§ 2006a. — Borrower training.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 7USC2006a]
TITLE 7--AGRICULTURE
CHAPTER 50--AGRICULTURAL CREDIT
SUBCHAPTER IV--ADMINISTRATIVE PROVISIONS
Sec. 2006a. Borrower training
(a) In general
The Secretary shall enter into contracts to provide educational
training to all borrowers of farmer program direct loans made under this
chapter in financial and farm management concepts associated with
commercial farming.
(b) Contract
(1) In general
The Secretary may contract with State or private providers of
farm management and credit counseling services (including a
community college, the extension service of a State, a State
department of agriculture, or a nonprofit organization) to carry out
this section.
(2) Consultation
The Secretary may consult with the chief executive officer of a
State concerning the identity of the contracting organization and
the process for contracting.
(c) Eligibility for loans
(1) In general
Subject to paragraph (2), to be eligible to obtain a direct loan
under this chapter, a borrower must obtain management assistance
under this section, appropriate to the management ability of the
borrower (as determined by the appropriate county committee during
the determination of eligibility for the loan).
(2) Loan conditions
The need of a borrower who satisfies the criteria set out in
section 1922(a)(2) or 1941(a)(2) of this title for management
assistance under this section shall not be cause for denial of
eligibility of the borrower for a direct loan under this chapter.
(d) Guidelines and curriculum
The Secretary shall issue regulations establishing guidelines and
curriculum for the borrower training program established under this
section.
(e) Payment
A borrower shall pay for training received under this section, and
may use funds from operating loans made under subchapter II of this
chapter to pay for the training.
(f) Waivers
(1) In general
The Secretary may waive the requirements of this section for an
individual borrower if the Secretary determines that the borrower
demonstrates adequate knowledge in areas described in this section.
(2) Criteria
The Secretary shall establish criteria providing for the
application of paragraph (1) consistently in all counties
nationwide.
(Pub. L. 87-128, title III, Sec. 359, as added Pub. L. 101-624, title
XVIII, Sec. 1818(a), Nov. 28, 1990, 104 Stat. 3829; amended Pub. L. 105-
277, div. A, Sec. 101(a) [title VIII, Sec. 805(3)], Oct. 21, 1998, 112
Stat. 2681, 2681-39; Pub. L. 107-171, title V, Secs. 5316, 5501(c), May
13, 2002, 116 Stat. 348, 351.)
References in Text
For definition of ``this chapter'', referred to in subsecs. (a) and
(c), see note set out under section 1921 of this title.
Amendments
2002--Subsec. (c)(1). Pub. L. 107-171, Sec. 5501(c), struck out
``established pursuant to section 1982 of this title,'' after
``appropriate county committee''.
Subsec. (f). Pub. L. 107-171, Sec. 5316, added subsec. (f) and
struck out heading and text of former subsec. (f). Text read as follows:
``The Secretary may waive the requirements of this section for an
individual borrower on a determination by the county committee that the
borrower demonstrates adequate knowledge in areas described in this
section.''
1998--Subsec. (a). Pub. L. 105-277, Sec. 101(a) [title VIII,
Sec. 805(3)(A)], struck out ``and guaranteed'' after ``direct''.
Subsec. (c). Pub. L. 105-277, Sec. 101(a) [title VIII,
Sec. 805(3)(B)], struck out ``or guaranteed'' after ``direct'' in pars.
(1) and (2).
Section Referred to in Other Sections
This section is referred to in sections 1941, 1942, 1949, 1981,
2006b of this title.
