[Federal Register Volume 61, Number 212 (Thursday, October 31, 1996)] [Rules and Regulations] [Pages 56114-56116] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 96-27766] ======================================================================= ----------------------------------------------------------------------- DEPARTMENT OF AGRICULTURE Rural Housing Service Rural Business-Cooperative Service Rural Utilities Service Farm Service Agency 7 CFR Parts 1901, 1924, 1944 RIN 0575-AC06 Davis-Bacon Act *C* AGENCIES: Rural Housing Service, Rural Business-Cooperative Service, Rural Utilities Service, and Farm Service Agency, USDA. ACTION: Final rule. ----------------------------------------------------------------------- SUMMARY: The Rural Housing Service (RHS) is removing its regulation that contains procedures and requirements for complying with the Davis- Bacon and related Acts. Under the reorganization of the Department of Agriculture, RHS is the successor to the former Farmers Home Administration (FmHA) for the administration of rural housing programs under title V of the Housing Act of 1949. Regulations regarding [[Page 56115]] Planning and Performing Development Work, and Farm Labor Housing Grants are also impacted by this rule. This regulation is being removed since the portions thereof that contain information the public needs to know are published in 29 CFR parts 1, 3, and 5. Therefore, this action will remove duplication of regulations. This rule, however, will not remove or change the requirement for certain RHS-financed construction projects to comply with the Davis-Bacon and related Acts. EFFECTIVE DATE: October 31, 1996. FOR FURTHER INFORMATION CONTACT: Keith A. Suerdieck, Architect, Rural Housing Service, USDA, Ag Box 0761, Room 6309, South Agriculture Building, 14th Street and Independence Avenue SW., Washington, D.C. 20250-0761, Telephone (202) 720-9619. 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. Regulatory Flexibility Act This rule has been reviewed with regard to the requirements of the Regulatory Flexibility Act (5 U.S.C. 601-612). The Administrator of RHS has determined and certified that this action will not have a significant economic impact on a substantial number of small entities since it will not change the requirements and procedures of the Davis- Bacon and other related Acts, as published in 29 CFR parts 1, 3 and 5 and as they apply to the affected projects financed by RHS. The Unfunded Mandate Reform Act Title II of the Unfunded Mandate Reform Act of 1995 (UMRA), Pub. L. 104-4, establishes requirements for Federal agencies to assess the effects of their regulatory actions on state, local, and tribal governments and the private sector. Under section 202 of the UMRA, RHS generally must prepare a written statement, including a cost-benefit analysis, for proposed and final rules with ``Federal mandates'' that may result in expenditures to state, local or tribal governments, in the aggregate, or to the private sector. When such a statement is needed for a rule, section 205 of the UMRA generally requires RHS to identify and consider a reasonable number of regulatory alternatives and adopt the least costly, more cost-effective or least burdensome alternative that achieves the objective of the rule. This rule contains no Federal mandates (under regulatory provisions of title II of the UMRA) for state, local, and tribal governments or the private sector. Thus, this rule is not subject to the requirements of sections 202 and 205 of the UMRA. Environmental Impact Statement This document has been reviewed in accordance with 7 CFR part 1940, subpart G, ``Environmental Program.'' It is the determination of RHS that this 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. Programs Affected The affected programs are listed in the Catalog of Federal Domestic Assistance under Numbers: 10.405 Farm Labor Housing Loans and Grants 10.415 Rural Rental Housing Loans Intergovernmental Consultation For the reason set forth in the final rule related Notice to 7 CFR part 3015, subpart V, 48 FR 29115, June 24, 1983, these programs are excluded from the scope of Executive Order 12372, which requires intergovernmental consultation with State and local officials. Civil Justice Reform This final rule has been reviewed under Executive Order 12778, Civil Justice Reform. In accordance with this rule: (1) All state and local laws and regulations that are in conflict with this rule will be preempted; (2) no retroactive effect will be given to this rule; and (3) administrative proceedings in accordance with the regulations at 7 CFR part 11 and part 1900, subpart B, be exhausted before bringing suit in court challenging action taken under this rule unless those regulations specifically allow bringing suit at an earlier time. Paperwork Reduction Act The information collection requirements contained in this regulation have been previously approved by the Office of Management and Budget (OMB) under the provisions of 44 U.S.C. chapter 35 and have been assigned OMB control numbers 1215-0017, 1215-0140, and 1215-0149, in accordance with the Paperwork Reduction Act of 1980. This final rule does not impose any new information collection requirements from those approved by OMB. Discussion Procedures and requirements contained in this regulation for complying with the Davis-Bacon and related Acts are also contained in the Department of Labor regulations (29 CFR parts 1, 3, and 5). In keeping with the spirit of regulation reduction, RHS feels there is no need for the procedures and requirements to be published in more than one regulation. The requirement for certain RHS-financed construction projects to comply with the Davis-Bacon and related Acts is not removed or changed in any way by this rule. Portions of this regulation that only involve internal Agency management are revised as an agency guideline. The guideline is for RHS usage in implementing procedures as prescribed in the Department of Labor regulations. The guideline is not published in the Code of Federal Regulations, but is available in any RHS office. Attached to the guideline is a copy of the labor standards provisions published in 29 CFR part 5 and may be locally reproduced and distributed to program participates as necessary. It is the policy of this Department to publish for comment rules relating to public property, loans, grants, benefits or contracts notwithstanding the exemption in 5 U.S.C. 553 with respect to such rules. This action, however, is not published for prior notice and comment since it involves only internal Agency management, and publication for prior notice and comment is unnecessary and contrary to the public interest. Conforming changes which are necessary to other regulations as a result of removing subpart D of part 1901 are included. List of Subjects in 7 CFR Parts 1901, 1924, and 1944 Agriculture, Construction management, Construction and repair, Energy conservation, Farm labor housing, Grant programs--Housing and community development, Housing, Loan programs--Agriculture, Loan programs--Housing and community development, Low and moderate income housing, Migrant labor, Minimum wages, Nonprofit organizations, Public housing, Rent subsidies, Rural housing. Accordingly, parts 1901, 1924 and 1944 of title 7, Code of Federal Regulations are amended as follows: [[Page 56116]] PART 1901--PROGRAM-RELATED INSTRUCTIONS Subpart D--[Removed and Reserved] 1. Under the Authority 7 U.S.C. 1989, 42 U.S.C. 1480, and subpart D, consisting of Secs. 1901.151-1901.158 and Exhibit A, is removed and reserved. PART 1924--CONSTRUCTION AND REPAIR 2. 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 3. Section 1924.6 is amended in paragraph (a)(3)(iv) by revising the words ``and/or'' to ``or;'' in paragraph (a)(6) by revising the reference to ``SCS'' to read ``NRCS;'' in the first sentence of paragraph (a)(8) by revising the phrase ``physically handicapped persons'' to read ``people with disabilities''; and by revising paragraph (a)(5) to read as follows: Sec. 1924.6 Performing development work. * * * * * (a) * * * (5) Labor standards provisions. The provisions of the Davis-Bacon and related acts, which are published by the Department of Labor (29 CFR parts 1, 3 and 5), will apply when the contract involves either LH grant assistance, or 9 or more units in a project being assisted under the HUD section 8 housing assistance payment program for new construction. * * * * * Sec. 1924.13 [Amended] 4. Section 1924.13 is amended in paragraph (e)(1)(ii), Item XVI by removing the phrase ``[Exhibit A to Subpart D of Part 1901 of this chapter, where applicable.]'' and by adding the phrase ``[Where applicable.]''. * * * * * PART 1944--HOUSING 5. The authority citation for part 1944 continues to read as follows: Authority: 5 U.S.C. 301; 7 U.S.C. 1989; 42 U.S.C. 1480. Subpart D--Farm Labor Housing Loan and Grant Policies, Procedures, and Authorizations 6. Section 1944.169 is amended in paragraph (c)(4)(v) by revising the reference to the ``Administrator of the Soil Conservation Service'' to read ``Chief of the Natural Resources Conservation Service;'' and by revising paragraph (c)(2) to read as follows: Sec. 1944.169 Technical, legal, and other services. * * * * * (c) * * * (2) Labor standards provisions. Construction financed with the assistance of an LH grant will be subject to the provisions of the Davis-Bacon and related acts, and the regulations implementing those acts published by the Department of Labor regulations at 29 CFR parts 1, 3, and 5. * * * * * Subpart D [Amended] 7. Exhibit A-1 to subpart D is amended by removing the last two sentences in paragraph II (E) and adding a new sentence in their place to read ``If an LH grant is proposed, construction will be subject to the provisions of the Davis-Bacon and related Acts. LH grant applicants should, therefore, obtain a copy of the Department of Labor regulations (29 CFR part 5), which contain the applicable labor standards provisions.'' Dated: August 16, 1996. Jill Long Thompson, Under Secretary, Rural Development. [FR Doc. 96-27766 Filed 10-30-96; 8:45 am] BILLING CODE 3410-XY-U