 50 percent of the required matching funds by March 14, 2008 (with required documentation of such receipt received by the Fund not later than March 31, 2008), or to grant an extension of such matching funds deadline for specific Applicants selected to receive FA, if the Fund deems it appropriate. For any such Applicant that demonstrates that it has less than 50 percent of matching funds in- hand or firmly committed as of the application deadline, the Fund will evaluate the Applicant's ability to raise the remaining matching funds by March 14, 2008. In the case of item
(ii)of this paragraph, the NACA Program funding application contains further instructions on the type of documentation that the Applicant must provide as evidence that such match was received and its valuation. The Fund reserves the right, in its sole discretion, to disallow any such match for which adequate documentation or valuation is not provided. IV. Application and Submission Information A. Form of Application Submission Applicants may submit applications under this NOFA either
(i)through Grants.gov or
(ii)in paper form. Applications sent by facsimile or other form will not be accepted. B. Grants.gov In compliance with Public Law 106-107 and Section 5(a) of the Federal Financial Assistance Management Improvement Act, the Fund is required to accept applications submitted through the Grants.gov electronic system. The Fund has posted to its Web site, at *http://www.cdfifund.gov* , instructions for accessing and submitting an application through Grants.gov. Applicants are encouraged to start the registration process now at *http://www.Grants.gov* , as the process may take several weeks to fully complete. See the following link for information on getting started on Grants.gov: *http://grants.gov/assets/GrantsgovCoBrandBrochure8X11.pdf.* C. Paper Applications If an applicant is unable to submit an electronic application, it must submit to the Fund a request for a paper application using the CDFI Program Paper Application Submission Form, and the request must be received by 5 p.m. ET on January 12, 2007. The CDFI Program Paper Application Submission Form may be obtained from the Fund's Web site at *http://www.cdfifund.gov* or the form may be requested by e-mail to *paper_request@cdfi.treas.gov* or by facsimile to
(202)622-7754. The completed CDFI Program Paper Application Submission Form should be directed to the attention of the Fund's Chief Information Officer and must be sent by facsimile to
(202)622-7754. These are not toll free numbers. Paper applications must be submitted in the format and with the number of copies specified in the application instructions. D. Application Content Requirements Detailed application content requirements are found in the application and guidance. Please note that, pursuant to OMB guidance (68 FR 38402), each Applicant must provide, as part of its application submission, a Dun and Bradstreet Data Universal Numbering System
(DUNS)number. In addition, each application must include a valid and current Employer Identification Number (EIN), with a letter or other documentation from the Internal Revenue Service
(IRS)confirming the Applicant's EIN. An application that does not include a valid EIN will be deemed incomplete. Incomplete applications will be rejected and returned to the sender. Applicants should allow sufficient time for the IRS and/or Dun and Bradstreet to respond to inquiries and/or requests for identification numbers. Once an application is submitted, the Applicant will not be allowed to change any element of the application. The preceding sentence does not limit the Fund's ability to contact an Applicant for the purpose of obtaining clarifying or confirming application information (such as DUNS number or EIN information). E. MyCDFIFund Accounts All Applicants must register User and Organization accounts in myCDFIFund, the Fund's Internet-based interface. As myCDFIFund is the Fund's primary means of communication with Applicants and Awardees, organizations must make sure that they update the contact information in their myCDFIFund accounts. For more information on myCDFIFund, please see the “Frequently Asked Questions” link posted at *https://www.cdfifund.gov/myCDFI/Help/Help.asp.* F. Application Deadlines; Address for Paper Submissions; Late Delivery Applicants must submit all materials described in and required by the application by the applicable deadline. 1. *Application Deadlines:* Applications must be received by the Fund at the address cited below and in accordance with the instructions provided on the Fund's Web site, by 5 p.m. ET on January 30, 2007. 2. *Address for Application Submission:* A complete application must be received at the following address, by January 30, 2007: CDFI Fund Grants Manager, NACA Program, Bureau of Public Debt, 200 Third Street, Parkersburg, WV 26101. The telephone number to be used in conjunction with overnight delivery or mailings to this address is
(304)480-6088 (this is not a toll free number). Any documents received in any other office, including the Fund's Washington, DC office, will be rejected and returned to the sender. 3. *Late Delivery:* The Fund will neither accept a late application nor any portion of an application that is late; an application that is late, or for which any portion is late, will be rejected and returned to the sender. An application, including the required signed signature page, and all required paper attachments, must be received by the applicable time and date set forth above. The Fund will not grant exceptions or waivers for late delivery of documents including, but not limited to, late delivery that is caused by third parties such as the United States Postal Service, couriers or overnight delivery services. G. Intergovernmental Review Not applicable. H. Funding Restrictions For allowable uses of FA proceeds, please see the Interim Rule at 12 CFR 1805.301. V. Application Review Information A. Criteria The Fund will evaluate each application using numeric scores with respect to the following five sections: 1. *Market Analysis* (25 points): The Fund will evaluate:
(i)The extent and nature of the economic distress within the designated Target Market including the Applicant's understanding of its current and prospective customers; and
(ii)the extent of demand for the Applicant's Financial Products, Development Services, and Financial Services within the designated Target Market. The Fund will give special consideration to any Applicant that has an office that is located in, or that provides a significant volume of services or financing to residents of or businesses located in,
(i)any county that is within the area declared to be a “major disaster” by FEMA as a result of Hurricanes Katrina and/or Rita; and/or
(ii)any state that has been declared a “reception state” by FEMA. The form and content of such special consideration will be further clarified in the NACA Program application. 2. *Business Strategy* (25 points): The Fund will evaluate the Applicant's business strategy for addressing market demand and creating community development impact through:
(i)Its Financial Products, Development Services, and/or Financial Services;
(ii)its marketing, outreach, and delivery strategy; and
(iii)the extent, quality and nature of coordination with other similar providers of Financial Products and Financial Services, government agencies, and other key community development entities within the Target Market. The Fund will take into consideration whether the Applicant is proposing to expand into a new Target Market. 3. *Community Development Performance and Effective Use* (20 points): The Fund will evaluate
(i)the Applicant's vision for its Target Market, specific outcomes or impacts for measuring progress towards achieving this vision, and the extent to which this award will allow it to achieve them;
(ii)the Applicant's track record in providing Financial Products, Financial Services, and Development Services to the Target Market;
(iii)the extent to which proposed activities will benefit the Target Market;
(iv)the likelihood of achieving the impact projections, including the extent to which the activities proposed in the Comprehensive Business Plan will expand economic opportunities or promote community development within the designated Target Market by promoting homeownership, affordable housing development, job creation or retention, the provision of affordable financial services, and other community development objectives; and
(v)the extent to which the Applicant will maximize the effective use of the Fund's resources. If an Applicant has a prior track record of serving Investment Areas(s) or Targeted Population(s), it must demonstrate that
(i)it has a record of success in serving said Investment Area(s) or Targeted Population(s) and
(ii)it will expand its operations into a new Investment Area or to serve a new Targeted Population, offer more products or services, or increase the volume of its current business. 4. *Management* (20 points): The Fund will evaluate the Applicant's organizational capacity to achieve the objectives set forth in its Comprehensive Business Plan as well as its ability to use its award successfully and maintain compliance with its Assistance Agreement through an evaluation of:
(i)The capacity, skills, size and experience of the Applicant's current and proposed Governing Board, management team, and key staff; and
(ii)the Applicant's management controls and risk mitigation strategies including policies and procedures for portfolio underwriting and review, financial management, risk management, management information systems. 5. *Financial Health and Viability* (10 points): The Fund will evaluate the Applicant's:
(i)Audited or otherwise prepared Financial Statements;
(ii)safety and soundness, including an analysis of the Applicant's financial services industry ratios (capital, liquidity, deployment and self-sufficiency) and ability to sustain positive net revenue;
(iii)projected financial health, including its ability to raise operating support from sources other than the Fund and its capitalization strategy; and
(iv)portfolio performance including loan delinquency, loan losses, and loan loss reserves. If an Applicant does not have 100 percent of the required matching funds in-hand (versus committed), the Applicant must demonstrate to the satisfaction of the Fund that it will raise the outstanding balance of matching funds within the time table set forth above. 6. *Technical Assistance Proposal:* Any Applicant applying for a TA grant, either alone or in conjunction with a request for a FA award, must complete a Technical Assistance Proposal
(TAP)as part of its application. The TAP consists of a summary of the organizational improvements needed to achieve the objectives of the application, a budget, and a description of the requested goods and/or services comprising the TA award request. The budget and accompanying narrative will be evaluated for the eligibility and appropriateness of the proposed uses of the TA award (described above). In addition, if the Applicant identifies a capacity-building need related to any of the evaluation criteria above (for example, if the Applicant requires a market need analysis or a community development impact tracking/reporting system), the Fund will assess its plan to use the TA grant to address said needs. An Applicant that is not a Certified CDFI and that requests TA to address certification requirements, must explain how the requested TA grant will assist the Applicant in meeting the certification requirement. An Applicant that requests a TA grant for recurring activities must clearly describe the benefit that would accrue to its capacity or to its Target Market(s) (such as plans for expansion of staff, market, or products) as a result of the TA award. If the Applicant is a prior Fund Awardee, it must describe how it has used the prior assistance and explain the need for additional Fund dollars over and above such prior assistance. Such an Applicant also must describe the additional benefits that would accrue to its capacity or to the Target Market(s) if the Applicant receives another award from the Fund, such as plans for expansion of staff, market, or products. The Fund will not provide funding for the same activities funded in prior awards. B. Review and Selection Process 1. *Eligibility and Completeness Review:* The Fund will review each application to determine whether it is complete and the Applicant meets the eligibility requirements set forth above. An incomplete application will be rejected as incomplete and returned to the sender. If an Applicant does not meet eligibility requirements, its application will be rejected and returned to the sender. 2. *Substantive Review:* If an application is determined to be complete and the Applicant is determined to be eligible, the Fund will conduct the substantive review of the application in accordance with the criteria and procedures described in the Interim Rule, this NOFA and the application and guidance. Each FA application will be reviewed and scored by multiple readers. Each TA application will be read and scored by one reader. Readers may include Fund staff and other experts in community development finance and/or Native community development. As part of the review process, the Fund may contact the Applicant by telephone or through an on-site visit for the purpose of obtaining clarifying or confirming application information. The Applicant may be required to submit additional information to assist the Fund in its evaluation process. Such requests must be responded to within the time parameters set by the Fund. 3. *Application Scoring; Ranking:*
(a)*Application Scoring:* The Fund will evaluate each application on a 100-point scale, comprising the five criteria categories described above, and assign numeric scores. An Applicant must receive a minimum total score in order to be considered for an award. In the case of an Applicant that has previously received funding from the Fund through any Fund program, the Fund will consider and will deduct points for:
(i)The Applicant's noncompliance with any active award or award that terminated in calendar year 2006, in meeting its performance goals, financial soundness covenants (if applicable), reporting deadlines and other requirements set forth in the assistance or award agreement(s) with the Fund during the Applicant's two complete fiscal years prior to the application deadline of this NOFA (generally FY 2005 and FY 2006);
(ii)the Applicant's failure to make timely loan payments to the Fund during the Applicant's two complete fiscal years prior to the application deadline of this NOFA (if applicable);
(iii)performance on any prior Assistance Agreement as part of the overall assessment of the Applicant's ability to carry out its Comprehensive Business Plan; and
(iv)funds deobligated from a FY 2003, FY 2004 or FY 2005 FA award (if the Applicant is applying for a FA award under this NOFA) if
(A)the amount of deobligated funds is at least $200,000 and
(b)the deobligation occurred subsequent to the expiration of the period of award funds availability (generally, any funds deobligated after the September 30th following the year in which the award was made). Any award deobligations that result in a point deduction under an application submitted pursuant to either funding round of this NOFA will not be counted against any future application for FA through the NACA Program. All questions regarding outstanding reports or compliance should be directed to the Grants Manager by e-mail at *grantsmanagement@cdfi.treas.gov* ; by telephone at
(202)622-8226; by facsimile at
(202)622-7754; or by mail to CDFI Fund, 601 13th Street, NW., Suite 200 South, Washington, DC 20005. These are not toll free numbers. The Fund will respond to reporting or compliance questions between the hours of 9 a.m. and 5 p.m. ET, starting the date of the publication of this NOFA through January 26, 2007. The Fund will not respond to reporting or compliance phone calls or e-mail inquiries that are received after 5 p.m. on January 26, 2007 until after the application deadline.
(b)*Ranking:* The Fund then will rank the applications by their scores, from highest to lowest, based on each Applicant's scores for all five criteria categories added together. 4. *Award Selection:* The Fund will make its final award selections based on the rank order of Applicants by their scores and the amount of funds available. Subject to the availability of funding, the Fund will award funding in the order of the ranking. In addition, the Fund may consider the institutional and geographic diversity of Applicants when making its funding decisions. 5. *Insured CDFIs:* In the case of Insured Depository Institutions and Insured Credit Unions, the Fund will take into consideration the views of the Appropriate Federal Banking Agencies; in the case of State-Insured Credit Unions, the Fund may consult with the appropriate State banking agencies (or comparable entity). The Fund will not approve a FA award or a TA grant to any Insured Credit Union (other than a State-Insured Credit Union) or Insured Depository Institution Applicant that has a CAMEL rating that is higher than a “3” or for which its Appropriate Federal Banking Agency indicates it has safety and soundness concerns, unless the Appropriate Federal Banking Agency asserts, in writing, that:
(i)An upgrade to a CAMEL 3 rating or better (or other improvement in status) is imminent and such upgrade is expected to occur not later than September 30, 2007 (for the FY 2007 Funding Round) or within such other time frame deemed acceptable by the Fund, or
(ii)the safety and soundness condition of the Applicant is adequate to undertake the activities for which the Applicant has requested a FA award and the obligations of an Assistance Agreement related to such a FA award. 6. *Award Notification:* Each Applicant will be informed of the Fund's award decision either through a Notice of Award if selected for an award (see Notice of Award section, below) or written declination if not selected for an award. Each Applicant that is not selected for an award based on reasons other than completeness or eligibility issues may be offered a debriefing on the strengths and weaknesses of its application. This feedback will be provided in a format and within a timeframe to be determined by the Fund, based on available resources. The Fund will notify Awardees by e-mail or fax using the addresses maintained in the Awardee's myCDFIFund account (postal mailings will be used only in rare cases). 7. The Fund reserves the right to reject an application if information (including administrative errors) comes to the attention of the Fund that either adversely affects an applicant's eligibility for an award, or adversely affects the Fund's evaluation or scoring of an application, or indicates fraud or mismanagement on the part of an Applicant. If the Fund determines that any portion of the application is incorrect in any material respect, the Fund reserves the right, in its sole discretion, to reject the application. The Fund reserves the right to change its eligibility and evaluation criteria and procedures, if the Fund deems it appropriate; if said changes materially affect the Fund's award decisions, the Fund will provide information regarding the changes through the Fund's Web site. There is no right to appeal the Fund's award decisions. The Fund's award decisions are final. VI. Award Administration Information A. Notice of Award The Fund will signify its conditional selection of an Applicant as an Awardee by delivering a signed Notice of Award to the Applicant. The Notice of Award will contain the general terms and conditions underlying the Fund's provision of assistance including, but not limited to, the requirement that the Awardee and the Fund enter into an Assistance Agreement. The Applicant must execute the Notice of Award and return it to the Fund. By executing a Notice of Award, the Awardee agrees, among other things, that, if prior to entering into an Assistance Agreement with the Fund, information (including administrative error) comes to the attention of the Fund that either adversely affects the Awardee's eligibility for an award, or adversely affects the Fund's evaluation of the Awardee's application, or indicates fraud or mismanagement on the part of the Awardee, the Fund may, in its discretion and without advance notice to the Awardee, terminate the Notice of Award or take such other actions as it deems appropriate. Moreover, by executing a Notice of Award, the Awardee agrees that, if prior to entering into an Assistance Agreement with the Fund, the Fund determines that the Awardee is in default of any Assistance Agreement previously entered into with the Fund, the Fund may, in its discretion and without advance notice to the Awardee, either terminate the Notice of Award or take such other actions as it deems appropriate. The Fund reserves the right, in its sole discretion, to rescind its award if the Awardee fails to return the Notice of Award, signed by the authorized representative of the Awardee, along with any other requested documentation, within the deadline set by the Fund. 1. *Failure to meet reporting requirements:* If an Awardee, or an entity that Controls the Awardee, is Controlled by the Awardee or shares common management officials with the Awardee (as determined by the Fund) is a prior Fund Awardee or allocatee under any Fund program and is not current on the reporting requirements set forth in the previously executed assistance, allocation or award agreement(s), as of the date of the Notice of Award, the Fund reserves the right, in its sole discretion, to delay entering into an Assistance Agreement until said prior Awardee or allocatee is current on the reporting requirements in the previously executed assistance, allocation or award agreement(s). Please note that the Fund only acknowledges the receipt of reports that are complete. As such, incomplete reports or reports that are deficient of required elements will not be recognized as having been received. If said prior Awardee or allocatee is unable to meet this requirement within the timeframe set by the Fund, the Fund reserves the right, in its sole discretion, to terminate and rescind the Notice of Award and the award made under this NOFA. 2. *Pending resolution of noncompliance:* If an Applicant is a prior Awardee or allocatee under any Fund program and if:
(i)It has submitted complete and timely reports to the Fund that demonstrate noncompliance with a previous assistance, award or allocation agreement; and
(ii)the Fund has yet to make a final determination as to whether the entity is in default of its previous assistance, award or allocation agreement, the Fund reserves the right, in its sole discretion, to delay entering into an Assistance Agreement, pending full resolution, in the sole determination of the Fund, of the noncompliance. Further, if another entity that Controls the Applicant, is Controlled by the Applicant or shares common management officials with the Applicant (as determined by the Fund), is a prior Fund Awardee or allocatee and if such entity:
(i)Has submitted complete and timely reports to the Fund that demonstrate noncompliance with a previous assistance, award or allocation agreement; and
(ii)the Fund has yet to make a final determination as to whether the entity is in default of its previous assistance, award or allocation agreement, the Fund reserves the right, in its sole discretion, to delay entering into an Assistance Agreement, pending full resolution, in the sole determination of the Fund, of the noncompliance. If the prior Awardee or allocatee in question is unable to satisfactorily resolve the issues of noncompliance, in the sole determination of the Fund, the Fund reserves the right, in its sole discretion, to terminate and rescind the Notice of Award and the award made under this NOFA. 3. *Default status:* If, at any time prior to entering into an Assistance Agreement through this NOFA, the Fund has made a final determination that an Awardee that is a prior Fund Awardee or allocatee under any Fund program is in default of a previously executed assistance, allocation or award agreement(s), the Fund reserves the right, in its sole discretion, to delay entering into an Assistance Agreement, until said prior Awardee or allocatee has submitted a complete and timely report demonstrating full compliance with said agreement within a timeframe set by the Fund. Further, if at any time prior to entering into an Assistance Agreement through this NOFA, the Fund has made a final determination that another entity that Controls the Awardee, is Controlled by the applicant or shares common management officials with the Awardee (as determined by the Fund), is a prior Fund Awardee or allocatee under any Fund program, and is in default of a previously executed assistance, allocation or award agreement(s), the Fund reserves the right, in its sole discretion, to delay entering into an Assistance Agreement, until said prior Awardee or allocatee has submitted a complete and timely report demonstrating full compliance with said agreement within a timeframe set by the Fund. If said prior Awardee or allocatee is unable to meet this requirement, the Fund reserves the right, in its sole discretion, to terminate and rescind the Notice of Award and the award made under this NOFA. 4. *Termination in default:* If
(i)the Fund has made a final determination that an Awardee that is a prior Fund Awardee or allocatee under any Fund program whose award or allocation was terminated in default of such prior agreement; and
(ii)the final reporting period end date for the applicable terminated agreement falls in Calendar Year 2006, the Fund reserves the right, in its sole discretion, to delay entering into an Assistance Agreement. Further, if
(i)the Fund has made a final determination that another entity that Controls the Awardee, is Controlled by the Awardee or shares common management officials with the Awardee (as determined by the Fund), is a prior Fund Awardee or allocatee under any Fund program whose award or allocation was terminated in default of such prior agreement; and
(ii)the final reporting period end date for the applicable terminated agreement falls in such entity's 2005 or 2006 fiscal year, the Fund reserves the right, in its sole discretion, to delay entering into an Assistance Agreement. 5. *Deobligated awards:* An Awardee that receives a FA award pursuant to this NOFA for which an amount over $200,000 is deobligated by the Fund subsequent to the expiration of the period of award funds availability (generally, any funds deobligated after the September 30th following the year in which the award was made) but within the 12 months prior to the applicable application deadline, may not apply for a new award through another NOFA for one CDFI or NACA Program funding round after the date of said deobligation. B. Assistance Agreement Each Applicant that is selected to receive an award under this NOFA must enter into an Assistance Agreement with the Fund in order to receive disbursement of award proceeds. The Assistance Agreement will set forth certain required terms and conditions of the award, which will include, but not be limited to:
(i)The amount of the award;
(ii)the type of award;
(iii)the approved uses of the award;
(iv)the approved Target Market to which the funded activity must be targeted;
(v)performance goals and measures; and
(vi)reporting requirements for all Awardees. FA and FA/TA Assistance Agreements under this NOFA generally will have three-year performance periods; TA-only Assistance Agreements generally will have two-year performance periods. The Fund reserves the right, in its sole discretion, to terminate the Notice of Award and rescind an award if the Awardee fails to return the Assistance Agreement, signed by the authorized representative of the Awardee, and/or provide the Fund with any other requested documentation, within the deadlines set by the Fund. In addition to entering into an Assistance Agreement, each Awardee that receives an award either
(i)in the form of a loan, equity investment, credit union shares/deposits, or secondary capital, in any amount, or
(ii)a FA grant in an amount greater than $500,000, must furnish to the Fund an opinion from its legal counsel, the content of which will be specified in the Assistance Agreement, to include, among other matters, an opinion that the Awardee:
(A)is duly formed and in good standing in the jurisdiction in which it was formed and/or operates;
(B)has the authority to enter into the Assistance Agreement and undertake the activities that are specified therein; and
(C)has no pending or threatened litigation that would materially affect its ability to enter into and carry out the activities specified in the Assistance Agreement. Each other Awardee must provide the Fund with a good standing certificate (or equivalent documentation) from its state (or jurisdiction) of incorporation. C. Reporting 1. *Reporting requirements:* The Fund will collect information, on at least an annual basis, from each Awardee including, but not limited to, an Annual Report that comprises the following components:
(i)Financial Report (not required of Sponsoring Entities);
(ii)Institution Level Report;
(iii)Transaction Level Report (for Awardees receiving FA);
(iv)Financial Status Report (for Awardees receiving TA);
(v)Uses of Financial Assistance and Matching Funds Report (for Awardees receiving FA awards);
(vi)Explanation of Noncompliance (as applicable); and
(vii)such other information as the Fund may require. Each Awardee is responsible for the timely and complete submission of the Annual Report, even if all or a portion of the documents actually is completed by another entity or signatory to the Assistance Agreement. If such other entities or signatories are required to provide Institution Level Reports, Transaction Level Reports, Financial Reports, or other documentation that the Fund may require, the Awardee is responsible for ensuring that the information is submitted timely and complete. The Fund reserves the right to contact such additional signatories to the Assistance Agreement and require that additional information and documentation be provided. The Fund will use such information to monitor each Awardee's compliance with the requirements set forth in the Assistance Agreement and to assess the impact of the NACA Program. The Institution Level Report and the Transaction Level Report must be submitted through the Fund's Web-based data collection system, the Community Investment Impact System (CIIS). The Financial Report may be submitted through CIIS, or by fax or mail to the Fund. All other components of the Annual Report may be submitted to the Fund in paper form or other form to be determined by the Fund. The Fund reserves the right, in its sole discretion, to modify these reporting requirements if it determines it to be appropriate and necessary; however, such reporting requirements will be modified only after notice to Awardees. 2. *Accounting:* The Fund will require each Awardee that receives FA and TA awards through this NOFA to account for and track the use of said FA and TA awards. This means that for every dollar of FA and TA awards received from the Fund, the Awardee will be required to inform the Fund of its uses. This will require Awardees to establish separate administrative and accounting controls, subject to the applicable OMB Circulars. The Fund will provide guidance to Awardees outlining the format and content of the information to be provided on an annual basis, outlining and describing how the funds were used. Each Awardee that receives a FA award must establish a separate bank account for the FA funds and provide the Fund with the required complete and accurate Automated Clearinghouse
(ACH)form for that separate bank account prior to award closing and disbursement. VII. Agency Contacts The Fund will respond to questions and provide support concerning this NOFA and the funding application between the hours of 9 a.m. and 5 p.m. ET, starting the date of the publication of this NOFA through January 26, 2007. The Fund will not respond to questions or provide support concerning the application that are received after 5 p.m. ET on said date, until after the funding application deadline. Applications and other information regarding the Fund and its programs may be obtained from the Fund's Web site at *http://www.cdfifund.gov* . The Fund will post on its Web site responses to questions of general applicability regarding the CDFI Program. A. Information Technology Support Technical support can be obtained by calling
(202)622-2455 or by e-mail at *ithelpdesk@cdfi.treas.gov* . People who have visual or mobility impairments that prevent them from creating an Investment Area map using the Fund's Web site should call
(202)622-2455 for assistance. These are not toll free numbers. B. Programmatic Support If you have any questions about the programmatic requirements of this NOFA, contact the Fund's Program office by e-mail at *cdfihelp@cdfi.treas.gov* , by telephone at
(202)622-6355, by facsimile at
(202)622-7754, or by mail at CDFI Fund, 601 13th Street, NW., Suite 200 South, Washington, DC 20005. These are not toll-free numbers. C. Grants Management Support If you have any questions regarding the administrative requirements of this NOFA, including questions regarding submission requirements, contact the Fund's Grants Manager by e-mail at *grantsmanagement@cdfi.treas.gov* , by telephone at
(202)622-8226, by facsimile at
(202)622-6453, or by mail at CDFI Fund, 601 13th Street, NW., Suite 200 South, Washington, DC 20005. These are not toll free numbers. D. Compliance and Monitoring Support If you have any questions regarding the compliance requirements of this NOFA, including questions regarding performance on prior awards, contact the Fund's Compliance Manager by e-mail at *cme@cdfi.treas.gov* , by telephone at
(202)622-8226, by facsimile at
(202)622-6453, or by mail at CDFI Fund, 601 13th Street, NW., Suite 200 South, Washington, DC 20005. These are not toll free numbers. E. Legal Counsel Support If you have any questions or matters that you believe require response by the Fund's Office of Legal Counsel, please refer to the document titled “How to Request a Legal Review,” found on the Fund's Web site at *http://www.cdfifund.gov* . Further, if you wish to review the Assistance Agreement form document from a prior funding round, you may find it posted on the Fund's Web site (please note that there may be revisions to the Assistance Agreement that will be used for Awardees under this NOFA and thus the sample document on the Fund's Web site should not be relied upon for purposes of this NOFA). F. Communication with the CDFI Fund The Fund will use its myCDFIFund Internet interface to communicate with Applicants and Awardees under this NOFA. Applicants must register through myCDFIFund in order to submit a complete application for funding. Awardees must use myCDFIFund to submit required reports. The Fund will notify Awardees by e-mail using the addresses maintained in each Awardee's myCDFIFund account. Therefore, the Awardee and any Subsidiaries, signatories, and Affiliates must maintain accurate contact information (including contact person and authorized representative, e-mail addresses, fax numbers, phone numbers, and office addresses) in their myCDFIFund account(s). For more information about myCDFIFund, please see the Help documents posted at *http://www.cdfifund.gov/myCDFI/Help/Help.asp* . VIII. Information Sessions and Outreach The Fund may conduct Information Sessions to disseminate information to organizations contemplating applying to, and other organizations interested in learning about, the Fund's programs. For further information on the Fund's Information Sessions, dates and locations, or to register to attend an Information Session, please visit the Fund's Web site at *http://www.cdfifund.gov* or call the Fund at
(202)622-9046. Authority: 12 U.S.C. 4703, 4703 note, 4704, 4706, 4707, 4717; 12 CFR part 1805. Dated: September 27, 2006. Arthur A. Garcia, Director, Community Development Financial Institutions Fund. [FR Doc. E6-16388 Filed 10-3-06; 8:45 am] BILLING CODE 4810-70-P DEPARTMENT OF THE TREASURY Office of Foreign Assets Control Additional Designations, Foreign Narcotics Kingpin Designation Act AGENCY: Office of Foreign Assets Control, Treasury. ACTION: Notice. SUMMARY: The Treasury Department's Office of Foreign Assets Control (“OFAC”) is publishing the names of additional persons whose property and interests in property have been blocked pursuant to the Foreign Narcotics Kingpin Designation Act (21 U.S.C. 1901-1908, 8 U.S.C. 1182) of December 3, 1999. In addition, OFAC is publishing a change to the listing of two individuals previously designated pursuant to the Foreign Narcotics Kingpin Designation Act. DATES: The designations by OFAC of additional persons identified in this notice whose property and interests in property have been blocked pursuant to section 804(b) of the Kingpin Act became effective on September 28, 2006. In addition, the change to the listing of two individuals previously designated pursuant to section 804(b) of the Kingpin Act became effective on September 28, 2006. FOR FURTHER INFORMATION CONTACT: Assistant Director, Compliance Outreach & Implementation, Office of Foreign Assets Control, Department of the Treasury, Washington, DC 20220, tel.: 202/622-2490. SUPPLEMENTARY INFORMATION: Electronic and Facsimile Availability This document and additional information concerning OFAC are available on OFAC's Web site ( *www.treas.gov/ofac* ) or via facsimile through a 24-hour fax-on demand service, tel.:
(202)622-0077. Background The Foreign Narcotics Kingpin Designation Act (“Kingpin Act”) became law on December 3, 1999. The Kingpin Act establishes a program targeting the activities of significant foreign narcotics traffickers and their organizations on a worldwide basis. It provides a statutory framework for the President to impose sanctions against significant foreign narcotics traffickers and their organizations on a worldwide basis, with the objective of denying their businesses and agents access to the U.S. financial system and to the benefits of trade and transactions involving U.S. companies and individuals. The Kingpin Act blocks all property and interests in property, subject to U.S. jurisdiction, owned or controlled by significant foreign narcotics traffickers as identified by the President. In addition, the Kingpin Act blocks the property and interests in property, subject to U.S. jurisdiction, of foreign persons designated by the Secretary of Treasury, in consultation with the Attorney General, the Director of Central Intelligence, the Director of the Federal Bureau of Investigation, the Administrator of the Drug Enforcement Administration, the Secretary of Defense, and the Secretary of State, who are found to be:
(1)Materially assisting in, or providing financial or technological support for or to, or providing goods or services in support of, the international narcotics trafficking activities of a person designated pursuant to the Kingpin Act;
(2)owned, controlled, or directed by, or acting for or on behalf of, a person designated pursuant to the Kingpin Act; or
(3)playing a significant role in international narcotics trafficking. On September 28, 2006, OFAC designated five additional entities and fifteen additional individuals whose property and interests in property are blocked pursuant to section 804(b) of the Foreign Narcotics Kingpin Designation Act. The list of additional designees follows: Entities 1. PLAYA MAR S.A. DE C.V., Paseo De Los Heroes, Colonia Rio Tijuana 2110, Tijuana, Baja California, Mexico; Entre Via Rapida y Jose Clemente Orozco, Tijuana, Baja California, Mexico; Blvd. Agua Caliente 10440, Colonia Aviacion 22420, Tijuana, Baja California, Mexico; R.F.C. # PMA-910805 (Mexico) [SDNTK] 2. INMOBILIARIA ESPARTA S.A. DE C.V., Avenida Negrete 220 Local 2B, Colonia Zona Central, Tijuana, Baja California, Mexico; R.F.C. # IES-870805 (Mexico) [SDNTK] 3. INMOBILIARIA LA PROVINCIA S.A. DE C.V., Cuauhtemoc 6046 3 Libertad,Tijuana, Baja California, Mexico; R.F.C. # IPR-931014 (Mexico) [SDNTK] 4. INMOBILIARIA ESTADO 29 S.A. DE C.V., Entre Juan Sarabia y Plutarco Elias C., Tijuana, Baja California, Mexico; Ocampo 1860 4, Colonia Zona Central, Tijuana, Baja California, Mexico; R.F.C. # IEV-950628 (Mexico) [SDNTK] 5. INMOBILIARIA TIJUANA COSTA S.A. DE C.V., Agua Caliente 10440 9, Colonia Aviacion, Tijuana, Baja California, Mexico; Entre Abelardo L. Rodriguez y Avenida Del Rio, Tijuana, Baja California, Mexico; R.F.C. # ITC-910503 (Mexico) [SDNTK] Individuals 1. HERNANDEZ SOMERO, Urbano, Avenida Manuela Herrera 592, Colonia Rio Reforma CP 22000, Tijuana, Baja California, Mexico; C. Mision de Mulege 2993, Colonia Zona Urbana Rio Tijuana, Tijuana, Baja California, Mexico; Avenida Manuela Herrera 590, Colonia Rio Reforma CP 22000, Tijuana, Baja California, Mexico; Avenida Del Bosque 4640, Colonia Jardines de Chapultepec, Tijuana, Baja California, Mexico; C. Hermosillo, Colonia Rancho El Grande CP 22000, Tijuana, Baja California, Mexico; Pda. Mercurio, Colonia Puerta De Hierro CP 22330, Tijuana, Baja California, Mexico; Pda. Del Cobre 0, Colonia Puerto De Hierro CP 22000, Tijuana, Baja California, Mexico; c/o COMPLEJO TURISTICO OASIS S.A. DE C.V., Rosarito, Baja California, Mexico; c/o PLAYA MAR S.A. DE C.V., Tijuana, Baja California, Mexico; c/o INMOBILIARIA LA PROVINCIA S.A. DE C.V., Tijuana, Baja California, Mexico; c/o INMOBILIARIA ESTADO 29 S.A. DE C.V., Tijuana, Baja California, Mexico; c/o INMOBILIARIA TIJUANA COSTA S.A. DE C.V., Tijuana, Baja California, Mexico; DOB 25 May 1943; POB Mexicali, Baja California, Mexico; C.U.R.P. # HESU430525HBCRMR13 (Mexico); alt. C.U.R.P. # HESU430525HBCRMR05 (Mexico); alt. C.U.R.P. # HEXU430525HBCRXR07 (Mexico); Immigration No. A38839964 (United States) (individual) [SDNTK] 2. AGUIRRE RAMOS, Manuel Francisco, Paseo de los Heroes, Av. 95 B7, Colonia Rio Tijuana, Tijuana, Baja California, Mexico; Prol. Puerta de Hierro, Colonia Puerta de Hierro, Tijuana, Baja California, Mexico; Pda. Manuel M. Flores 2, Colonia Hipodromo Dos, Tijuana, Baja California, Mexico; c/o INMOBILIARIA ESPARTA S.A. DE C.V., Tijuana, Baja California, Mexico; c/o INMOBILIARIA LA PROVINCIA S.A. DE C.V., Tijuana, Baja California, Mexico; Calle 2A Barrio Juarez 2034-702, Colonia Zona Central, Tijuana, Baja California, Mexico; DOB 16 Mar 1969; POB Baja California, Mexico; C.U.R.P. # AURM690316HBCGMN05 (Mexico); R.F.C. # AURM-690316-97A (Mexico) (individual) [SDNTK] 3. URIBE URIBE, Miguel Angel, c/o INMOBILIARIA ESTADO 29 S.A. DE C.V., Tijuana, Baja California, Mexico; Calle Nevado de Toluca 845, Tijuana, Baja California, Mexico; c/o INMOBILIARIA LA PROVINCIA S.A. DE C.V., Tijuana, Baja California, Mexico; DOB 2 Aug 1957; POB Tijuana, Baja California, Mexico; C.U.R.P. # UIUM570802HBCRRG08 (Mexico) (individual) [SDNTK] 4. JIMENEZ PEREZ, Jose Julian Bruno, c/o INMOBILIARIA ESTADO 29 S.A. DE C.V., Tijuana, Baja California, Mexico; Calle Rio Bravo, Colonia Revolucion, Tijuana, Baja California, Mexico; Avenida Independencia, Colonia Zona Urbana Rio Tijuana, Tijuana, Baja California, Mexico; c/o INMOBILIARIA LA PROVINCIA S.A. DE C.V., Tijuana, Baja California, Mexico; DOB 19 Jun 1961; POB Ensenada, Baja California, Mexico; C.U.R.P. # JIPJ610619HBCMRL07 (Mexico) (individual) [SDNTK] 5. VALENCIA MARTINEZ, Alberto Alfredo Avenida I.T.R. 2207, Colonia Tecnologico, Tijuana, Baja California, Mexico; Calle Geiser 101, Colonia Colinas de Agua Caliente, Tijuana, Baja California, Mexico; Avenida Hipodromo 19, Colonia Hipodromo, Tijuana, Baja California, Mexico; Calle Lomas Altas 1480, Colonia Lomas de Agua Caliente, Tijuana, Baja California, Mexico; Calle Coronado 21760, Colonia Mesetas del Guaycura, Tijuana, Baja California, Mexico; Blvd. Fundadores 0, Colonia El Rubi, Tijuana, Baja California, Mexico; c/o INMOBILIARIA TIJUANA COSTA S.A. DE C.S., Tijuana, Baja California, Mexico; DOB 8 Apr 1949; POB Tijuana, Baja California, Mexico; C.U.R.P. # VAMA490408HBCLRL08 (Mexico); R.F.C. # VAMA-490408-C6A (Mexico) (individual) [SDNTK] 6. PELAYO MENDOZA, Franco Arturo, Calle Farallon 3206, Colonia Playas de Tijuana, Secc. Costa Hermosa, Tijuana, Baja California, Mexico; Paseo Playas de Tijuana 317, Tijuana, Baja California, Mexico; Paseo del Pedregal 3034, Colonia Playas de Tijuana, Secc. Costa Hermosa, Tijuana, Baja California, Mexico; Calle De La Luz 218, Colonia Playas de Tijuana, Secc. Costa Hermosa, Tijuana, Baja California, Mexico; Blvd. Insurgentes 16174-18-B, Colonia Los Alamos, Tijuana, Baja California, Mexico; Calle 16 de Septiembre 3-FA, Colonia Las Torres, Tijuana, Baja California, Mexico; Calle Juan Covarrubias, Colonia Los Altos, Tijuana, Baja California, Mexico; c/o INMOBILIARIA TIJUANA COSTA S.A. DE C.S., Tijuana, Baja California, Mexico; DOB 2 Feb 1953; POB Casimiro Castillo, Jalisco, Mexico (individual) [SDNTK] 7. CARVAJALINO, Jesus Emilio, (a.k.a. “PARIS, Andres”); DOB 15 Mar 1955; POB Bogota, Colombia; Passport AC192015 (Colombia); Cedula No. 3228737 (Colombia); (INDIVIDUAL) [SDNTK] 8. GARCIA MOLINA, Gener, (a.k.a. “GUTIERREZ, Jhon”; a.k.a. “HERNANDEZ, John”; a.k.a. “JHON 40”; a.k.a. “JOHN 40”; a.k.a. “JOHNNY 40”); DOB 23 Aug 1963; POB San Martin, Meta, Colombia; Cedula No. 17353242 (Colombia); (INDIVIDUAL) [SDNTK] 9. GRANDA ESCOBAR, Rodrigo, (a.k.a. “CAMPOS, Arturo”; a.k.a. “GALLOPINTO”; a.k.a. “GONZALEZ, Ricardo”); Avenida Victoria No. 36, Urbanizacion Bolivar La Victoria, Jose Felix Rivas, Estado de Aragua, Venezuela; DOB 9 Apr 1949; POB Frontino, Antioquia, Colombia; Cedula No. 171493523-4 (Ecuador); alt. Cedula No. 19104578 (Colombia); Electoral Registry No. 22942118 (Venezuela); Passport PO16104 (Colombia); (INDIVIDUAL) [SDNTK] 10. JUVENAL VELANDIA, Jose, (a.k.a. MUNOZ ORTIZ, Manuel Jesus; a.k.a. “IVAN RIOS”) DOB 19 Dec 1961; POB San Francisco, Putumayo, Colombia; Cedula No. 71613902 (Colombia) (INDIVIDUAL) [SDNTK] 11. LISANDRO LASCARRO, Jose, (a.k.a. MUNOZ LASCARRO, Felix Antonio; a.k.a. “PASTOR ALAPE”); DOB 4 Jun 1959; alt. DOB 1946; POB Puerto Berrio, Antioquia, Colombia; Cedula No. 71180715 (Colombia); alt. Cedula No. 3550075 (Colombia); (INDIVIDUAL) [SDNTK] 12. SERPA DIAZ, Alvaro Alfonso, (a.k.a. CERPA DIAZ, Alvaro Alfonso; a.k.a. CERPA DIAZ, Tiberio Antonio; a.k.a. SERPA DIAZ, Alvaro Enrique; a.k.a. “FELIPE RINCON”); DOB 28 Mar 1959; alt. DOB 9 Oct 1956; POB San Jacinto, Bolivar, Colombia; alt. POB Cali, Colombia; Cedula No. 6877656 (Colombia); (INDIVIDUAL) [SDNTK] 13. TOVAR PARRA, Ferney, (a.k.a. “DIEGO”; a.k.a. “FERCHO”); DOB 17 Nov 1966; POB Cartagena del Chaira, Caqueta, Colombia; Cedula No. 17640605 (Colombia); (INDIVIDUAL) [SDNTK] 14. ALVIS PATINO, Gentil, (a.k.a. LOPEZ, Angel Leopoldo; a.k.a. MARTINEZ VEGA, Juan Jose; a.k.a. PATINO ORTIZ, Alvis; a.k.a. “CHIGUIRO”; a.k.a. “GONZALEZ, Ruben”); DOB 4 Jun 1961; POB El Doncello, Caqueta, Colombia; Cedula No. 17669391 (Colombia); alt. Cedula No. 12059198 (Venezuela) (INDIVIDUAL) [SDNTK] 15. AGUILAR RAMIREZ, Gerardo Antonio, (a.k.a. “CESAR”); DOB 20 Sep 1962; POB Colombia; Cedula No. 16148998 (Colombia); Alt. Cedula No. 16447616 (Colombia); (INDIVIDUAL) [SDNTK] In addition, OFAC has made a change to the following listings of two individuals previously designated pursuant to the Kingpin Act: 1. AGUIRRE GALINDO, Manuel, c/o Complejo Turistico Oasis, S.A. DE C.V., Rosarito, Baja California, Mexico; DOB 2 Nov 1950; R.F.C. AUGM-501102-PM3 (Mexico) (individual)[SDNTK] 2. GALINDO LEYVA, Esperanza, c/o Complejo Turistico Oasis, S.A. de C.V., Playas de Rosarito, Rosarito, Baja California, Mexico; DOB 16 Aug 1920; R.F.C. GALE-200816-6IA (Mexico) (individual) [SDNTK] The listings now appear as follows: 1. AGUIRRE GALINDO, Manuel, c/o COMPLEJO TURISTICO OASIS S.A. DE C.V., Playas de Rosarito, Baja California, Mexico; c/o INMOBILIARIA ESPARTA S.A. DE C.V., Tijuana, Baja California, Mexico; DOB 02 Nov 1950; POB Tijuana, Baja California, Mexico; R.F.C. # AUGM-501102-PM3 (Mexico) (individual) 2. GALINDO LEYVA, Esperanza, c/o COMPLEJO TURISTICO OASIS, S.A. de C.V., Playas de Rosarito, Rosarito, Baja California, Mexico; 536 Huerto Place, Chula Vista, CA 91910; 950 Norella Street, Chula Vista, CA 91910; c/o PLAYA MAR S.A. DE C.V., Tijuana, Baja California, Mexico; c/o INMOBILIARIA LA PROVINCIA S.A. DE C.V., Tijuana, Baja California, Mexico; DOB 16 Aug 1920; POB San Ignacio, Sinaloa, Mexico; Passport 99020017901 (Mexico); R.F.C. # GALE-200816-6IA (Mexico); alt. R.F.C. # GALE-241004-61A (Mexico) (individual) [SDNTK] Dated: September 28, 2006. Adam J. Szubin, Director, Office of Foreign Assets Control. [FR Doc. E6-16424 Filed 10-3-06; 8:45 am] BILLING CODE 4811-37-P DEPARTMENT OF THE TREASURY Office of the Comptroller of the Currency [Docket No. 06-12] BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM [Docket No. OP-1267] FEDERAL DEPOSIT INSURANCE CORPORATION DEPARTMENT OF THE TREASURY Office of Thrift Supervision [No. 2006-36] NATIONAL CREDIT UNION ADMINISTRATION Proposed Illustrations of Consumer Information for Nontraditional Mortgage Products AGENCIES: Office of the Comptroller of the Currency, Treasury (OCC); Board of Governors of the Federal Reserve System (Board); Federal Deposit Insurance Corporation (FDIC); Office of Thrift Supervision, Treasury (OTS); and National Credit Union Administration (NCUA). ACTION: Notice of proposed illustrations of consumer information with request for comment. SUMMARY: The OCC, Board, FDIC, OTS, and NCUA (the Agencies), request comment on these Proposed Illustrations of Consumer Information for Nontraditional Mortgage Products. The illustrations are intended to assist institutions in implementing the consumer protection portion of the Interagency Guidance on Nontraditional Mortgage Product Risks (Interagency Guidance), which is being published simultaneously with this notice. The illustrations are not intended as model forms, and institutions will not be required to use them. Rather, they are provided at the request of commenters to the Interagency Guidance to illustrate the type of information that the Interagency Guidance contemplates. DATES: Comments must be submitted on or before December 4, 2006. ADDRESSES: The Agencies will jointly review all of the comments submitted. Therefore, interested parties may send comments to any of the Agencies and need not send comments (or copies) to all of the Agencies. Please consider submitting your comments by e-mail or fax since paper mail in the Washington area and at the Agencies is subject to delay. Interested parties are invited to submit comments to: *OCC:* You should include “OCC” and Docket Number 06-12 in your comment. You may submit your comment by any of the following methods: • *Federal eRulemaking Portal: http://www.regulations.gov.* Follow the instructions for submitting comments. • *OCC Web site: http://www.occ.treas.gov.* Click on “Contact the OCC,” scroll down and click on “Comments on Proposed Regulations.” • *E-Mail Address: regs.comments@occ.treas.gov.* • *Fax:*
(202)874-4448. • *Mail:* Office of the Comptroller of the Currency, 250 E Street, SW., Mail Stop 1-5, Washington, DC 20219. • *Hand Delivery/Courier:* 250 E Street, SW., *Attn:* Public Information Room, Mail Stop 1-5, Washington, DC 20219. Instructions: All submissions received must include the agency name
(OCC)and docket number for this notice. In general, the OCC will enter all comments received into the docket without change, including any business or personal information that you provide. You may review comments and other related materials by any of the following methods: • *Viewing Comments Personally:* You may personally inspect and photocopy comments at the OCC's Public Information Room, 250 E Street, SW., Washington, DC. You can make an appointment to inspect comments by calling
(202)874-5043. • *Viewing Comments Electronically:* You may request that we send you an electronic copy of comments via e-mail or mail you a CD-ROM containing electronic copies by contacting the OCC at *regs.comments@occ.treas.gov.* • *Docket Information:* You may also request available background documents and project summaries using the methods described above. *Board:* You may submit comments, identified by Docket No. OP-1267, by any of the following methods: • *Agency Web site: http://www.federalreserve.gov.* Follow the instructions for submitting comments at *http://www.federalreserve.gov/generalinfo/foia/ProposedRegs.cfm.* • *Federal eRulemaking Portal: http://www.regulations.gov.* Follow the instructions for submitting comments. • *E-mail: regs.comments@federalreserve.gov.* Include the docket number in the subject line of the message. • *Fax:* 202/452-3819 or 202/452-3102. • *Mail:* Jennifer J. Johnson, Secretary, Board of Governors of the Federal Reserve System, 20th Street and Constitution Avenue, NW., Washington, DC 20551. All public comments are available from the Board's Web site at *www.federalreserve.gov/generalinfo/foia/ProposedRegs.cfm* as submitted, unless modified for technical reasons. Accordingly, your comments will not be edited to remove any identifying or contact information. Public comments may also be viewed in electronic or paper form in Room MP-500 of the Board's Martin Building (20th and C Streets, NW.) between 9 a.m. and 5 p.m. on weekdays. *FDIC:* You may submit comments by any of the following methods: • *Agency Web site: http://www.fdic.gov/regulations/laws/federal/propose.html.* Follow the instructions for submitting comments on the Agency Web site. • *E-Mail: Comments@FDIC.gov.* • *Mail:* Robert E. Feldman, Executive Secretary, Attention: Comments, Federal Deposit Insurance Corporation, 550 17th Street, NW., Washington, DC 20429. • *Hand Delivery/Courier:* Guard station at the rear of the 550 17th Street Building (located on F Street) on business days between 7 a.m. and 5 p.m. *Instructions:* All submissions received must include the agency name. All comments received will be posted without change to *http://www.fdic.gov/regulations/laws/federal/propose.html* including any personal information provided. *OTS:* You may submit comments, identified by docket number 2006-36, by any of the following methods: • *Federal eRulemaking Portal: http://www.regulations.gov.* Follow the instructions for submitting comments. • *E-mail address: regs.comments@ots.treas.gov.* Please include docket number 2006-36 in the subject line of the message and include your name and telephone number in the message. • *Fax:*
(202)906-6518. • *Mail:* Regulation Comments, Chief Counsel's Office, Office of Thrift Supervision, 1700 G Street, NW., Washington, DC 20552, Attention: No. 2006-36. • *Hand Delivery/Courier:* Guard's Desk, East Lobby Entrance, 1700 G Street, NW., from 9 a.m. to 4 p.m. on business days. Address envelope as follows: Attention: Regulation Comments, Chief Counsel's Office, Attention: No. 2006-36. *Instructions:* All submissions received must include the agency name and docket number for this proposed Guidance. All comments received will be posted without change to the OTS Internet Site at *http://www.ots.treas.gov/pagehtml.cfm?catNumber=67&an=1* , including any personal information provided. *Docket:* For access to the docket to read background documents or comments received, go to *http://www.ots.treas.gov/pagehtml.cfm?catNumber=67&an=1.* In addition, you may inspect comments at the OTS's Public Reading Room, 1700 G Street, NW., by appointment. To make an appointment for access, call
(202)906-5922, send an e-mail to *public.info@ots.treas.gov* , or send a facsimile transmission to
(202)906-7755. (Prior notice identifying the materials you will be requesting will assist us in serving you.) We schedule appointments on business days between 10 a.m. and 4 p.m. In most cases, appointments will be available the next business day following the date we receive a request. *NCUA:* You may submit comments by any of the following methods: • *Federal eRulemaking Portal: http://www.regulations.gov.* Follow the instructions for submitting comments. • *NCUA Web site: http://www.ncua.gov/RegulationsOpinionsLaws/proposed_regs/proposed_regs.html.* Follow the instructions for submitting comments. • *E-mail:* Address to *regcomments@ncua.gov.* Include “[Your name] Comments on” in the e-mail subject line. • *Fax:*
(703)518-6319. Use the subject line described above for e-mail. • *Mail:* Address to Mary Rupp, Secretary of the Board, National Credit Union Administration, 1775 Duke Street, Alexandria, Virginia 22314-3428. • *Hand Delivery/Courier:* Same as mail address. FOR FURTHER INFORMATION CONTACT: *OCC:* Michael S. Bylsma, Director, Stephen Van Meter, Assistant Director, or Kathryn D. Ray, Special Counsel, Community and Consumer Law Division,
(202)874-5750. *Board:* Kathleen C. Ryan, Counsel, Division of Consumer and Community Affairs,
(202)452-3667; or Andrew Miller, Counsel, Legal Division,
(202)452-3428. For users of Telecommunications Device for the Deaf (“TDD”) only, contact
(202)263-4869. *FDIC:* April Breslaw, Acting Associate Director, Compliance Policy & Exam Support Branch,
(202)898-6609, Division of Supervision and Consumer Protection; or Richard Foley, Counsel,
(202)898-3784, Legal Division. *OTS:* Montrice G. Yakimov, Assistant Managing Director, Compliance and Consumer Protection Division,
(202)906-6173; or Glenn Gimble, Senior Project Manager, Compliance and Consumer Protection Division,
(202)906-7158. *NCUA:* Cory Phariss, Program Officer, Examination and Insurance,
(703)518-6618. SUPPLEMENTARY INFORMATION: I. Background On December 29, 2005, the Agencies published for comment proposed Interagency Guidance on Nontraditional Mortgage Products, 70 FR 77249 (Dec. 29, 2005). The consumer protection section of the proposed guidance set forth recommended practices to ensure that consumers have clear and balanced information about nontraditional mortgages prior to making a mortgage product choice, such as when lenders provide promotional materials about nontraditional mortgages or during face-to-face meetings when consumers are shopping for a mortgage. Additionally, the proposed guidance recommended that monthly statements given with payment option mortgages provide information that enables consumers to make informed payment choices. The Agencies have revised the proposed guidance based on the comments received, and today are publishing the final Interagency Guidance in a separate **Federal Register** notice. The Interagency Guidance, including the consumer protection portion, is a set of recommended practices to assist institutions in addressing particular risks raised by nontraditional mortgage products. Several commenters to the proposal, including industry trade associations, encouraged the Agencies to include model or sample disclosures or other descriptive materials as part of the Interagency Guidance. In response to commenters, the Agencies believe that illustrations of consumer information may be useful to institutions as they seek to implement the consumer information recommendations of the Interagency Guidance. The Agencies also believe that it would be desirable to seek public comment before issuing illustrations of the recommended practices, to determine the types of illustrations that would be most useful to consumers and institutions. II. Proposed Illustrations The Agencies appreciate that some institutions, including community banks, may prefer not to incur the costs and other burdens of developing their own consumer information documents to address the issues raised in the Interagency Guidance, and could benefit from illustrations like those below. Use of the proposed illustrations would be *entirely voluntary* . Accordingly, there is no Agency requirement or expectation that institutions must use the illustrations in their communications with consumers. Institutions seeking to follow the recommendations set forth in the Interagency Guidance could, at their option, elect to: • Use or not use the illustrations; • Provide information based on the illustrations, but expand, abbreviate, or otherwise tailor any information in the illustrations as appropriate to reflect, for example: ○ The institution's product offerings, such as by deleting information about loan products and loan terms not offered by the institution and by revising the illustrations to reflect specific terms currently offered by the institution; ○ The consumer's particular loan requirements; ○ Current market conditions, such as by changing the loan amounts, interest rates, and corresponding payment amounts to reflect current local market circumstances; and ○ Other information, consistent with the Interagency Guidance, such as the payment and loan balance information for monthly statements discussed in connection with Illustration 3 or information about when a prepayment penalty may be imposed; or • Provide the information described in the Interagency Guidance, as appropriate, in an alternate format. Whether or not an institution chooses to use the proposed illustrations, the Interagency Guidance recommends that promotional materials and other product descriptions provide consumers with information about the costs, terms, features, and risks of nontraditional mortgage products that can assist consumers in their product selection decisions. This includes information about potential payment shock and negative amortization and, where applicable, information about prepayment penalties and the costs of reduced documentation loans. The recommended information could be presented in a brief narrative format as shown in Illustration 1 and/or in a chart with examples as shown in Illustration 2. Set forth below are three illustrations that show how important information about nontraditional mortgages could be provided to consumers in a concise and focused manner and format. The Agencies request comment on all aspects of these illustrations. We encourage specific comment on whether the illustrations, as proposed, would be useful to institutions, including community banks, seeking to implement the “Communications with Consumers” portion of the Interagency Guidance, or whether changes should be made to them. We also encourage specific comment on whether the illustrations, as proposed, would be useful in promoting consumer understanding of the risks and material terms of nontraditional mortgage products, as described in the Interagency Guidance, or whether changes should be made to them. Finally, we seek comment on whether there are other illustrations relating to nontraditional mortgages that would be useful to institutions and consumers. The Agencies are aware that individual institutions and industry associations have developed and are likely to continue developing documents that can be effective in conveying critical information discussed in the “Communications with Consumers” portion of the Interagency Guidance. These illustrations are not intended to dissuade institutions and trade associations from developing their own means of delivering important information about nontraditional mortgages to consumers. In this regard, the Agencies note that they have not conducted any consumer testing to assess the effectiveness of any existing documents currently used by institutions, or of the proposed illustrations set forth below. Commenters are specifically invited to provide information on any consumer testing they have conducted in connection with comparable disclosures. EN04OC06.010 Illustration 2 Some of the information recommended by the guidance—in particular, some of the more detailed information about payment shock and negative amortization—may be conveyed most effectively through quantitative illustrations. The Interagency Guidance expressly contemplates hypothetical loan examples to aid consumer understanding. This information also could be incorporated into a narrative format as shown in Illustration 1. Illustration 2 shows another way in which this information could be presented. The chart and the narrative explanation may also be combined into a two-page document that both explains and illustrates the key facts about nontraditional mortgage products. BILLING CODE 7535-01-P EN04OC06.011 Illustration 3 The Interagency Guidance also recommends that if institutions provide monthly statements to consumers on payment option mortgages, those statements should provide information that enables consumers to make informed payment choices, including an explanation of each payment option available and the impact of that choice on loan balances. The following illustration shows one way in which this information could be presented. It is important to note this illustration is not intended to set forth all of the information that may be useful, and could be provided, to consumers on their monthly statement, such as the current loan balance, an itemization of the payment amount devoted to interest and to principal, and whether the loan balance has increased. EN04OC06.012 III. Request for Comment As noted above, the Agencies request comment on all aspects of the proposed illustrations. Comments are specifically requested on the usefulness of the illustrations, as proposed, for consumers and for institutions, or whether changes should be made; whether the information is set forth in a clear manner and format; whether these illustrations or a modified form should be adopted by the Agencies; and whether there are other illustrations relating to nontraditional mortgages that would be useful to consumers and institutions in addition to these. Dated: September 25, 2006. John C. Dugan, Comptroller of the Currency. By order of the Board of Governors of the Federal Reserve System, September 27, 2006. Jennifer J. Johnson, Secretary of the Board. Dated at Washington, DC, this 27th day of September, 2006. By order of the Federal Deposit Insurance Corporation. Robert E. Feldman, Executive Secretary. Dated: September 28, 2006. By the Office of Thrift Supervision. John M. Reich, Director. By the National Credit Union Administration on : Thursday, September 28, 2006. JoAnn M. Johnson, Chairman. [FR Doc. 06-8479 Filed 10-3-06; 8:45 am]
Connectionstraces to 6
5 references not yet in our index
  • 49 CFR 571.120
  • 49 CFR 573
  • 12 CFR 1805
  • Pub. L. 106-107
  • 21 USC 1901-1908
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U.S.C.§ 30118
C.F.R.§ 1805.102
C.F.R.§ 1805.500
C.F.R.§ 1805.301
U.S.C.§ 4703
U.S.C.§ 1182
Cite49 CFR 571.120
Cite49 CFR 573
Cite12 CFR 1805
Pub. L.Pub. L. 106-107
Cite21 USC 1901-1908
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