[Federal Register Volume 60, Number 165 (Friday, August 25, 1995)]
[Proposed Rules]
[Pages 44283-44286]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-20970]



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DEPARTMENT OF AGRICULTURE
Rural Housing and Community Development Service, Rural Business and 
Cooperative Development Service, Rural Utilities Service, Consolidated 
Farm Service Agency

7 CFR Parts 1924, 1942, 1948, and 1980

RIN 0575-AB59


Planning and Performing Construction and Other Development

Agencies: Rural Housing and Community Development Service, Rural 
Business and Cooperative Development Service, Rural Utilities Service, 
and Consolidated Farm Service Agency; United States Department of 
Agriculture.

Action: Proposed rule.

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SUMMARY: The Rural Housing and Community Development Service (RHCDS), 
Rural Business and Cooperative Development Service (RBCDS), Rural 
Utilities Service (RUS) and Consolidated Farm Service Agency (CFSA) 
propose to amend their regulations regarding construction and other 
development for farm, housing, community and business programs. This 
action provides RHCDS, RBCDS, RUS and CFSA borrowers, grant recipients 
and the public with rules for compliance with seismic safety 
requirements for new building construction using RHCDS, RBCDS, RUS and 
CFSA loan, grant and guaranteed funds. This action is necessary to set 
forth the Agencies' 

[[Page 44284]]
policies and requirements to meet the implementation requirements of 
Executive Order 12699 of January 5, 1990, Seismic Safety of Federal and 
Federally Assisted or Regulated New Building Construction. This 
Executive Order addresses compliance with the building safety 
provisions of the Earthquake Hazards Reduction Act of 1977, as amended.

DATES: Comments must be submitted October 24, 1995.

ADDRESSES: Submit written comments in duplicate to the Office of the 
Chief, Regulations Analysis and Control Branch, Rural Economic and 
Community Development, U.S. Department of Agriculture, AG Box 0743, 
Washington, DC 20250-0743. All written comments will be available for 
public inspection during regular working hours at the above address.

FOR FURTHER INFORMATION CONTACT: Samuel J. Hodges III, Architect, 
Program Support Staff, Rural Housing and Community Development Service, 
U.S. Department of Agriculture, AG Box 0761, Washington, DC 20250-0761, 
Telephone: (202) 720-9653.

SUPPLEMENTARY INFORMATION:

Classification

    This rule has been determined to be not-significant for purposes of 
Executive Order 12866 and therefore has not been reviewed by the Office 
of Management and Budget (OMB).

Paperwork Reduction Act
    The information collected and recordkeeping requirements contained 
in these regulations have been approved by OMB under the provisions of 
44 U.S.C. chapter 35 and have been assigned OMB control numbers 0575-
0042, 0575-0015, 0575-0130, and 0575-0024, in accordance with the 
Paperwork Reduction Act of 1980. This proposed rule does not impose any 
new information collection or recordkeeping requirement from those 
approved by OMB.

Environmental Impact Statement

    This action has been reviewed in accordance with 7 CFR part 1940, 
subpart G, ``Environmental Program.'' RHCDS has determined that the 
proposed action does not constitute a major Federal action 
significantly affecting the quality of the human environment and, in 
accordance with the National Environmental Policy Act of 1969 (Pub. L. 
91-190), an environmental impact statement is not required.

Regulatory Flexibility Act

    In compliance with the Regulatory Flexibility Act (5 U.S.C. 601-
602) the undersigned have determined and certified by signatures of 
this document that this rule will not have a significant economic 
impact on a substantial number of small entities since this rulemaking 
action does not involve a new or expanded program. Therefore, a 
regulatory flexibility analysis was not prepared.

Civil Justice Reform

    The proposed action has been reviewed under Executive Order 12778 
and meets the applicable standards provided in section 2(a) and 
(2)(b)(2) of that Executive Order. Provisions within this part that are 
inconsistent with State law are controlling. All administrative 
remedies must be exhausted prior to filing suit.

Intergovernmental Review

    This action affects the following RHCDS, RBCDS, RUS and CFSA 
programs as listed in the Catalog of Federal Domestic Assistance:

10.405  Farm Labor Housing Loans and Grants
10.410  Low Income Housing Loans
10.415  Rural Rental Housing Loans
10.420  Rural Self-Help Housing Technical Assistance
10.433  Housing Preservation Grants
10.766  Community Facilities Loans
10.767  Intermediary Relending Program
10.768  Business and Industrial Loans
10.770  Water and Waste Disposal Loans and Grants

    All of the above programs, except 10.410 Low Income Housing Loans, 
are subject to the provisions of Executive Order 12372 that requires 
zintergovernmental consultation with State and local officials.

Background

    General: The RHCDS, RBCDS, RUS, and CFSA make grants, loans, and 
loan guarantees for the planning and performing of construction and 
other development work in rural areas. The RHCDS, RBCDS, RUS, and CFSA 
require borrowers and grant recipients to meet applicable requirements 
mandated by Federal statutes, regulations, and executive orders to 
obtain Agency financing. One such requirement is compliance with 
Executive Order 12699, ``Seismic Safety of Federal and Federally 
Assisted or Regulated New Building Construction'', which implements the 
building safety provisions of the Earthquake Hazards Reduction Act of 
1977, as amended, 42 U.S.C. 7701 et seq.
    Therefore, the RHCDS, RBCDS, RUS, and CFSA propose to amend their 
regulations regarding construction and other development for farmer, 
housing, community facilities and business programs to address the 
requirements of Executive Order 12699. This action clarifies the 
seismic requirements applicable to RHCDS, RBCDS, RUS, and CFSA 
borrowers and grant recipients; informs architects, engineers and 
contractors retained by such borrowers and grant recipients of the 
seismic safety requirements applicable to new building construction 
projects; and facilitates understanding of and compliance with the 
requirements.
    Seismic Introduction: The Earthquake Hazards Reduction Act of 1977 
(the Act) as amended was enacted to reduce risks to life and property 
from future earthquakes in the United States through establishment and 
maintenance of an effective earthquake hazards reduction program. This 
Act also directs the President ``to establish and maintain an effective 
earthquake hazards reduction program'' (the National Earthquake Hazards 
Reduction Program or NEHRP). The Federal Emergency Management Agency 
(FEMA) is the designated agency with primary responsibilities to plan 
and coordinate the NEHRP. The objectives of the NEHRP include the 
development of technologically and economically feasible design and 
construction methods to make structures earthquake resistant; the 
development and promotion of improved understanding and capability with 
respect to seismic risk; the education of the public as to earthquake 
phenomena; and other areas of seismic research.
    Executive Order 12699, Seismic Safety of Federal and Federally 
Assisted or Regulated New Building Construction, requires that measures 
to assure seismic safety be imposed on federally assisted new building 
construction. The Executive Order requires each federal agency 
assisting in the financing through Federal grants or loans, or 
guaranteeing the financing through loan or mortgage insurance programs 
of newly constructed buildings to initiate a plan to assure appropriate 
consideration of seismic safety.
    To support the implementation of Executive Order 12699, the 
Interagency Committee on Seismic Safety in Construction (ICSSC), 
composed of members representing Federal agencies involved with 
construction or responsible for governmental assistance for 
construction, recommends the use of seismic codes and standards which 
are substantially equivalent to the ``NEHRP 

[[Page 44285]]
Recommended Provisions for the Development of Seismic Regulations for 
New Buildings.'' This guideline that represents the state-of-the-art in 
seismic design, has been widely reviewed, and is currently incorporated 
into national standards and codes which can be adopted by state and 
local building codes.
    Seismic Design: Unlike hurricanes, earthquakes cannot be predicted; 
they strike without warning with great destructive forces. Most 
casualties occur when ground shaking causes buildings and other 
structures to collapse and objects to fall upon people. For these 
reasons, buildings and other structures need to be designed to resist 
earthquake forces.
    Structural performance in earthquakes indicates that severe damage 
to and collapse of buildings almost always are the consequence of 
inadequate design or construction. The successful performance of 
buildings designed and constructed in accordance with seismic standards 
shows that effects of severe earthquakes can be resisted economically.
    In order to reduce hazards from earthquakes, buildings should be 
designed according to appropriate seismic standards and codes. 
Executive Order 12699 requires the use of and conformance to seismic 
standards and codes for all new Federally assisted buildings. The 
Federal government has established the NEHRP to reduce the hazard due 
to earthquakes and the ICSSC to assist Federal agencies with earthquake 
hazard reduction implementation measures. The ICSSC has identified 
standards and model building codes that meet the requirements of the 
Executive Order and recommends their use. Therefore, the RHCDS, RBCDS, 
RUS and CFSA propose to require construction financed by their programs 
to comply with these model building codes.
    Copies of any unpublished exhibits are available by request to the 
Agency at the address set forth above. '
List of Subjects

7 CFR Part 1924

    Agriculture, Construction and repair, Construction management, 
Energy conservation, Housing, Loan program--Agriculture, Low and 
moderate income housing.

7 CFR Part 1942

    Community development, Community facilities, Loan programs--Housing 
and community development, Loan security, Rural areas, Waste treatment 
and disposal--Domestic, Water supply--Domestic.

7 CFR Part 1948

    Business and industry, Rural areas, Credit, Economic development.

7 CFR Part 1980

    Loan programs--Agriculture, Loan programs--Business and industry--
Rural development assistance, Loan programs--Housing and Community 
development, Loan programs--Community programs--Rural development 
assistance.

    Therefore, chapter XVIII, title 7, Code of Federal Regulations is 
proposed to be amended as follows:

PART 1924--CONSTRUCTION AND REPAIR

    1. The authority citation for part 1924 is revised to read as 
follows:

    Authority: 5 U.S.C. 301; 7 U.S.C 1989; 42 U.S.C 1480.

Subpart A--Planning and Performing Construction and Other 
Development

    2. Section 1924.5 is amended by adding paragraph (d)(4) to read as 
follows:


Sec. 1924.5  Planning development work.

* * * * *
    (d) * * *
    (4) New building construction and additions shall be designed and 
constructed in accordance with the earthquake (seismic) requirements of 
the applicable RHCDS development standard (building code). The analysis 
and design of structural systems and components shall be in accordance 
with applicable requirements of an acceptable model building code.
    (i) Agricultural buildings that are not intended for human 
habitation are exempt from these earthquake (seismic) requirements.
    (ii) Single family detached one and two family dwellings shall be 
constructed in accordance with the requirements of Exhibit N of FmHA 
Instruction 1924-A (available in any Rural Economic and Community 
Development office).
    (iii) Single family housing new construction located in seismic map 
areas, as determined by the 1991 edition of the National Earthquake 
Hazard Reduction Program (NEHRP) Maps, having an effective peak 
velocity-related acceleration (Av) value equal to or greater than 0.15 
(see Exhibit N of Instruction 1924-A) shall be designed and constructed 
in accordance with the seismic requirements of one of the model 
building codes listed below.
    (A) 1991 International Conference of Building Officials (ICBO) 
Uniform Building Code;
    (B) 1993 Building Officials and Code Administrators International, 
Inc. (BOCA) National Building Code;
    (C) 1992 Amendments to the Southern Building Code Congress 
International (SBCCI) Standard Building Code.
    (iv) Acknowledgment of compliance with the applicable seismic 
safety requirements for new construction will be contained in the 
certification of final plans and specification on the appropriate RHCDS 
Form.

PART 1942--ASSOCIATIONS

    3. The authority citation for part 1942 is revised to read as 
follows:

    Authority: 5 U.S.C. 301; 7 U.S.C. 1989; 16 U.S.C. 1005.

Subpart A--Community Facility Loans

    4. Section 1942.18 is amended by adding paragraph (d)(17) to read 
as follows:


Sec. 1942.18  Community facilities--planning, bidding, contracting, 
constructing.

* * * * *
    (d) * * *
    (17) Seismic safety.
    (i) All new building construction shall be designed and constructed 
in accordance with the seismic provisions of one of the following model 
building codes.
    (A) 1991 International Conference of Building Officials (ICBO) 
Uniform Building Code;
    (B) 1993 Building Officials and Code Administrators International, 
Inc. (BOCA) National Building Code; or
    (C) 1992 Amendments to the Southern Building Code Congress 
International (SBCCI) Standard Building Code.
    (ii) The date, signature, and seal of a registered architect or 
engineer and the identification and date of the model building code on 
the plans and specifications shall be evidence of compliance with the 
seismic requirements of the appropriate building code.

PART 1948--RURAL DEVELOPMENT

    5. The authority citation for part 1948 is revised to read as 
follows:

    Authority: 7 U.S.C. 1989.

Subpart C--Intermediary Relending Program (IRP)

    6. Section 1948.117 is amended by adding paragraph (d) to read as 
follows:


Sec. 1948.117  Other regulatory requirements.

* * * * *
    (d) Seismic safety of new building construction.
    (1) The Intermediary Relending Program is subject to the provisions 
of 

[[Page 44286]]
Executive Order 12699 that requires each Federal agency assisting in 
the financing, through Federal grants or loans, or guaranteeing the 
financing, through loan or mortgage insurance programs, of newly 
constructed buildings to assure appropriate consideration of seismic 
safety.
    (2) All new buildings shall be designed and constructed in 
accordance with the seismic provisions of one of the following model 
building codes.
    (i) 1991 International Conference of Building Officials (ICBO) 
Uniform Building Code;
    (ii) 1993 Building Officials and Code Administrators International, 
Inc. (BOCA) National Building Code; or
    (iii) 1992 Amendments to the Southern Building Code Congress 
International (SBCCI) Standard Building Code.
    (3) The date, signature, and seal of a registered architect or 
engineer and the identification and date of the model building code on 
the plans and specifications shall be evidence of compliance with the 
seismic requirements of the appropriate building code.

PART 1980--GENERAL

    7. The authority citation for part 1980 is revised to read as 
follows:

    Authority: 5 U.S.C. 301; 7 U.S.C. 1989, 4201 note; 42 U.S.C. 
1480.

Subpart A--General

    8. Section 1980.48 is added to read as follows:


Sec. 1980.48  Seismic safety of new building construction.

    (a) The guaranteed loan programs are subject to the provisions of 
Executive Order 12699 which requires each Federal agency assisting in 
the financing, through Federal grants or loans, or guaranteeing the 
financing, through loan or mortgage insurance programs, of newly 
constructed buildings to assure appropriate consideration of seismic 
safety.
    (b) All new buildings shall be designed and constructed in 
accordance with the seismic provisions of one of the following model 
building codes:
    (1) 1991 International Conference of Building Officials (ICBO) 
Uniform Building Code;
    (2) 1993 Building Officials and Code Administrators International, 
Inc. (BOCA) National Building Code; or
    (3) 1992 Amendments to the Southern Building Code Congress 
International (SBCCI) Standard Building Code.
    (c) The date, signature, and seal of a registered architect or 
engineer and the identification and date of the model building code on 
the plans and specifications shall be evidence of compliance with the 
seismic requirements of the appropriate building code.

    Dated: June 28, 1995.
Michael V. Dunn,
Acting Under Secretary for Rural Economic and Community Development.
    Dated: June 30, 1995.
Gene Moos,
Under Secretary for Farm and Foreign Agricultural Services.
[FR Doc. 95-20970 Filed 8-24-95; 8:45 am]
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